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Kwara: Governor Ahmed’s fresh drive for a better state

  • nationalpilot
  • Aug 3, 2015
  • 7 min read

The atmosphere in the hall was upbeat; reminding one of those electrifying moments when football clubs present their new signing after a high-pitch competition from rival clubs during the Summer break. This is not Arsenal unveiling a new player, it is Governor Abdulfatah Ahmed unveiling his new drive for a better state. It is the monthly "Governor Explains" after a well fought and convincingly won election; a familiar ritual, which has since formed part of Governor Abdulfatai Ahmed's increasing open-door report card to the people of the state. Every occasion of the programme, the people of the state have the opportunity to dissect and ask necessary questions and make suggestions and clarification where necessary, regarding the management of Kwara State, including but not limited to achievements, challenges, hopes and expectations.

The moment was not particularly different except that it heralds a new start after Kwarans gave him a fresh mandate to superintendent over the state for another term of four years, and a moment when Nigeria is going through an usual time with most states unable to meet their obligations, especially to their workers. Interestingly, in the last four years, the governor had through a devotion to people-focused service, dedication and deep respect for the people of Kwara State - who he reminds almost all the time that political power and authority belongs to - given account of his stewardship on a regular basis. So, in the month of July, he had come to set the records straight on a wide range of issue, particularly as it seemed the opposition party, the People's a Democratic Party (PDP), having lost relevance, had gone to town with blatant lies, shameful accusations and defamation.

A no-hold barred meeting as always, traversing the controversial bail out fund to states from the federal government, critical issues currently facing various states, allegation from the opposition People's Democratic Party (PDP) that the governor diverted N3 billion bail out fund and the need to reduce cost, shore-up revenue generation and plough all leaking holes in state finances, to mention but a few.

According to the governor, who, first, congratulated Kwarans for successfully completing the just ended Ramadan fast and peacefully celebrated Eid-el-fitri, the meeting with President Muhammadu Buhari and the Vice President under the National Economic Council platform reviewed and outlined critical issues facing the various states. Governor Ahmed noted that the dwindling federal allocation and the increasing need to fulfill electoral promises as well as ensure uniform development in the state, have put enormous pressure on governors. In particular, he pointed to the lingering issue of federal projects executed by states which financial cost has yet to be refunded to the states, citing the Ilesha/Baruba/Kosubosu road project executed a few years back.

Governor Ahmed explained to Kwarans that although the federal government had started paying some years ago, Kwara State was yet to receive any remittance, pointing out that such huge investments on federal roads were those the state wanted the federal government to urgently refund so his administration can re-direct the money to other pressing projects in the state. He revealed that the forum decided that rather than share the excess crude money, dividends accruing from the Federal Allocation Account should be shared among the states and local government councils. According to him, although the revenue from the Nigeria Liquefied Natural Gas (NLNG) dividends was meant to be shared, under the last six years of former President Goodluck Jonathan, the dividends were not shared. "It was this dividend that President Muhammadu Buhari shared a few months ago," he said.

He also explained the precarious financial crisis facing most states and said that the situation requires bail out as enunciated by the current administration so that states can pay salaries. While he blamed the rising debt profile of most states on the dwindling Federal Allocation and attempts by some governors to repay loans used in executing strategic projects for the pressure that the governors face, he, however, explained that bail out means much more than committing all allocations to paying debts. "No; it means much more. Bail out does not mean taking all the money to the states to pay salaries or other commitments; that is not how bail out works," he explained. "Bail out actually means when the federal government re-structures existing loans that states are owe banks and other financial institutions in such a way and manner that pressure on the monthly repayment is drastically reduced and in the process creating

additional headroom for states to be able to execute other financial obligations". Speaking further, Governor Ahmed said: "The bail out is currently being worked out as most states are still in the process of submitting their debt profile to the federal government, noting that Kwara State compared to most states has a low loan profile.?

The governor reminded the people that even where the loan is restructured, the state would not benefit much as, according to him, only states with heavy loan profiles would benefit, because loans that they should ordinarily pay back in four years would be stretched to 15 years. "It means that the federal government would take over the loans from the various banks and financial institutions. This is what is meant by bail out. Just like the word ‘bail’; you are only allowed temporary breathing space as the loan is not being over written," he stated. "The point I am making here," he said, matter-of-factly, "is that the dividend under the NLNG is money we should have shared, whether there is bail out or not, or, whether any state governor is under pressure or not. It is the part of normal share of any revenue that accrued into the Federation Account. So, if anybody under any guise imagines that the money shared was the bailout for payment of salary, it was a wrong misconception. It is money to be shared just same way excess crude is shared to states." Governor Ahmed emphasised the state decided to use the money to offset salary arrears because of high premium it attaches to welfare of the workers.

Responding to PDP's allegation that he diverted N3 billion bailout, Governor Ahmed described it as one of those divisive comments by those he described as agents of destabilization. "It is not only false, but also mischievous and misguided," he said. He expressed shock that people could still find delight in peddling falsehood after going through the type of electioneering campaigns that characterized the last election. "Everything about the bailout is in public domain; so, Kwara State deserves the right information from anyone who has interest in it. Everybody has heard that the NLNG money amounting to $2.1billion has been credited into the Federation Account. It is this money that is being shard by the federal, state and local governments," the governor said, explaining further that every state governor has a choice where and on what project to apply the money. "For us in Kwara State, we chose to use it to address salaries at local government and state levels, and, to meet other state exigencies. It is, therefore, wicked for anyone to conclude that we collected a bailout as it demonstrates ignorance or mischief," Maigida said.

While he acknowledged the effectiveness of criticisms in putting leaders on their toes, he advised against criticisms fueled by greed, mischief and illusionary behavior. "The truth of the matter is that Kwara State collected N2.1billion and the local government collected N1.4billion for the payment of salaries at both levels, which is still not enough due to other state and local government’s commitments. Do not forget the job of governance is not about payment of salaries alone. We only chose to pay salaries because we wanted our people to celebrate Sallah conveniently. Ordinarily, the money should have been kept and we would have been using it to augment the federation allocation," governor Ahmed said.

Governor Ahmed encouraged the people to be of good cheer, strong in spirit, body and soul as, according to him, the days ahead might require enormous sacrifices but that at the end, they would be better for it. "The state would need to double its revenue drive techniques in order to meet up with the numerous projects earmarked for execution in the next four years. This explains why we are re-jigging our internally generated revenue. With the way things are currently, we have no choice but to do the needful. I am strongly persuaded that we can achieve if we plan our steps well and with the understanding and co-operation of all and sundry, particularly in the area of performing our civic roles and responsibilities," he said. Maigida noted that the state at the beginning of 2011 received about N3.2billion, regretting, however, that the allocation has thinned down to a miserably fluctuating N1.5 or N1.6billion, while infrastructure development needs across the state and councils have soared.

"One thing is clear, like a crystal," he told his audience, "the Internally Generated Revenue process that we have brought in, is the process that was long overdue, which for one reason or another, we couldn't kick start. But we have been pushed to the level that we do not have option than to get it started," he stressed, continuing that his administration was determined to complete all road and water projects, including electricity, and the campuses in Osi and Ilesha-Baruba. Like a patting shot, Maigida, who was a former Commissioner of Finance for close to 7 years, as well as Commissioner for Planning; a time in which he was involved in the planning of the state budget, emphasized that it has become clear that the current operational level of the Board of Internal Revenue cannot guarantee the state the required revenue needed to achieve its numerous projects in the next four years. "This is why," he told his audience, "a new revenue technique has become inevitable if we must achieve success as my administration aims at a better and equitably developed Kwara State".

Though the times are challenging and tough, with his experience, determination, focus and resourcefulness, Governor Ahmed is poised to transforming our state from a state dependent on allocation from the federation account to one of financial independent. The opposition will do well by rising above pedestrian criticism to a more robust and constructive opposition devoid of mere hatred and envy. This is the one sure way of making Kwara state the state of our collective dream.

Oba, Chief Press Secretary to Governor Ahmed of Kwara State write via e-Mail: abdulwahaboba@gmail.com

 
 
 

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