By: Fatou Krubally
The Finance and Public Accounts Committee (FPAC) of the National Assembly has expressed concern over the failure of several state-owned enterprises (SOEs) to repay government on-lent loans, with outstanding arrears exceeding D452 million.
The concern is contained in the committee’s report on the Auditor General’s Accounts for 2021–2024 and reports on audited financial statements, management letters and activity reports of public institutions and agencies covering the period from 2020 to 2024.
According to the report, a review of loan repayment schedules revealed persistent failures by several beneficiary institutions to meet their obligations to repay both principal and interest on loans advanced by the government.
The committee said total arrears stood at D452,351,320.22 during the period under review.
Among the projects cited was the Banjul International Airport Improvement Project, which recorded arrears amounting to D142,186,032.59 in outstanding principal and interest payments.
The report also identified the Gambia National Broadband Network Project On-Lending Facility as having accumulated interest arrears of D34,003,520.83.
In the energy sector, the Brikama Power Station Project recorded outstanding obligations of D59,997,999.52, while the Brikama II Generator Set Project accumulated arrears totalling D45,079,536.22.
Another energy-related initiative, the Brikama Power Station Project IDDI, registered unpaid obligations amounting to D21,316,055.42.
The committee further reported that the Power Generation Expansion Project I had arrears of D63,016,760.28, while the Greater Banjul Area Network Upgrade Project recorded outstanding repayments amounting to D86,751,415.36.
FPAC warned that the continued failure of beneficiary institutions to honour repayment obligations undermines government efforts to recover public funds and weakens oversight of state lending arrangements.
The committee recommended that the Permanent Secretary at the Ministry of Finance and Economic Affairs strengthen monitoring mechanisms for loans extended to state-owned enterprises and ensure that repayments are made within agreed timelines.
It also called for stronger accountability measures to prevent the accumulation of future arrears and safeguard public resources.
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