Cross River pays N55bn debt in 12 months – Governor Otu

Governor Bassey Otu of Cross River State said that since assumption of office on 29 May, 2023, a total of N55 billion has been paid to offset debts and contractual obligations.

Addressing reporters at a dinner organised on Thursday night in Calabar to present his administration’s scorecard, Mr Otu said that the government achieved this through prudent management of resources.

“These are debts we met and which we must begin to pay if the state is to move forward,” he said.

The governor refuted a report by the Debt Management Office (DMO) that the debt burden of Cross River State stood at N220.20 billion.

The DMO had said that the state recorded an 8 per cent increase in domestic debt profile after the present government borrowed the sum of N16.15 billion.

According to the DMO, the state debt burden rose from N204.05 billion to N220. 20 billion in six months.

“On the much talked about debt burden of the state, I wish to clarify that the error that was caused by the Budget Office of the Federal Ministry of Finance has been corrected and the adjusted figure shall be uploaded on their website soonest,” he said.

Mr Otu also said his administration reactivated the state reserve fund account which at present has a balance of N3.7 billion.

“We have also initiated the process of valuing critical assets of the state, which will invariably expand our investment portfolio,” he said.

The governor said further that the state has introduced full automation of revenue collection.

The essence, according to him, was to monitor major revenue generating ministries, departments and agencies as well as block leakages.

Mr Otu said that automation of the system was also to facilitate deployment of necessary measures to collect revenue from micro and small businesses in rural areas across the state.

“From June 2023 to May 2024, the state Internally Generated Revenue has grown by 60.6 per cent to N36.3 billion,” he said.

(NAN)