Abia State Governor, Alex Otti, disclosed on Friday that his administration inherited a staggering debt of N192.2 billion from his predecessor, Okezie Ikpeazu. Speaking during an interaction with journalists, Otti clarified that Ikpeazu had himself inherited N34.5 billion in debt from the previous administration.
Acknowledging the financial burden, Otti noted that efforts had been made to alleviate it by paying off some of the debts, particularly those burdened with high-interest rates. He emphasized the importance of prudent financial management in navigating the challenges posed by such debts. Otti expressed satisfaction that the state was not listed among debtor states recently identified by the Debt Management Office.
Responding to allegations of excessive borrowing, Otti defended his administration’s fiscal decisions, stating, “Borrowing money is not bad, but what you do with the money you borrowed.” He stressed the significance of transparent utilization of borrowed funds and hinted at undisclosed financial strategies employed by his administration.
Regarding pension arrears, Otti assured that his administration had fulfilled its promise to clear outstanding payments. He highlighted the completion of a challenging verification exercise and confirmed that all pensions had been settled, providing relief to thousands of pensioners. Otti pledged to ensure timely payment of pensions going forward, vowing to prevent any recurrence of backlog issues.
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In terms of infrastructure development, Otti expressed satisfaction with ongoing projects across the state, particularly in local government areas. He lamented the neglect suffered by many local government headquarters under previous administrations but affirmed his commitment to revitalizing these areas.
Addressing concerns about the alleged diversion of local government funds, Otti asserted that such practices would not be tolerated during his tenure. He assured that local government administrations were functioning effectively under his supervision, and efforts were underway to address salary arrears in parastatals.
