Akwa Ibom’s debt burden

There have been a great deal of controversy and secrecy around the quantum and composition of debts owed by Akwa Ibom State government to the banks and contractors, especially the portion incurred by the Akpabio administration.

The problem is exacerbated by the apparent cold war between the incumbent governor Udom Emmanuel and his predecessor, Senator Godswill Akpabio, over governance and political issues in the state.

Governor Emmanuel has persistently blamed his lacklustre performance in the last three years on the huge debt burden he inherited from his predecessor.

He’s trenchantly criticized Akpabio for investing the state’s resources on worthless projects like the Tropicana Entertainment Complex which had remained uncompleted after over N150 billion had been sunk into it.

Late last year, the governor complained publicly that his administration was compelled to pay Julius Berger N6 billion in a lump sum, in addition to an undertaking to make a monthly payment of a billion naira to the construction company to offset government’s obligation.

He stated that these debts are unpaid bills left behind by Akpabio. The details of this debt are still foggy.

Akwa Ibom people have never been told how much is due to Julius Berger and indeed other construction companies and for what projects were these bills incurred and the repayment terms Udom Emmanuel has entered into with the company.

But last week, Jackson Udom, spokesperson to Akpabio (the former governor of the state) issued a statement stating that the Akpabio administration left behind only N60 billion in debts owed to the banks.

The statement listed several landmark projects which Akpabio also built, some of which it called ‘revenue enablers’, but which the Udom administration has curiously left unused.

Akpabio’s statement was however silent on the details of debt profile due to contractors and other obligors.

The statement was a rebuttal to an article written by Barr. Edet Eyo Bassey in which he claimed that Akpabio’s total debt stock was N500 billion.

This controversy arises largely in part because Emmanuel has never briefed Akwa Ibom people in details on the debt profile of the state government.

Rather, he has consistently used these debts as the excuse for unimpressive records in the last three years, despite the fact that in 2016, the state government had restructured its total bank debts into a Federal Government’s long-term bond which resulted in a monthly repayment of N300 million, instead of a more suffocating N3 billion monthly repayment prior to the restructure.

The restructuring was part of the Buhari administration’s bailout package to the states.

The Emmanuel administration earns between N15 billion and N17 billion from FAAC every month.

With a monthly IGR of N4 billion and refunds from the Federal government, it has chalked up to N750 billion in the last three years.

Apart from Lagos, Akwa Ibom is the largest revenue earner in the country.

This volume of income stream is at par with what the Akpabio administration earned, and far higher than the volume recorded by the Victor Attah administration. Yet the governor has not, by any standard, measured up to the remarkable strides recorded by last his two predecessors.

This explains why our people are so frustrated and despondent at the pervasive poverty and decay in the state in the midst of so much wealth. Are youths have been driven into cultism and crime as unemployment climbs.

In a recent morning discussion programme on NTA, Dr. Obadiah Mailafia, a renowned economist and former CBN deputy governor, mentioned Akwa Ibom State as a typical example of a society with a paradox of riches.

Akwa Ibom has the second highest unemployment rate of 36.5 per cent in the country, according to the National Bureau of Statistics (NBS) and records one of the highest death rates in the federation.

The government has been so clumsy and uncreative in its attempts to curb unemployment.

Instead of investing in agriculture and agro-allied industries which are labour intensive, our governor prefers to chase cottage enterprises that have no backward and forward linkages, and so adds no value to the economy.

A small pencil making operation that imports its components from China to assemble in a disused warehouse cannot create jobs.

It’s a no brainer! Akwa Ibom State does not have an agricultural programme that is designed to produce food and raw materials.

The government has arrogantly, perhaps for political reasons, refused to participate in the Central Bank’s Anchor Borrowers Programme which has boosted rice and wheat production and created millions of jobs in some states in the last two years.

With so much income, it is a shame that public schools in Akwa Ibom State are largely dilapidated and in a state of decay.

Children sit on the floor to receive lessons, yet the governor talks glibly of providing free education and paying N600 million a year as WAEC fees.

Ramshackle school facilities, poorly-trained teachers and lack of school resources contribute largely to the poor performance of Akwa Ibom kids in WAEC examinations despite the much vaunted free education.

Emmanuel manages Akwa Ibom finances with utmost opacity and recklessness.

He has been severely excoriated for proposing to build another Governor’s Lodge in Lagos with N21 billion, a worship centre in Uyo for N10 billion and a 21-storey high rise with undisclosed amount.

In all, the governor will just blow away over N100 billion on fancy buildings that cannot create jobs, but would end up adding to the long list of white elephant projects dotting our landscape!

The pact between the government and Julius Berger (and indeed other contractors) on its debt profile and repayment terms undermines the very fundamental principles of good governance.

By Etim Etim

Source: https://www.thekillerpunch.com/akwa-iboms-debt-burden/

Front Page: Lalasticlala

Another lie-nus thread...

First your fake blog LIED that Udom get 15-17 billion on average monthly.

This is a blatant LIE from the pit of hell!

Since 2015 the allocation that enters the pocket of ALL States and FG dropped massively unlike what obtained prior.

Udom don't get up to 30% of what he anticipated due to drop in oil price, DEBT that he inherited from Akpabio administration and other factors. Yet His government achieved enough in industrialisation, agricultural rejuvenation, good road networks, social investment and other laudable projects. Add to this, he doesn't owe civil servants and pensioners in the state.

The reason why lots of political jobbers are angry is due to the fact that Udom doesn't give free money like many had "expected".

Anyway, the wailing will go on till 2023 while Akwa Ibom smile to the good leadership of their amiable Governor

BTW: Under Udom, Akwa Ibom has become the second largest state in foreign direct investment, leapfrogging Ogun and only trailing Lagos state.

TonyeBarcanista:
Another lie-nus thread...

You cant debunk anything written up here. Name the incorrect figures listed. Lol I know you wont even attempt to.

Blue3k2:


You cant debunk anything written up here. Name the incorrect figures listed. Lol I know you wont even attempt to.

Argue with Akwa Ibom Syringe Factory

https://www.nairaland.com/4576744/5-things-know-jubilee-syringe

TonyeBarcanista:
Another lie-nus thread...

First your fake blog LIED that Udom get 15-17 billion on average monthly.

This is a blatant LIE from the pit of hell!

Since 2015 the allocation that enters the pocket of ALL States and FG dropped massively unlike what obtained prior.

I guess the debt figures are correct since you avoided mentionimg then. Instead you to address strawmen like FDI which nobody disagrees with. Yes he does owe pensioners abd entitlements to teachers stop it. Pointing to a syringe manufacting plant when arguing debt profile is odd. The plant is cool but doesnt change the overall picture.

Now lets adress the allocation amounts. Its more 12-14 billion.

TonyeBarcanista:
Another lie-nus thread...

First your fake blog LIED that Udom get 15-17 billion on average monthly.

This is a blatant LIE from the pit of hell!

Since 2015 the allocation that enters the pocket of ALL States and FG dropped massively unlike what obtained prior.

Udom don't get up to 30% of what he anticipated due to drop in oil price, DEBT that he inherited from Akpabio administration and other factors. Yet His government achieved enough in industrialisation, agricultural rejuvenation, good road networks, social investment and other laudable projects. Add to this, he doesn't owe civil servants and pensioners in the state.

The reason why lots of political jobbers are angry is due to the fact that Udom doesn't give free money like many had "expected".

Anyway, the wailing will go on till 2023 while Akwa Ibom smile to the good leadership of their amiable Governor

BTW: Under Udom, Akwa Ibom has become the second largest state in foreign direct investment, leapfrogging Ogun and only trailing Lagos state.

R
Stupid idiot after creating the naija Vs Kenya thread that has brought ridicule to Nigeria. Now you are paid agent for the Akwa ibom state government you must be a shameless man with no dignity

darfay:


R
Stupid idiot after creating the naija Vs Kenya thread that has brought ridicule to Nigeria. Now you are paid agent for the Akwa ibom state government you must be a shameless man with no dignity

He is a confused fellow. We all know that Nigeria is bad however, Nigeria at her worst still beats kenya economically and otherwise let alone when things start falling into place. Kenya is all about Nairobi and nothing else.
This is one of those ignorant Nigerias embarking on a deadly trip to Europe because in their foolishness Nigeria is the worst country on earth, only to get stuck in Libya.
The confused fellow is shameless and pathetic for creating the useless thread comparing a poor country with African Lion.
I wish that useless thread could be taken down.

Akwa ibom was doing well until they joined the "our oyel" crew. They are no longer a force to reckon with in human resource as they used to be in the 50s and 60s

Go and check Lagos States debt profile and you'll weep.
Lagos alone has about 80% of the total debt owed in Nigeria.....

TonyeBarcanista:
Another lie-nus thread...

First your fake blog LIED that Udom get 15-17 billion on average monthly.

This is a blatant LIE from the pit of hell!

Since 2015 the allocation that enters the pocket of ALL States and FG dropped massively unlike what obtained prior.

Udom don't get up to 30% of what he anticipated due to drop in oil price, DEBT that he inherited from Akpabio administration and other factors. Yet His government achieved enough in industrialisation, agricultural rejuvenation, good road networks, social investment and other laudable projects. Add to this, he doesn't owe civil servants and pensioners in the state.

The reason why lots of political jobbers are angry is due to the fact that Udom doesn't give free money like many had "expected".

Anyway, the wailing will go on till 2023 while Akwa Ibom smile to the good leadership of their amiable Governor

BTW: Under Udom, Akwa Ibom has become the second largest state in foreign direct investment, leapfrogging Ogun and only trailing Lagos state.

Abuja Overtakes Lagos in Foreign Capital Inflows

The Federal Capital Territory, Abuja has become the leading recipient of foreign capital inflows, commencing from the fourth quarter (Q4) of 2017.



In the first quarter (Q1) 2018, the nation’s capital also overtook with an inflow of $3.54 billion, the National Bureau of Statistics (NBS), has revealed in its ‘Capital Importation (Q1)’ report, which has just been released.

This indicates an increase of 32.24 per cent from the figure recorded in the previous quarter, when it reported $2.68 billion.

At the same time, capital importation to Lagos increased marginally by 4.59 per cent from $2.55 billion in the last quarter to $2.67 billion in Q1, 2018, while Capital Importation to Akwa Ibom was $43.62 million, which is a decline of 65.05 per cent from the figure reported last quarter ($124.85 million).

In contrast, Ogun, Bauchi, and Kano States witnessed strong growth in foreign capital inflow in the first quarter, each recording respective growth rates of 182.06 per cent, 370.59 per cent, and 154.84 per cent on a quarter-on-quarter basis.

https://www.thisdaylive.com/index.php/2018/05/12/abuja-overtakes-lagos-in-foreign-capital-inflows-2/

1. Slow down with your usual lies, Lagos state is the second largest state in foreign direct investment, Akwa Ibom is 3rd.

2. Foreign direct investment in Akwa Ibom under your paymaster actually massively declined from $124.85 million$ to $43.62 million, which is a decline of 65.05%.

Obviously, you are not doing your paymaster any favors with your bogus assertions.

3.You mentioned Ogun state, but you Ogun state actually did better than Akwa Ibom because while Akwa Ibom declined by 65.5%, Ogun grew by 182.06%/3 times your disaster growth rate in Akwa Ibom and even Kano grew by 370.59%.



Sycophants like you really should stop re-packaging and substituting obvious failures and decline with success.

Akpabio as the governor of Akwa Ibom posted the largest state budgets in Nigeria, even more than Lagos state under Fashola, but Akpabio commissioned just a few roads, 1 flyover, 1 library, 1 cinema, 1 football field and 1 uncompleted hospital.

Sadly, even the meager rubbish he commissioned was financed by JB and not by his huge budgets so exactly what did he do with the massive budgets?