Abia state government has clarified that it is yet to get any bailout from the federal government, pointing out that the N3b it received is her share of the $1.7 b LNG fund shared among the three tiers of government by the federal government.
The Economic Adviser to the Governor,Mr Obinna Oriaku who disclosed this in an interaction with journalists said the state is still on the process of getting a bailout of N30 bill from the federal government.
According to him, there must be an endorsement by the state House of Assembly guaranteeing the bailout with a repayment period of up to 20 years, pointing out that the N30 b bail out the state is seeking for is not for fresh debt but rather the sum total of obligations including arrears of pensions and salaries as well as indebtedness to contractors etc which the federal government is buying over as federal government bond for outstanding obligations from the state.
He explained that due to the declining oil receipts, the federal government is being proactive to ensure that the nation including states do not grind to a halt.
The Economic Adviser who explained that the bailout will help the state clear the backlog of pensions and salaries and other indebtedness pointed out that some states are heavily indebted.
He disclosed that the state government has succeeded in saving close to N160 m from the staff verification exercise it was embarking on across ministries and parastatals in the state to fish out ghost workers, pointing out that the exercise was not meant to witch-hunt anyone.
According to him, the exercise was meant to ensure that only those working were paid.