The ministry of finance led by Mrs. Kemi Adeosun has released the state-by-state breakdown of the first tranche of Paris Club refunds, which President Muhammadu Buhari-government has paid to states in Nigeria. According to a statement signed by Salisu Dambatta, director of press, ministry of finance, the payments, which totalled N516.38 billion were made to the 36 states in the federation and the federal capital territory, Abuja.
“The debt service deductions are in respect of the Paris Club, London Club and Multilateral debts of the federal government and states. While Nigeria reached a final agreement for debt relief with the Paris Club in October 2005, some states had already been overcharged,” the statement added.
“The funds were released to state governments as part of the wider efforts to stimulate the economy and were specifically designed to support states in meeting salary and other obligations, thereby alleviating the challenges faced by workers. The releases were conditional upon a minimum of 50 per cent being applied to the payment of workers’ salaries and pensions. The Federal Ministry of Finance also said it is reviewing the impact of these releases on the level of arrears owed by state governments. Having received these funds, it is sad that a good number of state governors still owe workers.
The table below shows exactly how much every state got as refund of over deductions made from 1995 to 2002:
STATE AMOUNT RECEIVED
Akwa Ibom 25,981,255,165.12
Cross River 12,150,687,893.85