Ogun lawmakers approve governor’s N18.9b loan request

Ogun State House of Assembly yesterday approved the state government’s request to obtain a loan of N18.9b to offset outstanding deductions/subvention to workers on its payroll. The loan, which is to be obtained from Guaranty Trust Bank of Nigeria, is under the Federal Government bailout programme.

According to Governor Ibikunle Amosun’s letter to the Assembly, which was read by the Speaker Suraju Ishola Adekunbi during the plenary, the loans were broken down into N9.779b for outstanding deductions/subvention and N9.139b for the Local Governments in the State.

The governor’s request was a follow up to the House Resolution 008/2015 authorizing the restructuring of the commercial bank loans into Federal Government of Nigeria Bonds, which would enable the State to fully participate in the bailout scheme.

The approval was granted through a resolution after the motion for the passage was moved by the Majority Leader, Adeyinka Mafe, seconded by Oluwasesan Soyebo and supported by the whole House.

Earlier, while opening debate on the motion, Mafe explained that the loan would cater for the backlog of civil servants deductions, which would help in boosting their morale thereby enhancing productivity.

He added that the loan, which would be in a single digit interest rate, would bring succour to civil servants at the State and Local Government levels.

In their submissions, members including the Deputy Speaker, Olakunle Oluomo, Chief Whip, Idowu Olowofuja, Minority Leader, Wale Alausa, PDP Whip, Jemili Akingbade, Akanbi Bankole, Tunde Sanusi and Ganiyu Oyedeji said that the loans would take care of cooperative deductions, salaries and outstanding allowances of the civil servants who had been active partners in the implementation of various government policies and programmes leading to success of the rebuilding mission of the Governor Ibikunle Amosun -led administration.

Other members who contributed: Olusola Sonuga, Yetunde Sogbein and Adeleye Adebiyi opined that the payment of the outstanding deductions from the loans would serve as a relief to government as the backlog of debt owed public servants in the state would be cleared.