By Bimbo Ogunnaike
Kogi State government has opted for a loan of 100 million Dollars to fast track socio-economic development in the state, just as the State Executive Council has approved the creation of a new Department of International Cooperation to coordinate funds from World Bank, and other donor agencies.
The State Commissioner for Finance, Budget and Economic Planning Asiwaju Idris made this disclosure to newsmen on Wednesday in Lokoja,the state capital while briefing newsmen after the State Executive Council (SEC) meeting.
Idris said there was no cause for alarm over the intended debt as the state is buoyant enough to sustain its present and expected debts.
The commissioner said the state had already paid a visit to the Senate to defend its need for the 100 million dollars which when released would be channeled towards developing the Staple Crop Processing Zone, SCPZ in Alape, Kabba Bunu area of the state.
“The 100 million dollar when accessed will be used to build roads, construct electricity and other social amenities within the Alape Crop Processing Zone.
“This will in turn make the place and the state accessible to investors to come in and do agricultural businesses; a development that will generate income and employments for the state.”
On weather the state can still borrow, Asiru said, “Yes, we can still borrow. The fiscal sustainability of the state gives room for borrowing. If the state debt has not gone beyond 250 percent of its income then, it can still borrow. Kogi is presently on 147 percent.
“Also, a state that is not using more than 40 percent of its Internally Generated Revenue, IGR, to service loan can still borrow. Kogi is presently using only 28 percent of its IGR to service loan. We still have a difference of 12 percent to borrow.
“We are not borrowing for consumption. We are borrowing to build capital projects. This is in line with the state governor’s fight against insecurity. Because if you don’t provide food security then any fight against insecurity will be a mirage.”
According to him, all ministries have also been mandated to look inward and contribute to the economic development of the state in line with the fiscal discipline directive of the governor’s agenda.
Also speaking, Commissioner for Information, Communication and Strategy, Kingsley Fanwo said the state government has directed the security apparatus to put in measures that will ensure security of life and properties.
He said the governor’s directive is in response to the recent crisis in Aku village of Ankpa local government that led to the death of three persons and burning of many houses over chieftaincy tussles.
“The state has put in a rapt security strategy which may not be revealed now, but is in place to stop any form of crises.
“The state has also set up an empowerment program for youths and women to address poverty in the state”, he informed.
He said government received the twin attacks in Gegu and Obajana areas and “the governor has directed the State Security Adviser to coordinate security operations not only to apprehend the pockets of criminals who perpetrated the acts; but to ensure that the flash points are well covered to guarantee safety of life and property across the State.
“The Government of Kogi State will stop at nothing to retain its ratings as the second most committed to security, as the lives of our citizens and those of travelers within our territories are important to us. Government will not shirk the responsibility of protecting people within the Kogi State territory.
“As a Government, we are not prepared to negotiate with any criminal. We will dismantle their gathering storm with the Operation Total Freedom that has the capacity to ensure we retain the confidence of our people in the area of securing them and their property.
“The situation doesn’t call for the red button as it is firmly under control. The governor will remain resolutely committed to his iron-cast security approach.
“Kogi people and travelers within Kogi territories should go about their lawful businesses without fear as the crime-flash has been doused.
