Cash crunch: Banks reject senators’ loan requests

Following the cash crunch in Nigeria right now, banks have rejected some senators’ requests for loans. Nigerian Senators are yet to receive salaries since their inauguration on June 9, all they have received is N6m housing loan, which many of them said was not enough to get decent accommodation in Abuja.

Some of the senators, who spoke with Punch said because of non-payment of their salaries, they were forced to apply for loans from banks but the banks refused to give them, citing economic difficulties the Nigerian government is facing. 

A PDP senator who spoke with Punch said a bank turned down his request for a N20m loan recently.

The senator said the excuse of the bank was that so many high profile Nigerians were currently indebted to them and that the issue of cash crunch, which is affecting all sectors, was not helping matters.

He said, 

“The National Assembly Service Commission had only approved N6m to each of us as housing loan. What can that type of money do in a place like Abuja? It is grossly inadequate but we have taken it as a sacrifice.”