The Edo State Governor, Adams Oshiomhole, says Nigerian states are not alone in the difficulties being faced in paying workers’ salaries, as the Federal Government is equally in the same dire situation.
Governor Oshiomhole told Channels Television, that the Federal Government was only able to pay its workers with borrowed money.
He claimed that the current crisis could have been avoided if his warnings were not dismissed by those managing the economy.
‘In Same Bad Shape’
“Every year, the Federal government borrowed in trillions of Nigeria, both in domestic sources and foreign sources to meet, not capital projects, but recurrent expenditure.
“At the National Economic Council meeting I have confronted the Minister of Finance face to face on these facts. Whatever we said then was viewed not for its weight but viewed in political terms.
“What is not often stated is the fact that the Federal Government is in the same bad shape,” the Edo State Governor said.
Governor Oshiomhole further explained that the only difference was that Federal Government had been able to sustain the payment of workers’ salaries with funds borrowed rather recklessly.
“If states have access to CBN to command it to provide funds, however, unfairly, to do the sought of thing that the Federal Government was doing, the Federal Government should have defaulted for more than six consecutive months.
“The correct evaluation is that both Federal And States, many are unable to meet their wage obligations within their legitimate income,” he stressed.
The Nigeria Labour congress had said that at least 18 states out of 36 were owing workers’ salaries for over five months.