Delta’s Debt Profile Stands at N272bn, Says Finance Commissioner

Retirees protest unpaid pension

The Delta State Commissioner for Finance, Fidelis Tilije, yesterday said the state’s debt size was not more than N272 billion currently.

Speaking with newsmen at the Government House in Asaba, Tilije said about N110 billion is owed to contractors and outstanding pension while balance comprises debt was inherited by the Okowa administration.

According to him, the COVID-19 pandemic significantly affected debt servicing in the country.

“The debt profile as we speak is N272 billion; that is the debt size. Out of this, N84 billion is due to contractors, pension arrears is about N27 billion. The balance was debt profile inherited by this (Okowa) administration.

“There have been bailouts before we came, there have been series of indebtedness (contractual obligations) and then, naturally, we needed to carry them out.

“The CBN at some point in time through the instrumentality of NEC, had to freeze the payment of indebtedness that were granted to past administrations because of the COVID-19 pandemic.”

On the much-talked-about refundable arrears of deductions from the 13 percent oil derivation fund, the finance commissioner said that Delta had accessed a total of N44.7 billion out of the N240 billion, representing about 18.6 per cent of what is due to the state.

Tilije said: “What are the expected refunds that we (members of the public) kept bandying across? We have a total refund of N240 billion with respect to 13 per ent derivation. Out of this, we have received N14.7 billion in three quarterly installments. And, also accessed N30 billion from the bridging finance.

“We had attempted to approach the market to discount a figure of N150 billion, which is about half of the expected refund. We eventually rejigged that process and reduced it to N100 billion. So, we have received N14.7 billion and have also accessed N30 billion from the commercial market ( banks).”