TheCable

Alex Otti, governor of Abia, says his administration has initiated measures to cut down the cost of governance and save money.

Otti spoke at a monthly media interactive session held at the government house, Umuahia on Sunday night.

The governor said the money saved from frivolous spending by past administrations has made it possible for his government to pay salaries and pensions as and when due, and mobilise contractors for ongoing major developmental projects.

The governor said cutting down the cost of governance remain a necessity for achieving enhanced development and economic stability in the state.

“We have been able to save money from FAAC by stopping frivolous expenses such as paying a certain amount of money to ‘stakeholders’,” he said.

“In the new Abia, if you want to get money, then you have to work and earn money.”

Otti said his administration is focused on financial reengineering to ensure that the resources of the state are properly handled by professionals for best results.

He added that his government has not taken any loan to execute projects in Abia.

He said his government is circumspect about borrowing because of the outstanding N192 billion loan it inherited from the Okezie Ikpeazu-led administration.

Otti, however, noted that the government would certainly borrow at the appropriate time to finance “the huge projects” it had started.

He said the state had already initiated discussions with some financial institutions for such facilities.

“It is not wrong to borrow to finance capital projects that would develop the state and not for frivolous spending,” he said.

“Contractors have been mobilised to site with the money saved from discontinuing frivolous expenses introduced by past administrations.

“A lot of things have changed and I urge everyone to wake up and be part of the change.

“We want to fix the most important commercial and industrial hub, which is Aba, and when you fix Aba, it will generate funds.

“This is because ours is a government that understands the cost of governance, how the economy works, the velocity of money and does not spend frivolously and share money.”