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Govs in financial mess
•Suspend projects, owe salaries
By VINCENT UKPONG KALU
Saturday, November 28,
2009
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Gov. Mimiko
Photo: The Sun Publishing |
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Two and half years after new helmsmen took over power, at the
national and states levels, there could be said to be crisis in
the treasury. The hitherto financial boom, which saw some of the
states getting monthly allocations running into billions of naira,
has given way to near doom. And the states are not only having it
tough but also in real financial mess.
The current cash crunch in the states, caused by low revenue, has
not been so under democracy. To be sure, Nigeria has been buoyant
since 1999, as the price of crude oil, which is the nation’s
major source of revenue, peaked an all time high, hovering between
$130 and $150 per barrel. The nation got more money, to the extent
that states earned twice what they used to get from the Federation
Account. The buoyancy was even more so since the benchmark for oil,
for 2007 budget, was about $50 per barrel, leaving an excess of
over $80 per barrel. By this time, Nigeria was meeting its OPEC
quota of 2.1 million barrel of crude oil per day.
However, it appears that the good old days are over, as the spending
spree in the states has given way to gloom owing to global economic
meltdown that led to the crash of crude prices from all time high
of $150 per barrel to $35. While still containing the oil price
crash, which resulted in the loss of N117 billion, the insurgency
in the Niger Delta figuratively added insult to a festering sore,
as oil installations were destroyed and oil workers, mostly, expatriates
were forced out of the region. This led to the loss of over 650,000
barrels of crude oil daily.
The latest Central Bank of Nigeria’s report, for the second
quarter that ended August, painted a gloomy picture of the financial
situation in the country. The report said that revenue accruing
to the Federal Government dipped by 13.5 per cent. The FG budget
deficit rose more than 500 per cent to N382.23billion during the
period. The sharp upward movement, according to CBN, was attributed
to the 13.5 per cent fall in revenue and 11.4 per cent increase
in expenditure.
The monthly allocation to the three tiers of government for 2008
hovered between N430 and N450billion every month. In 2009, there
isn’t any month that the revenue for the three tiers exceeded
N300 billion. In January 2009, the monthly revenue available for
the three tiers of government was N285.54billion and it declined
to N250billion the following month.
As a result of this, state governments that largely depend on statutory
allocation, are under serious threat of survival. As the income
accruing to the states is getting leaner every month, most of the
projects embarked upon during the period of boom are abandoned.
And civil servants are owed salaries. However, in spite of the heavy
financial burden, the state governors still maintain retinue of
aides, who earn salaries to further deplete the meager resources
that states receive.
Saturday Sun went to the states to find out the state of affairs
and the result is revealing and frightening.
KADUNA STATE
Noah Ebije reports that the collapse of several textile industries,
which hitherto boomed in Kaduna, is a reflection of the state of
affairs there. According to findings, Kaduna is also feeling the
heat of the global economic meltdown to the extent that the state
government has decided to slow down in the provision of the necessary
infrastructure for the people of the state. Also, most councils
have been unable to pay salaries. A case in point is Kaduna North
Council, where the members of staff have written series of petitions
over salary arrears. Council officials simply attributed their inability
to meet up with their obligations to the economic meltdown in the
country.
In addition to this, the state’s Commissioner of Information
and Home Affairs, Saidu Adamu, said Kaduna has adopted measures
to be more prudent in its spending in order to make life meaningful
for the people. He said one of the effects of the economic crisis
was the inability of the state government to pay its contractors
on time, just as he added that the economic meltdown has also stopped
the government from training its officials outside the country.
The commissioner said the state has resorted to local training of
its officials, as one of the measures to beat the financial crisis,
pointing out that the state has 24 ministries, which are being manned
by 24 commissioners.
Though, the commissioner declined to give the actual number of advisers
the state has employed so far, Saturday Sun gathered that there
are over 500 of them, including executive assistants. Although what
they receive as salaries could not be readily ascertained, one of
the aides disclosed that they earn just N60, 000 monthly.
Adamu was quick to add that with the increased internally generated
revenue, the state would be able to bear the stress of the economic
meltdown for now.
He said: “The state has always been prudent, but this time
round we are much more prudent. We are careful on how we spend money
in the state so that it will not affect the lives of people negatively.
There is no much fund; so we are trying to make sure that the economic
crisis does not affect our people much, to ensure that we use the
little we have to better the lives of our people.”
Saturday Sun gathered that Kaduna has instituted austerity measure
in order to survive the economic crisis. At present, funds are only
released for specified projects, while work on others has been stalled.
One of such stalled projects is the renovation of the secretariat,
as part of efforts geared towards giving the state a facelift before
the National Sports Festival.
However, some people in the state have argued that if the government
were sincere about austerity measure, it should have cut down on
the number of special advisers and assistants to the governor.
SOKOTO
Ahmed Oyerinde confirmed that economic meltdown has taken a toll
on Sokoto State, which largely depends on statutory monthly allocations
to survive. In the state, some of the capital projects across the
23 local governments areas have been stalled.
On December 29, 2008, Governor Aliyu Magatakarda Wamakko presented
to the state House of Assembly a budget estimate of N54.8 billion,
made up of a capital expenditure of N30.03 billion and a recurrent
expenditure of N24.7 billion. The governor had disclosed, shortly
after assenting to the budget, that no new
project would be executed in the state within the first quarter
of the year, except where and when it was absolutely necessary.
According to him, the first quarter would be dedicated to the completion
of the ongoing projects in the state.
Wamakko further disclosed that 10 per cent of the state internally
generated revenue would be given to the 23 local government councils
in the state, adding that the returns of all expenditures would
be forwarded to the House on quarterly basis. The House approved
the budget after some deliberations but without a single amendment.
After the first quarter of the year, some multi-billion naira capital
projects were embarked upon with the approval of the establishment
of first state owned Independent Power Project (IPP) at Goronyo
Local Government Area of the state to the tune of N1.3 billion.
The power project, if completed, would produce up to 65 mega watts.
There was also the flyover project at the cost of N1.7 billion,
while the newly proposed state university was estimated to gulp
over N6 billion, among numerous projects in the state.
Saturday Sun gathered that the effect of the economy downturn is
daunting on the state. According to sources, “all these projects
have been suspended because of financial meltdown and contractors
have disappeared from their various sites due to lack of fund. The
impact of the meltdown, they said, can be felt in the market, as
there is no cash to meet daily needs.
The state Commissioner for Budget and Economic Planning, Alhaji
Bello Aliyu Rabah, admitted that financial meltdown has affected
some government’s programme and policies, adding that the
state can withstand these challenges if the government maintains
the tempo it had laid down. He explained that since the advent of
the recession the government has put in place all internal revenue
generation mechanisms through the state Internal Revenue Board.
He also said that the state government has also curtailed some unnecessary
expenditure and many other measures.
According to the commissioner, “when economic meltdown is
rocking the country the state, under it, must be affected.”
He, however, denied the link of the stoppage of all the ongoing
capital projects to lack of fund, as he claimed that 30 per cent
down payment had been made to the contractors, while the balance
would be paid on completion, as agreed. On the efforts to generate
an internal income, he said the administration had embarked upon
some economic reforms, like the Private Public Participation scheme,
where more people could actively participate in the state economy
activities.
The Chairman of the State Board of Internal Revenue, Alhaji Musa
Macciddo told Saturday Sun that the board plans to strengthen the
state internally generated revenue (IGR) base by consolidating on
taxes approved for collection by Act 21 of 1988.
According to Macciddo, “presentation of tax clearance certificates
has henceforth, been made a precondition for enjoying some patronages,
like allocation of market stalls, allocation of land, allocation
of pilgrimage seats and granting of contracts.”
He further said that the board was planning to evoke road taxes,
organize lunch or dinner talk with identified agencies and individuals,
as well as intensify tax audit and investigation, with a view to
boosting the state internal revenue, as an alternative to its monthly
allocation from the Federal Government.
KANO
In Kano, Desmond Mgboh reports that the global meltdown is felt
in the different sectors of the state, especially in the number
of new government projects and in the manners of government expenditure.
Some four months ago, the state government organized a briefing
for all its aides and officials, including heads of government agencies
and chief executives of relevant interests.
The staffers were briefed by a management consultant on how to minimize
waste in their department, in the light of the dwindling resources
from the federation account. The need for the briefing was underscored
by the fact that the state is almost solely dependant on the federation
accounts. Its own internal revenue generation is rather weak and
contributes less that 15 per cent of the overall income of the state.
At present, work on a number of projects has slowed down. As part
of the strategic plan for the Kano mega city project, several road
networks within the metropolis area were earmarked for either rehabilitation
or reconstruction. Some of these roads have been completed while
some are yet to begin or are currently under construction.
When Saturday Sun visited sites of a number of these projects, construction
was at a halt. However, officials insist that worked stopped owing
to rains. Recently, the state governor, Mallam Ibrahim Shekarau
inspected six of these ongoing metropolitan road projects and attributed
the setback in their construction, to rainfall and to the difficulty
of moving heavy equipment to sites by the construction firms.
However, a government source said that it had trimmed down on non-essential
expenditures. In this regard, government has reduced approvals on
supportive and patronizing issues for members of the political class
and the party chieftains. Also, conferences organized by the various
organs of governments in the state have been reduced. Equally affected
is the number of international scholarship and other forms of internal
training. It was gathered that next year’s budget would be
tight.
Government officials, however, maintain that the state is doing
just fine, adding that the salaries of workers and other basic obligations
of the government would be met.
ONDO
Tunde Raheem reports from Akure that at inception of his administration,
Dr. Olusegun Mimiko had announced that he inherited huge debts and
an empty treasury from immediate past administration. Just
as the state government was battling with financial crisis met on
ground, the Federal Government, in a bid to adjust to the global
economic crisis, cut down the allocations of fund accruing to all
states of the federation. The governor had frozen state accounts
to ensure that a financial management system was put in place and
also to guard against embezzlement and manipulation of state resources
by the civil servants and political office holders.
In the face of the low financial earning, Ondo State government
has taken measures to survive. One of the measures was the payment
of just 30 per cent mobilization fee for all contracts awarded,
as against the 50 per cent hitherto paid. The government also prioritised
projects and only concentrated on that that have direct impacts
on the lives of the people. It also stepped up the public-private
partnership. Another step taken by the government was to cut
the salaries and allowances of commissioners and advisers to the
governor by 25 per cent.
The governor had also ordered local government areas he to
execute only projects that have direct impact on the people.
In an interview, Commissioner for Information, Mr. Ranti Akerele,
said the government embarked on a system where by communities were
asked to identify projects they want.
“The government, as part of strict measure to adjust to the
economic meltdown, has embarked on quick win projects. For instance,
a community that wants health centre will not be given school; we
allow each community to pick the project of their priorities and
ask the community to implement the project,” he said.
OGUN
Moshood Adebayo reports from Abeokuta that Ogun State governor,
Otunba Gbenga Daniel has lamented that the global economic
recession was biting harder and expressed the fear that the
state may not achieve 50 per cent of its budgeted revenue.
The governor said the non-realisation of the budget, which he put
at N100 billion, was as a result of what he described as the “appearance
of a strange animal.”
His words: ‘‘We have N100 billion for the year, but
as today, we are probably running at about 50 per cent. If we are
lucky, we would achieve 50 per cent of the budget by the end of
this year because of a strange animal that came to town. One strange
animal has entered the farm. And that’s why my own appeal
to all the striking people is that whereas their demands for increased
pay is justified, but I also beg to submit that the timing
is wrong.
Indeed, the global recession has forced the state government, to
stop the sponsorship of people on holy pilgrimage to Mecca and Jerusalem.
Also, as a sacrifice, the salaries of political office holders,
at the executive arm of government, were reduced by 12 per cent,
while permanent secretaries, forfeited eight per cent.
The financial meltdown has also forced the state House of Assembly
to hold plenary session only once in a week, due to alleged inadequate
funding. The state government is said to have cut allocation to
the legislature by 50 per cent.
Speaker of the House, Mr. Tunji Egbetokun, confirmed this. He said
that the budget of the legislative arm had been slashed by 50 per
cent, adding that it would be practically impossible for the House
to sit on a daily basis as before.
His words: “The slashing of the capital and recurrent expenditure
of the House has made nonsense of the appropriation bill.”
The state government said that the cut was not restricted to the
legislative arm, as other arms of government suffered the same fate.
Mr. Sina Ogunbambo, consultant to the Governor Daniel on media,
said that the resources of the state had drastically reduced since
January to about N1 billion monthly.
He said: As a responsible government, we owe it a duty to
explain to the general public that due to the global economic meltdown,
which has drastically reduced the resources of government with about
N1 billion monthly since January 2009, it has to, with great restraint,
adopt a series of cost saving measures, including the pruning of
running cost of all arms of government by 50 per cent, so that the
salaries and emoluments of the over 40,000 workers do not suffer.”
KATSINA
From Katsina, Andy Asemota reports that the state government said
it is not feeling much of financial meltdown owing to its small
cabinet. Officials of government said this is also an expression
of Governor Ibrahim Shehu Shema’s commitment to prudence and
transparency.
A top aide of the governor, who spoke on the condition of anonymity,
told Saturday Sun that the global recession may end in a whimper
in Katsina.
“You know, we have a reasonably small cabinet; it is not over-bloated.
The government has been meeting its obligations to all civil servants
and contractors as far as I know. Last month’s salary in the
state public service was paid earlier than schedule because of Sallah
festivities,” he stated
To Tukur Rufai, a businessman, the fear of economic recession is
not more than a call to sustained prudence and accountability, which
had been demonstrated by the Shema administration
However, the worst blow economic recession has dealt the state is
the loss of about N300 million worth of shares meant for the state
scholarship trust fund in the stock market.
EBONYI
Goddy Osuji reports from Abakaliki that with economic meltdown taking
its toll in the execution of government projects, Ebonyi State government
is struggling to achieve its laudable roads and bridges programme.
With a bloated political appointees, the state is struggling to
keep afloat.
Although, public servants currently receive their salaries and contractors
paid, work on some projects has slowed down. Such projects affected
by the economic meltdown include the new Ochudo city, where the
construction of the state secretariat complex is gong on and the
International Market. Also, the International conference centre
and International Hotel, both in Abakaliki, are witnessing slow
pace of work. This is also the situation at the new cement factory
proposed by the state government.
The Commissioner for Information and State Orientation, Hon. Ken
Uhoo, told Saturday Sun that Ebonyi State, being part of the global
community, is also passing through the hardship of the economic
meltdown. He remarked that notwithstanding this the state is coping.
“We are coping with the situation. That is why all the developmental
projects are still going on and salaries paid when due,” he
said.
ZAMFARA
Attahiru Ahmed reports from Zamfara that Governor Shinkafi did a
good job in his first year in office to earn the sobriquet, A Gani
A Kasa, meaning “project of reality.” His supporters
even claimed his performance within the year far exceeded what his
predecessor did in eight year.
However, the coming of economic crisis has devastated the state.
Most of the capital projects earlier embarked upon by the state
government have been suspended, even as the Shinkafi administration
is alleged to have collected over N14 billion loans from various
commercial banks. The state government purse is said to be in the
red. Civil servants are not paid regularly. There is fear that the
developmental projects embarked upon by the government may not be
completed before 2011, as a result of economic meltdown.
To cope with the situation, salaries of political office holders
have been slashed.
KEBBI
From Birnin Kebbi, Terwase Tyoban reports that although the state
has a N80 billion reserve, the state governor has slashed allowances
of political office holders and aides as well as reduced the number
of his personal aides to about half.
When Dakingari assumed office in 2007, he had an estimated number
of 600 special assistants alone, minus the equally high number of
special advisers mainly made up of loyalists of his predecessor.
This had bore a hole in the treasury of the state, leading to the
reduction later.
IMO
Val Okara reports from Owerri that the effect of financial meltdown
is witnessed in Imo State, where displaced staffers of industries
that had closed down are now doing one menial job or another. The
picture is most lucid in the early hours of the day when these people
are seen at strategic places within Owerri capital city waiting
patiently for people to hire them for at least a day’s job.
The hospitality business has a dose of it share of the global economic
dislocation, as social activities have plummeted. The once boisterous
hotels and amusement parks, which were hitherto tourist attractions,
have become a ghost of their former selves, as traffic of people,
who previously patronized them, has reduced.
In government, most capital projects in Imo State have been put
on hold, as the state government owns contractors. Recurrent expenditures
have also suffered, as imprest accounts and security votes of many
top public office holders are no longer coming in time. The multiplier
effects of this sad development are legion, as virtually all the
facets of the state polity are writhing in economic pain.
To arrest the situation, the state government has embarked on aggressive
revenue drive to mop up funds for execution of its projects. Political
appointees have been drafted into task forces and charged to go
to their respective local government councils to mobilize people
to pay their taxes. It is no longer news that most government ministries,
departments and agencies are not meeting their statutory obligations.
With mounting arrears of staff salaries and sundry allowances, establishments,
such as Imo Broadcasting Corporation (IBC), Imo Newspapers, Imo
Marketing Agency, Imo Housing Corporation, Imo Council for Arts
and Culture, Imo Water Development Agency, among others, are now
gnashing their teeth.
While staffers of the IBC are contending with four months salary
arrears, their counterparts in the Imo Newspapers had since resigned
their fate to God on account of non-payment of five months salary
arrears. The story is not different with the embattled staffers
of the state housing corporation, health management board, Adapalm
Nigeria Ltd, whose staff reportedly received their last salary last
June.
DELTA
From Asaba, Buchy Enyinnaya reports that the economic meltdown
has had its impacts in Delta, an oil rich state. Though, at
the periphery, this is not visible, as government has not laid bare
the negative impacts of the phenomenon, economic crisis has actually
hit hard on the state. Currently, capital projects, including
those the government had already sunk in several millions of naira,
have suffered. Owing to financial mess, deadline for the completion
and commissioning of some of the projects were not met. One of such
capital projects is Asaba International Airport, located in
Okpanam, a few kilometers away from Asaba, the State capital.
This project was contracted to Messrs ULO Consultants Ltd at a contract
sum of N6 billion. The National Chairman of the People’s Democratic
Party (PDP), Prince Vincent Ogbulafor, laid its foundation May 2008
and the governor had planned to complete it by December 2009. As
it is now, the project would not be ready by December.
Confirming this, one of the workers at the site, who spoke on condition
of anonymity, told Saturday Sun: “Work dey go on well, well
before, as dem talk say the airport go ready by December, this
year. But my broda, things just stop; work no dey go as before for
some time. We no know wetin come happen.”
Other capital projects, which have been hit by recession include
dualization of roads. One of them is the 148.9km Ughelli-Asaba mega
road project awarded to different contractors. Also, the construction
of underground conduits in Asaba to stem the devastating flood
and erosion problem in has equally been stalled.
The 33-kilometre Ugbenu-Koko road, valued at about N11.2
billion and said to have 24 months completion period,
has also been affected.
Teachers are complaining that they have not been paid. However,
Saturday Sun gathered that there is a dichotomy in the payment of
teachers’ salaries. Teachers in state government-owned schools
are paid promptly, while those being owed are their counterparts
in local government owned schools.
In spite of the situation, the state government has continued to
maintain its large number of about 26 commissioners, 15 special
advisers and several special assistants and several other appointees.
The state Commissioners for Economic Planning and Information, Messrs.
Bernard Okumagba and Oma Djeba were not forthcoming to explain government’s
actions. Djeba, who did not want to answer any question on
the economic meltdown in the state, had declared that work on projects
was ongoing.
Saturday Sun, however, gathered that several memos demanding financial
expenses by some of the commissioners have been
waiting for approval for months.
Edo
In spite of the economic meltdown, Edo State has managed to keep
government business going, paying salaries to its civil servants
regularly. At present, there are 18 commissioners, 16 special advisers
and about 69 senior special assistants and special assistants in
the government pay roll.
According to the state Commissioner for Information and Orientation,
Hon. Abdul Oroh, the secret of the state’s success in overcoming
the effect of the meltdown include aggressive Internally Generated
Revenue (IGR), prudent management of funds, proper control and strict
accountability.
Acknowledging the difficult times created by the economic meltdown,
the commissioner revealed that the state government had to tighten
its belt because “Comrade Governor Oshiomhole believes that
in spite of difficulties and challenges, we cannot lament. Failure
was not an option. We cannot tell the people of Edo State that we
are unable to do anything because there is no money.”
He explained that at the inception of the Oshiomhole government,
monthly revenue allocation to the state from the Federation Account
declined from N3.5 billion, during Osunbor regime, to N 1.6 billion.
Oroh said: “So, we decided that rather than lamenting our
plight we would find a way to look for the resources to deliver
development and good governance for the people of Edo State. So,
we decided on aggressive tax policy within which all those who have
not been paying taxes before, are made to pay.
We plug all the loopholes; we eliminate corruption as much as possible,
not that corruption can be completely eliminated and then we created
an automated wage-bill. We introduced some form of e-governance
to help us track funds and track payments that are coming in. So,
because of the efforts we have made, our Internally Generated Revenue
has increased about three folds. We are close to a billion Naira
from N350 million monthly when we started.”
ENUGU
From Enugu, Petrus Obi, reports that economic crisis has affected
the administration of Governor Sullivan Chime, which had embarked
on the rehabilitation of the state road and resuscitation of decaying
infrastructure.
The government had taken off in grand style, awarding many road
contracts within the state capital. However, the fire seems to have
burnt out with dwindling revenue. Already, the government had reportedly
acquired bank loans running into billions of Naira to keep the road
projects going; acquire vehicles for government officials and for
all the councillors in the state.
Indeed, as the economic crisis continued to bite harder, it is becoming
more difficult for the government to meet its commitment to contractors.
Most of the contractors have left site and most of the road projects
have been stopped.
Although government has remained secretive about how much loan it
has so far taken, reports it is in the neighbourhood of N12 billion.
Also, the government is believed to be in the process of obtaining
another N50 billion bond from the capital market, a move that is
being frustrated by the current uncertainty in the banking industry.
The state Commissioner for Information, Mr. Chuks Ugwoke, however,
denied this, insisting: “Enugu State government has not obtained
any loan whatsoever to the tune of N12 billion.”
Saturday Sun gathered that low revenue has stalled the state government’s
plans to site at least a project in all the over 500 communities
in the state. The government had, earlier in the year, set up a
fact-finding committee to visit all the communities in the state,
assess what is on ground and find out priority projects each community
would prefer. The government intention, expected to spread development
to communities, instead of concentrating them in the Enugu State
capital, cannot take off due to lack of funds.
It was gathered that the Enugu government is already finding it
difficult to maintain its large executive council, made up of 26
commissioners, 12 special advisers and about 30 personal assistants.
A personal assistant to the governor disclosed that not even a kobo
of all the funds budgeted for his office has been released a few
months to the end of the year. Some of the money, he said, had to
be diverted to ease off the financial burden on the government.
Another close government source revealed that Governor Chime is
seriously considering pruning down the number of government officials,
but is afraid of the political implications of such an action.
As part of its measures to survive, the state government reportedly
withheld the August and September excess crude accruing to the 17
local government areas in the state to settle some of its debt.
Some local government chairmen, especially those who were denied
ticket to contest for a second tenure in the council polls scheduled
for December, were said to have challenged the government action
in a recent meeting with the governor.
Meanwhile, government parastatal corporations appear to be feeling
the most pains, as the salaries of the staffers are irregular, while
some have been receiving half salary for sometime now.
Among the corporations said to be mostly affected are the Enugu
Broadcasting Service (ESBS), Water Corporation and Sports Council,
among others.
Anambra
From Awka, Geoffrey Anyanwu, the Special Assistant to the Governor
Peter Obi on Media and Publicity, Mr. Val Obienyem, as saying that
economic downturn has little effect on the state. He said that the
prudent nature of the state government has ensured this.
Though some projects of government seemed to have been suspended
or stopped, the government said it has no problem with finance.
With 16 commissioners, six special advisers and 15 other political
appointees, the state government had continued to pay salaries and
continued some of its projects.
Obienyem told Saturday Sun that before the meltdown, Governor
Obi had saved six months salary, which he kept for a time like this.
He said: “Our governor is known for prudence in management
of resources. Even before the meltdown, he had always provided six
months salary advance, so that if anything happens or federal allocation
stops coming, he would be able to fall back to it and pay salaries.
Though nobody lives in isolation, the case of Anambra State is different.
The governor’s prudence made it possible for the state not
to be adversely affected.”
RIVERS STATE
Henry Chukwurah reports from Port Harcourt that the economic meltdown
is yet to literally melt down government activities in Rivers State.
This is despite the high-tempo project execution that has turned
the oil-rich state into one huge construction site.
Checks by Saturday Sun revealed that Governor Chibuike Amaechi’s
tight fiscal policies have made avoidable wasteful spending difficult
in the conduct of government business.
Although laden with 25 commissioners and legion of special advisers
as well as special assistants, the government has been able to keep
its service provisions on course. Apart from the hardship occasioned
by the automated salary payment scheme introduced late last year,
which caused delayed payment of salaries for some months, the state
civil servants, reputed as the highest paid in the country, have
continued to receive their salaries regularly.
Also, most of the contractors handling state projects confirmed
prompt mobilization and eventual payment on completion of projects.
The seeming success, investigation revealed, has been due to the
fiscal discipline put in place by Governor Amaechi who is not generous
with the usual political patronage, a trait that has not gone down
well with not a few of his party members.
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