(Ecofin Agency) - The Nigerian Commissioner for Information, Godwin Udeuhele, on Thursday, announced that the Enugu State Executive Council has used part of a $50 million loan secured from the French Development Agency (AFD) to restore water infrastructure in the state.

During the first phase of the scheme for which the loan will be used, water supply in Enugu urban will be boosted. Nsukka urban will follow in the second phase. 12 other states are also involved in the scheme.

Commenting on the facility, the Commissioner for Water Resources, Charles Egungbe, said it was released in January 2017 and is expected to be paid back over 20 to 50 years from now, comes with a 2% interest rate and a 10-year moratorium period.

“Government is very cautious when it comes to accepting facilities, but because of the water situation in this city, we decided to participate. This project involves the expansion of the main water lines in this city and a total overhaul of key water facilities of Ajali and Oji River because these are the main areas,” he said.

Egungbe added that aside boosting water supply, the loan will ensure that the corporation derives revenue from the project.

Anita Fatunji