Imoke gets House’s nod for N4.4b media city, agric loans

GOVERNOR Liyel Imoke’s bid to reinvent the media and agriculture sectors through a N4.4 billion loan has been endorsed by the Cross River State House of Assembly.

The state government had sought the House’s consent to guarantee a First Bank Plc’s N2.4 billion Special Purpose Vehicle (SPV) for Ebony Life to execute the Calabar Media City and to access a N2 billion Federal Government’s loan to revamp the agriculture sector.

In a letter he wrote to the Assembly on May 31, 2012, Imoke said the N2.4 billion facility was for the setting up of an entertainment channel to serve as the hub of African Private Television Entertainment in Calabar Media City.

Imoke said Ebony Life, the state’s partner in the project, had the experience to handle the operations of the channel while the second partner, MOFI, would oversee the business.

He said the revenue prospects of the media city were high and that “it is envisaged that the government’s guarantee will never be called-in, for the business not meeting its obligation.”

The governor disclosed that Media City, through Ebony Life, had secured the patronage of Multi-Choice, adding a total fee of N2 billion was expected from Multi- Choice in the first year of operation.

Imoke stated that other revenue channels included several projects, which would yield income from professionals, institutions and tourists, adding that the projects cover the Calabar Film Academy, Calabar Film Festival, Calabar Music Festival and the Calabar Festival Week.

Introducing the loan letters to members of the House, the Speaker, Mr. Larry Odey, commended the governor for being passionate on issues that affect the people and urged his colleagues to give urgent attention to the request.

Other members expressed their views that those saddled with the responsibility of disbursing the loans should educate the beneficiaries and ensure even spread so that some communities or individuals would not be excluded.

The lawmakers called on the people of the state to take advantage of the loan to improve productivity and increase food output to better their lots.

According to him, the business revenue plan shows that by the 3rd year of operation, the revenue would be N3.8 billion and by the 7th year, the total income would rise to N33.3 billion.

Imoke said highlight of the First Bank’s offer shows that the obligator is Calabar Media City with tenure of 48 months at 16 per cent interest rate with other fees at one per cent flat.

Imoke had said in a letter dated June 7, 2012, that “it is the intention of the government to access an additional N2 billion loan under the Commercial Agricultural Credit Scheme for disbursement to farmers across the state.”

He said this was in line with the vision of government to reposition the state as the leader in agricultural production for improved economic wellbeing and prosperity of the citizenry, thereby meeting the state obligation under the Federal Government Agricultural Transformation Agenda.