The idea of a loan (infrastructural loans) or debt or aid from foreign powers is always defended by saying that they will be used to building capital projects or assets.
This is very true but to uncouple this, let me give you an example and let you decide if we are living a sham in this country.
A State like Imo State or Kano or Ekiti or Osun can get loans from the World Bank and the governors can say it is for capital or infrastructural projects. Good!
But a situation whereby Rochas Okorocha takes such a loan and build a road from Bank road to Okigwe to Wethedral to the ones in Okigwe and Orlu and more. Everyone is shouting Rescue Mission, he is working.
Now, the loan (assuming it is used for the said project) is already counting.
After a year the roads start dilapidating, wasting away, washed away by acid rains (like Rochas said).
Why are they really infrastructural loans? For a road, motorists and commercial users of the road will use it, lesser troubles on their cars and they can in turn pay taxes to the government.
For a train or port or airport built by the Chinese, these will generate revenues, create jobs and if run professionally and excellently will turn in profits and the loan payment will continue to run every year. It is possible to repay the loans before the time allocated which most times span over 30 years.
So, for a road in Okigwe or Owerri that wash away before two years is over, more monies are used to resurface while the interest rate on the money used for it keeps piling up.
So, by the end of five years, you will find that not a single penny has been made from such infrastructural project, let alone a profit.
When the government ends, the clueless Executive leaves and another government comes to struggle for a sin that has been projected into the future; 30 or 50 years ahead to keep repaying such infrastructural loans.
German car Manufacturers Volkswagen has announced that it will discontinue the production of their iconic Beetle car by 2019.
The company said that the output from their Mexico plant would next July after the production of the celebration models.
The Beetle car started in Nazi Germany with the creation of a people’s car which went on to feature in a series of successful Disney films as the vehicle called Herbie.
However, sales in the US market have also fallen in recent years. Consumers in the United States have turned to larger cars such as crossovers and sports utility vehicles.
Volkswagen has, in the wake of the diesel emissions scandal and investment in electric vehicles decided to slim down its model range with a greater focus on family and electric cars.