Governor Kayode Fayemi of Ekiti State has been taken to the cleaners by his predecessor, former Governor Ayodele Fayose.
In a statement, Fayose’s Media Aide, Lere Olayinka said; “The claim by Governor Kayode Fayemi that Ekiti State is indebted to the tune of N170 billion is false.”
“Ekiti State indebtedness is under N60 billion and the debt is either directly incurred during Fayemi’s first tenure or as a result of the loans restructuring done at the instance of the Federal Government and the Federal Economic Council, FEC.”
“The breakdown is as follows: Commercial Bank Loan, N2,08 billion; CBN Grant for Water Project, N163.45 million; Excess Crude Account Backed Loan, N9.5 billion; Bailout, N9.08 billion; FGN Bonds, N18.22 billion; State Bonds, N3.48 billion and Budget Support, N16.86 billion.”
“We are challenging Fayemi to name the banks being owed the N170 billion and monthly repayment by the State Government to such banks. He should rather tell Nigerians how it is possible for a State that is indebted to the tune of N170 billion to be making N1.1 billion repayment monthly.”
“Fayemi should publish the Debt Management Office, DMO, Ekiti State Executive Council and House of Assembly approvals for the loans since no loan can be taken without these approvals.”
“In September this year, Fayemi claimed that Ekiti debt was N117 billion, one month after, he said the debt is N170 billion. So, the debt increased from N117 billion to N170 billion in less than 30 days?”
“The Federal Government deliberately refused to release legitimate funds belonging to Ekiti State to the Fayose administration and for this reason; the arrears of salary could not be cleared as promised.”