The Governor of Zamfara State,
Abdualziz Yari, has said that some
banks have seized the $2.1 billion
dividend paid into the Federation
Account by the Nigeria Liquefied
Natural Gas Company (NLNG), which the Federal Government
used to bail out debtor- states. The fund was part of the
presidential palliative as
intervention package to help
bankrupt states settle salary
arrears. Yari, who again met with Vice
President, Prof Yemi Osinbajo
(SAN) that no other bail-out aside
the NLNG has been released to
states, but that some states had
theirs seized because they were lagging behind in their loans
repayment. Yari, who is also the Chairman of
the All Progressives Congress
(APC) Governors Forum, said,
“what I am saying, no money has
been released yet, but I think the
NLNG money that was given, some states, their shares were
taken by the banks because of
debts. So, automatically, that has
to go there. “But I think the Central Bank of
Nigeria (CBN) governor is
negotiating with the banks on how
we are going to share, now we
have agreed that this bailout or
intervention funds are coming so that they will know the purpose
the palliative was made for the
states to rescue them to pay staff
salaries. “But for sure, some other
governors reported that money
went to their accounts, it was
taken by some banks because of
their outstanding loans”, he said. Yari also blamed the media for
demonizing some governors over
their distressed situation, saying if
the banking sector and the
downstream sector got bail-outs,
there was nothing wrong if states in distress are also assisted out. He said: “The Federal Government
wants to give bailout to states
because of the situation but the
way you guys (the media) are
talking about it. Of course, the
bailout is in the works and the bailout can be made either to the
states or to any sector of the
economy. “As I have been saying, the bailout
has been made in the banking
sector and bailout has also been
made in the downstream sector of
the economy.

Seriously

Ur problem,sa dnt ask for 2nd bail

Naija is just a wonderful country!

I actually don't blame the banks. Until we practice true federalism/regionalism we will continue to go round in circle. As long as we are tuned to believed there is a pool of money where anyone (states in this case) can just scoop money to resolve issues, the gov will continue to borrow and run the states anyhow.

Till we create revenue making projects and acknowledge what belongs to who it will be difficult to sort out ourselves.

And some of the governors who created this mess are in the Senate.
God will punish anyone who says Buhari should not probe GEJ's tenure.

And some of the governors who created this mess are in the Senate.
God will punish anyone who says Buhari should not probe past state governors and GEJ's tenure.

Smart banks, do you want kill the banks?

Just of recent there was mass sack in the construction companies,
Banks are not moving on well, declaring loss or low dividend,
White-Elephant projects dot the landscape of our country at the expense of the construction companies who fund the projects by bank loans.

Yet politicians wont let the banks be, they obtain loans for various white elephant projects which would never see the light of their handover dates.
The last election was the costliest in this nation, that one of the reasons we keep detecting looted funds day-in-day-out like Avast antivirus.

Was it that the civil servants are not productive enough to generate incomes that covers their salaries or the governors doesn't have a good budget for recurrent expenditure?

My advise is for these governors is to revolve the loan (if(5+(-5)=0, then revolve -5 )). Or we should start bankruptcy proceedings against them.

[size=78pt]Oliver[/size]

Ok

The folly of this administration is just beginning

This bailout was a total waste

[img]http://paulboyden.files./2009/12/img_4017.jpg[/img]

a hole in the water so to speak

Hmmmm, like seriously, this is what I call, Serious Magana

codedguy1:
Naija is just a wonderful country!

I actually don't blame the banks. Until we practice true federalism/regionalism we will continue to go round in circle. As long as we are tuned to believed there is a pool of money where anyone (states in this case) can just scoop money to resolve issues, the gov will continue to borrow and run the states anyhow.

Till we create revenue making projects and acknowledge what belongs to who it will be difficult to sort out ourselves.

seconded

onomeasike:
And some of the governors who created this mess are in the Senate.
God will punish anyone who says Buhari should not probe GEJ's tenure.

Who are these governors you talk about?

But you said FG did not bail you out?

This just just goes to show what happens when a country is run by illiterates.

it's totally crazy to give a bail out to the states without conditions. Did the FG do any due diligence on the states finances? How can you release funds to a state, where the bank already has first call on the states monies, of course the bank will first take their share.

If proper due diligence had been done, then the where a state is owing banks, the FG should have negotiated a debt restructuring package with the banks, and the FG would take over the responsibility of the debt, ensuring an agreed deduction from the states monthly allocation to service the debts. There would also need to be an agreement in place prohibiting the stare from incurring further debts, as well as forcing the state to undertake cost cutting and revenue generation exercise.

But of course this is Nigeria, where people just eat pounded yam, go to sleep, and wake the next day and announce whatever policy they want, with no proper analysis or planning. Bloody zoo of a country.

dulaman:
But you said FG did not bail you out?

Change mouth government