A cross section of Returning and Governors-elect on Wednesday revealed plans toward reducing the debt burden at Subnational level on resumption of duty on 29th May, 2023.
They gave the assurance during the panel discussion held at the ongoing induction programme organised by Nigeria Governors’ Forum (NGF) held at the State House Banquet Hall, Abuja.
In his address, Governor Bala Mohammed of Bauchi State who spoke on rising debt profile, observed that Nigeria cannot continue to embark on a borrowing spree considering the rising national debt profile.
He said: “I wonder what the World Bank is doing. Apart from giving us grants, assistance in SFTAS and of course loans they should be able to raise a red flag, they should be able to tell the managers of our economy that we cannot continue to borrow endlessly.
“Our debt servicing requirement is about 95% of the revenue. And so the states are affected by this macro-economic reality. The oil proceeds are not being shared. And we’re here celebrating success, what success? we are going to go under unless we do something inward to really correct our own perception, our own notions and our own approaches to the management of the economy of the country. It is a monolithic economy.
“And yet even where we are getting money, we have taken so much up front, the Federation has to be looked at as a structure because states have to have a say in the management of the economy,” he said.
On his part, Plateau Governor-elect, Reverend Father Caleb Nutfwang who gave insight into plans to tackle the issue of rising debt in the state, stressed the need for both Federal and Subnational Governments to adopt the right economic policy as well as diversify the state economy.
He said: “This is both a national and sub national issue. We at the national issue will be collaborating with the Federal Government, as members of the National Economic Council, to come up with the right policies that we’ll be able to reverse our debt situation.
“And of course, reversing debt is not rocket science, you have to create wealth, you have to add more money to be able to pay your deaths. So we must look at ways and means of creating wealth as a nation. For us back on the plateau of course, we’ll be looking at how to be able to boost our economy, diversify our economy, and ensure that there is effectiveness in all the productive sectors of our lives.
“And at the end of the day, the bottom line, again, is that our people must come out of poverty and begin to create wealth, so that we can be able to pay more taxes, improve our IGR. And then from there, we can be able to reduce our debts.”
He also noted that World Bank as a responsible international financial organization, should “have been able to put across to the managers of our economy, that things are getting beyond the thresholds.
“I would want to believe that such warnings have not been given. But again, whatever they do, whether they did or didn’t do, we owe ourselves the responsibility to know. We don’t need the World Bank really to tell us that there is a red flag. We ourselves, if we appoint the right people, we should be able to come to a point where we know that all is not well. And I think as a people, even the ordinary man on the street most today know that we need to do something quickly to address this.”
On his part, Katsina Governor-elect, Mr. Dikko Radda who reeled out plans to reduce the State debt profile, said:
“I will go and study the debt profile of our state and try to see how we can restructure the loans so that it will allow us some leverage to be able to do some developmental programs in my state, especially at the situation in which we are today. We have a very serious security issue, which we need a lot of resources to confront.
“And then I think the most important thing that we need to do we look at the whole financial situation of the state. We look at the debt profile of the state and we try to See how we can restructure it to allow us to meet all some of our obligations on the people.”
He also warned that Nigeria should “be careful on the debt for the country or our states, because it may have some negative negative impact on the economy and when you look forward, and because it’s just a matter of analysis. there is nothing wrong to borrow to the develop but it’s wrong to borrow to spend uselessly.”
In his remarks, Benue Governor elect, Reverend Father Hyacinth Alia urged all the incoming Governors to create “new way for us to know where to follow, what to avoid and try to see how you can manage people’s expectations. You know, like myself, it’s quiet tall.
“So when you hear colleagues, out going, what they expressed. then it’s a sort of an incentive for you to reposition yourself and create a new balance so that you don’t disappoint yourself or you don’t disappoint the people or you don’t disappoint your nation. So it is very, very impactful. security infraction in Benue State, How are you going to go able it?
“At this stage i will no want to be propagandist on issues of security. i take issues of security very deeply but i know a number of things have not been put in place. the traditional role to this was never … the youth were neglected, the boarders were left so porous, so we need to get back to the drawing table, all the stakeholders on this thing and then we can this. And then we can chart a way forward.
“When you’re dealing with people known transparently, and then the number of results that you have are erroneous enough. So, when you have a vision when you have a goal. I will know that we will take an oath to protect lives and in the practice of the citizenry, so you do not keep closer to the tenets of the oath and then when we saw counted will be very transparent and you know, wearing a human heart what’s going to be done to another person can be means, if it is evil just imagine it might be yourself in the position, so the evil comes back to you.
“Some when you put all these together I mean, you put in your best and the best and never be wrong at all even before me,” he noted.
READ ALSO FROM NIGERIAN TRIBUNE
