Senator Shehu Sani has warned the Nigerian government against collecting loans from the Chinese government.
The senator representing Kaduna central senatorial district, gave the warning in a post on social media on Thursday, April 11.
The human rights activist turned politician painted a scenario comparing loans from China and the International Monetary Fund (IMF).
“When you borrow money from IMF, they will come and live in your house until you pay them; when you borrow money from China ,they will turn you into a tenant in your house until you pay them,” he tweeted.
The IMF recently has cautioned Nigeria and other developing countries against taking loans from China due to unfavourable loan conditions.
An official of IMF, Tobias Adrian said this on Wednesday, April 10, during the launch of the Global Financial Stability Report for April 2019 at the IMF/World Bank meetings in Washington DC, USA.
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He said: “Capital flows, which include capital flows from China, are of course important for development. On the other hand, what is very important in lending arrangements are the terms of the loans and we urge countries to make sure that when they borrow from abroad the terms are favourable.
“In particular, we recommend that loans to countries should conform with Paris Club arrangements and that is not always the case of loans from China.”
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