Kogi borrowed billions from banks — despite Paris Club refund and bailouts

By Editor on 10/06/2018

Share on facebook Yahoo mail icon Gmail icon

Views: 310

Bello
Bello

The Kogi state government obtained loans of at least N16 billion between May 2017 and January 2018, TheCable reports. 

This is despite over N20 billion which accrued to the state from the Paris Club refund.

Paris Club refund is a partial settlement of long-standing claims by state governments relating to over-deductions from their federation account allocation committee (FAAC) disbursement for external debt service arising between 1995 and 2002.

In the first tranche of the refund, the state got N11.21bn, while it got N6.02bn and over N6 billion in the second and third tranches respectively.

Kogi also benefitted from the bailout which the federal government gave to states.

However, documents seen by TheCable showed that the state house of assembly approved loans of N12 billion and another 1.2 billion on December 5, 2017.

Still in December, the government borrowed a separate N1.2 billion from Fidelity Bank Plc.

The state’s ministry of finance had entered an agreement with the bank that 123,250,244 million should be deducted from from its revenue over a 12-month period.

When he met with reporters in January, Yahaya Bello, governor of the state, said his government borrowed N10 billion, a figure short of N4.4 billion that his government had collected as loan.

Documents show that Kogi got another loan of N3.5 billion on January 31, 2018.

On March 20, 2018, the state treasury quarters issued an irrevocable standing payment order (ISPO) to Zenith Bank to make monthly deductions of N236,892,000 from its Lokoja bank account over a period of 18 months, as repayment of the N3.5vbillion loan which was said to be used for budget implementation.

Critics have accused the current administration in the state of mismanaging resources, an allegation the governor and his aides have consistently denied.

Although part of the obtained loans were said to be for payment of salaries, Kogi is still owing workers till date.

On Thursday, the Nigeria Labour Congress (NLC) wrote to the International Labour Organisation (ILO) to protest the alleged non-payment of over seven months salary by the state.

Kingsley Fanwo, Bello’s spokesman, was not available for comments when this report was filed as as his telephone line was switched off.

Posted 10/06/2018 9:47:44 PM

 

Share on facebook Yahoo mail icon Gmail icon


 

You may also like...
Buhari rejects N’Assembly bill, says radiographers, radiologists will...

World Cup: Rohr admits mistakes

Governor Willie Obiano wins Anambra Gubernatorial Election

Ikeme’s absence my biggest W/Cup regret – Rohr...

INTERPOL, court issue fresh arrest warrants for Maina...

Fayose blasts Osinbajo: I’m beginning to doubt you’re...

Access Bank slammed with N200m suit over unlawful...

PDP, CD, Adebanjo, IYC tackle Buhari over comment...

Don’t blame only me for Nigeria’s problems –...

Ekweremadu donates to Gombe IDP Camps, fetes Enugu...

Buhari promises to end herdsmen killings

Buhari grants Financial Autonomy to State Judiciaries, Houses...

 

Latest News Removing Saraki won’t reduce price of rice to N7,000 – Fayose SARAKI: I am considering running against Buhari in 2019 Why all Nigerians must be involved in politics – Moghalu Buhari not healthy, cabal running his govt – Tambuwal Businessman loses N177.5m to Chinese fraudster, sues bank Saraki will be lawfully and democratically impeached – Oshiomhole 150 corrupt persons convicted in six months –Magu Buhari has destroyed Nigeria in three years - Charlie Boy Senators sue AGF, DSS, police for alleged plot to remove Saraki 2019: It’ll be Buhari/Osinbajo joint-ticket – Presidency Hold FG, APC responsible if democracy comes near harm —PDP PDP raises alarm over alleged plot to arrest Saraki, Ekweremadu

 

Most Read NAFDAC eases processes, cost of registering products for MSMEs (6,468 views) Full Text of Governor Ifeanyi Ugwuanyi’s 2016 Budget Speech (4,741 views) Ex-Heads of State will protect Jonathan from persecution —Kukah (4,600 views) IPOB: ‘We need urgent clarifications on Nnamdi Kanu’s status, whereabouts’, UK Govt tells FG (4,096 views) ASUU strike: Senate intervention ends in deadlock (4,018 views) Ex-governor Adebayo, Keyamo, Arise, others get board appointments (3,350 views) Nigeria ripe for Restructuring Now – Nwodo in Chatham House (3,090 views) Ugwuanyi commends FG’s siting of ICT University in Enugu (3,035 views) Buhari has disappointed Nigerians – Arewa Youth Forum (3,021 views) Quit notice: Kaduna Govt obtains bench warrant against Northern youths (3,018 views) Anambra: INEC releases 37 candidates for Nov poll (2,993 views) Chime not owner of Enugu Mall – Spar (2,505 views)

 

SECTIONS NEWS (368) EDITORIAL (5) POLITICS (318) SOCIETY (99) SPORTS (12) BUSINESS (184) HEALTH (16) EDUCATION (14) ENTERTAINMENT (7) INTERNATIONAL (26) TECHNOLOGY (1) COLUMNISTS (0) LETTERS (0) OPINION (8)

 

 

Julius Agwu - Crazy Interview Demands