Abia State Governor, Alex Otti, has urged participants of the Internal Generated Revenue retreat organized by the state government to come up with a long-lasting plan that would result in an improvement in the state's IGR to make the state financially strong.
The governor delivered the message at the Government House in Umuahia, during a special presentation of the report from the two-day retreat for IGR stakeholders in the ministries, departments, and agencies of the state government.
He mentioned that he anticipates a situation where the state’s IGR would significantly increase and cover the expenses for loans to fund the 2024 budget.
He stated, “If we do what we are supposed to do and we do it correctly, then there is no reason why the over N400bn that is supposed to be raised as loans should not be reduced to the bare minimum.
“So, we anticipate a situation where Internally Generated Revenue would significantly increase and cover our expenses for loans.
“So, in simple terms, what I am saying is that we believe that by the end of the year, we will not borrow as much money as we had put in the budget.”
He mentioned that in other places, the government earns income and incurs expenses, which he described as a misnomer, a situation where sub-national governments go to the central government for allocation.
He expressed hope that if the right thing is done, by the end of the year, the state should not have borrowed as much as it puts in the budget.
Otti also took the opportunity to further discuss the repealing of the pension law for ex-governors and their deputies in the state.
He said, “So when you saw that we put through our resolve to reduce the cost of governance by stopping unnecessary payments to people who have left government (former Governors and their Deputies), it is because we truly believe that the right thing should be done.
“Very soon we will also be former governors. So, the policy is not targeted at anyone, it’s aimed at good governance, it’s aimed at reducing the cost of governance. And honestly, we believe it is the right thing to do.
“We don’t believe that politics is a business. We believe that people should have established careers before taking up public service. And if you have chosen to serve, then you should be willing to make the necessary sacrifices.
“If you find yourself in this position, you should consider yourself fortunate that people trust in you, and give you their support and their votes, it is a privilege and the least that is expected of you is to make sacrifices for the betterment of the State. So, the days of sharing money are over, the days of blood-tonic politics are also over. This is the time to make sacrifices for the interest of the State.”
In his speech, the Commissioner for Finance, Mr Mike Akpara, said there was a need to change the narrative, and added that the government must do things differently by generating a substantial IGR.
While explaining that the government would not burden people with excessive taxes, he said that all taxes would be based on the government's promises to the people, and called for everyone to work together to generate sufficient revenue for the state.
“If we want to reduce our debt burden, we need to make changes. We can't keep doing the same thing and expect a different result. So, what will we do? We will increase our internally generated revenue, and that's the way forward.”
