The Edo State Government says it has loaned local government councils in the state, the sum of N850 million to clear salaries of council workers for December, in lieu of the release of Federation Accounts Allocation Committee (FAAC) allocations to the councils.
The state governor Godwin Obaseki on Wednesday said he got the recommendation from the state’s ministry of finance which confirmed that the councils are yet to receive an allocation from the Federation Account even after the December 18, 2021, FAAC meeting in Abuja.
He disclosed this during an onboarding programme for his political appointees at the John Odigie-Oyegun staff training centre in Benin City, the Edo State’s capital.
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The governor said its prudent management of public resources, made it possible to settle salaries and pension of state workers since December 14 from its Internally Generated Revenue (IGR).
According to the Finance Ministry who were part of the virtual FAAC meeting of December 18, where N675.9billion was shared among the three tiers of government, Edo state local government authorities have not been able to access their funds thereby putting them in a financial crisis.
In view of this, however, the executive council agreed that the State Government advance the 18 local government councils in the state a bailout to enable them to clear the salary of their workers.