George Okoh In Makurdi
Out-going Governor of Benue State, Mr. Samuel Ortom, yesterday handed over a debt profile of N187.56 billion of Benue state to the in-coming governor, Rev.Father Hycinth Alia.
In a summary hand-over note by Ortom to Alia,he said the total indebtedness of the Benue state government “At this time of the exit of my administration from office is N187.56 billion this is inclusive of salary and pension arrears, loans and bonds as well as outstanding contractual obligations, debt swap; expected inflows and debt reduction.
He said although the debt situation of the state government at this time of the exit of his administration might appear on the high side, he assured them that his administration had taken proactive steps to negotiate, ensure significant debt reduction/reliefs.
“Debt swap between Benue state and Federal government. Total Debt Swap for State and Local government councils(N71.6 billion); In flows being expected backlog of accumulated Stamp Duties (N48 billion); refund from Debt Swap with Federal Government (N22.95 billion).TotalingN70.95 billion.
“Thus, by the time you discount or factor in the negotiated debt swap and the expected inflows, the State would attain a debt reduction and bringing down the state’s debt profile to N45.2billion.”
He said in addition, Benue state has outstanding approvals awaiting disbursement from the federal government.
In his response, Alia promised to develop the state and improve on the debt profile of the state.
