N50b bond ‘ll enhance infrastructural devt – Ojogo
The N50b bond approved by the Ondo State House of Assembly will enhance further infrastructural development in the state. The funds, he said its not a direct loan that could be spent anyhow.
He said it is a specific fund targeted on projects and will be used ro mobilize contractors back to site with no extra burden on the state government
Ondo State Commissioner for Information and Orientation, Mr Donald Ojogo declared this at a media briefing with Journalists .
He said governor Oluwarotimi Akeredolu has decided to think outside the box rather than giving reason for failure to deliver the dividends of democracy promised the good people of the Dr state while campaigning .
Ojogo said the bond will not go in to government pulse but from the capital market to the bank with about 16 percent interest only which he said is less than the normal bank interest rate, describing the idea as a noble one and the best.
“We have come to ensure that what is worth doing is worth doing well. Not to complain for failure, governor Akeredolu decided to think outside the box. What was coming from Abuja in terms of allocation is as low as N4b coupled with the huge wage bill. Rather than obtaining loan, the government go by bond to finance and to enhance further development in the state .
He said modern governments are run through tying projects to bond. There is no idea that is more noble than the idea of bond to fastrack development, not just to sustain what we have done in the last two years .”
On the allegations that the bond is meant to prosecute the second term ambition of the governor, Ojogo asked rhetorically if Akeredolu got bond before he won in 2016 . He said the governor has paid six months of the seven months backlog of salary arrears owed civil servants by the immediate past administration ,apart from the fact that salaries were paid as and when due including August, 2019 .
He said unlike in the past when the state got as high as N13b monthly allocation from FAAC, noted that the allocation is now as low as N4b monthly with huge wage bill in addition to other contending issues like infrastructure and provision of other social services.
The commissioner who commended the State House of Assembly for the approval said it was an evidence that there is a synergy between the executive and legislature in the State
On the local government election in the state, Ojogo assured that as soon as the state government is through with the recommendations of the committee on creation of Local Council Development Authorities, LCDAs, that election will be conducted in the state.
“Government will come out with a position and forward it to the Ondo State House of Assembly very soon on the conduct of the local government election in the state. The election will be to the advantage of all political parties and the grassroots as well, he noted.
He said the local government election was delayed partially by the litigation from people and the just concluded general election, saying local government election will be to the benefit of everybody including the opposition because of the principles and philosophy of governor Akeredolu who he said does not subscribe to the ruling party take all.
On bidding for the ongoing projects in Ondo State, Ojogo said no project either ongoing or completed in the state without selective tender which he said is permitted by the law .
“Every project in the state went through due process, this day of financial policing will not allow anybody to approve project without due process, he added .