The Ogun State Government has signed a multi-billion dollar construction contract with a Chinese company, China Civil Engineering Construction Company (CCECC) on the construction of intra and inter-city rail network in the state.
The signing which took place on Monday, at the Governor’s office, Abeokuta, the state capital, was done by the Secretary to the State Government, Mr. Taiwo Adeoluwa and the Chairman of CCECC, Mr Cao Baogang. The event was, however, supervised by the Governor, Mr. Ibikunle Amosun and the Chinese Consul General in Lagos, Mr. Lin Kan.
Speaking on the significance of the rail project to the economic development of the state, the governor noted that the project would ease transportation problems in the state.
He however noted that majority of the raw materials to be used for the projects would be sourced locally and local suppliers would be encouraged and supported to tap into the opportunity provided by the project.
The Ogun State Government has announced the payment of salary deductions and cooperative dues, with 1.5 billion Naira released on Friday.
The payment covers deductions of salaries affecting both State and Local Government workers.
In a statement by the State Commissioner for Information and Strategy, Yusuph Olaniyonu, the state government said the payment was in fulfillment of the agreement reached between the Governor of Ogun State, Sen Ibikunle Amosun and the workers during an interactive session held last month in Abeokuta, the State’s capital.
Prior to the downturn in Federal Allocation and the general economy, the State Government had been remitting salary deductions as and when due and had also cleared arrears inherited from the past administration.
However, the suddenness of downturn adversely affected both the Federal Allocation and Internally Generated Revenue, thereby creating fresh arrears.
The State Government said that the release of salary reduction demonstrates that it has successfully adjusted to the new financial reality and was confident that it would be able to clear the balance of arrears expediently.
Ogun State Government further assured the workers that the government would always protect their interests at all times and restated the fact that it had no plan to sack any worker.
The financial adjustment, the State Government stated, was achieved through increased spending inefficiencies and enhanced focus on Internally Generated Revenue.
The State Government further expressed gratitude to the workers for their patience, understanding and co-operation since the administration assumed office, particularly when the economic downturn led to delay in the remittance of the deductions and co-operative dues.