‘Okonjo-Iweala borrowed recklessly,’ Governor says

monjola sotubo

June 23, 2015 2:15 PM

Oshiomhole said further that the FG was only able to hide its condition because it had easy access to funds.

Governor Adams Oshiomhole

Edo State Governor, Adams Oshiomhole has said that the Federal Government is in a worse financial position than the states that are owing salaries.

The governor made the comments while speaking on Channels Television’s “View from the top”.

He said:

“When analysts and commentators allude to the facts which everybody can see that many states, maybe as much as two-thirds of the states, are not up to date in payment of salaries, allowances and other obligations to their work force, what is not often stated is the fact that the Federal Government is just in the same bad shape.”

“The only thing for us is that under the immediate past minister of finance, they have borrowed rather recklessly in trillions of naira to meet the wage obligation of the Federal Government. For example, Jonathan can be said to pay wages, only to the extent that Okonjo-Iweala borrowed from CBN, from various bond instruments, including drawing down over N3 trillion from pension funds.

Meanwhile the governors of Nigeria’s 36 states are meeting with President Muhammadu Buhari to discuss the possibility of a federal bail-out to enable them pay salaries.

monjola sotubo