TheCable

Dapo Abiodun, governor of Ogun, says the administration of Ibikunle Amosu, his predecessor, failed to capture a N50 billion domestic debt in the financial report handed over to him in May 2019.

Kunle Somorin, chief press secretary to Abiodun, said this in a statement on Monday in Abeokuta.

Reacting to the Debt Management Office (DMO) report released in March 2021, which indicated that Ogun borrowed N58.31 billion as domestic debt between June 30, 2019, and December 30, 2020 (18 months).

As at June 30, 2019, DMO reported that the state was owing a total domestic debt of N95.17 billion a month after Abiodun came on board as governor.

According to the statement, the N50 billion in financial liabilities were not accounted for in the financial report handed over to the Abiodun in May 2019.

“We only got to know about this amount in the course of our carrying out due diligence on Ogun state finances shortly after we took over,” the statement read.

“And as a transparent government, committed to being accountable, we had to disclose this for the first time to give a true picture of the state’s indebtedness.

“The increase in the 2020 total debt of the state was due to an undisclosed gratuity and staff liabilities of about N50 billion not recognised in the state financial statements in May 2019 at the end of the previous administration.

“In order to show the complete picture of all state liabilities, the current administration booked the gratuities and staff liabilities in the financial statements of the state hence the increase.”

Abiodun reiterated his administration’s commitment to transparency and accountability in all matters, adding that he will remain steadfast in completing all projects inherited by the past government and those initiated by himself.

Meanwhile, DMO’s report shows that Ogun’s total domestic debt stock as at December 30, 2020 stands at N153.49 billion.