Rivers State Commissioner for information and Communications, Mrs Ibim Semenitari has said that the debt profile of the state government is below N100billion as against over N300billion alleged by some groups.
A group, the Niger Delta Citizens and Budget Platform (NDCBP) recently raised the alarm over the rising debt profile of the state, saying that if the state government goes ahead to secure the N52billion loan that was recently approved by the State House of Assembly, the external debt profile of the state would increase from $322million to near $600million.
Semenitari, who spoke while briefing journalists in Port Harcourt at the weekend on the planned International Fashion Week, tagged, ‘Native and Vogue’, stated that the state government had incurred debts amounting to N81billion. She disclosed that the state government sets aside N11billion every month to service its debt profile, therefore, would not leave any debt for the incoming government.
She explained that the frequent recourse to the state House of Assembly for loans through bonds in the Nigerian Stock Exchange (NSE) is necessitated by the resolve of Governor Chibuike Amaechi to adhere to the dictates of the law that requires the governor to seek fresh approvals if monies previously approved by the Assembly were not accessed during the legislative year while the House was in session.
The commissioner said, “Even after the House of Assembly has approved the loan, you cannot draw the loan without the approval of the House. In the case of the $285 million for the Port Harcourt water project, the governor went back to the House to ask for permission to draw the money. And the House graciously approved the draw down. As of today, I repeat, the government of Rivers State has not drawn down any kobo from the monies that have been approved by the House, including the previous N100 billion Bond.
“As for the $285 million World Bank and African Development Bank, AfDB, approvals, you cannot draw all the monies at once. It is not feasible. You draw them in phases. As you reach each milestone, you draw. Not one cent, not one kobo has been drawn by the government of Rivers State. Can you have a debt before you borrow it? ”
She also emphasized that Governor Amaechi initiated the ‘Native and Vogue’ concept in December 2013, as a vehicle to rebrand, promote and market the state as a business destination that is peaceful and safe to do business, having been severely smeared by the violent years of unbridled cultism and runaway armed militancy in the creeks and waterways.
Semenitari said, “Native and Vogue is the destination brand that Governor Amaechi evolved to change the conversation about Rivers State. About 400 young designers are expected to participate in this year’s event, and about 60 per cent of them are form Rivers State. We are expecting designers and models from Europe; United States; Argentina and South Africa. Even with the unfortunate outbreak of Ebola, about 100 designers and models have signified their intention to participate in the event.”
