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Osinbajo Highlights Options For Indebted States

Posted: Jul 26, 2015 at 3:07 am   /   by   /   comments (0)

By Oladele Ogunsola Ibadan

The plight of government workers, occasioned by non-payment of several months of salaries, by some of the state governors came in the country was re-echoed in Ibadan on Saturday by the Vice-President, Yemi Osinbajo, SAN, who asked the affected governors to explore the loan opportunity being offered by the Central Bank of Nigeria (CBN).

The VP said the loan was a concessionary one organized by the President Muhammadu Buhari-led administration asking the affected state governors to access the loan.

He spoke with journalists shortly after attending the 90th birthday service of Mojisola Adedayo at the cathedral of St James Oke Bola in the Oyo State capital.

The VP disclosed that the present All Progressives Congress (APC) government in Nigeria had considered the plight of states in the country who had experienced about 40 percent reduction in allocation which had prevented them from meeting their financial needs.

Osinbajo recalled that President Buhari had initially ordered the sharing of about 2.1bn dollars proceed from Liquefied Natural Gas fund.

“The states are also allowed to access loan at a concessionary rates to reduce the burden on the borrower states” he added.

The VP said that the Buhari administration had also negotiated with commercial banks in the country “to allow states that are indebted to them to allow the debts be converted into bonds which can be spread over a long period” to cushion the effect of the debts.

Contrary to some newspapers’ report that he raised alarm over an impending attack on his person, Osinbajo debunked the report describing it as misrepresentation of fact.

Rather, he explained that what he said was that he warned that the Very Important Persons (VIPs) in the country “are being aimed by the insurgents and not his person, the Vice President”.

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