Abia State government has announced plans to offset in tranches, the N16.5 billion salary arrears owed to staff of the state-owned institutions of higher learning by the immediate past administration.
Commissioner for Finance, Mr Mike Akpara, who disclosed this to journalists in Umuahia, assured that the government would equally pay off in batches, the arrears of salary owed to some workers in the state civil service.
Akpara explained that the present administration inherited a debt of N16.5 billion arrears owed to workers in state-owned institutions of learning, stressing that the government has resolved to clear the debts while ensuring that progress in other sectors of the economy is not hindered.
He said; “For salary arrears, the Governor has set up machinery in motion to ensure that salary arrears would become a thing of the past.
“One thing I will promise is that it would be paid but it is not going to be in one swoop. We will do it in instalments so that it does not hamper the progress of other sectors of the economy.”
He listed the state-owned institutions of higher learning being owed to include, Abia State University, ABSU, Uturu; College of Education Technical, Arochukwu; College of Health Sciences, Aba; Abia State Polytechnic, Aba and Abia State University Teaching Hospital.
The Commissioner faulted the financial management practices of the previous administration, noting that subventions provided to institutions did not translate into timely salary payments which over time resulted in months of unpaid wages.
“The total amount of salaries being owed to all these institutions, as we speak is N16.5billion and the government is expected to pay those arrears.
“The past government owed Abia State Polytechnic -33 months, College of Education Arochukwu -22 months, Abia State University -11 months.
Hospital Management Board was owed for several months. Theirs was humongous. We also have ASUBEB and SEMB the total amounts being owed to them is over N4 billion.”
Akpara further disclosed that payments to workers in state-owned institutions of learning would begin in July or August, to complete the payments by the end of the year
He added that the state government had already paid the salary arrears for April and May owed workers in ABSU.
“A worker deserves his wages. The present administration’s commitment has completely changed the narrative of owing workers salaries and has started addressing the long-standing issue of unpaid wages.”
He said that it was unfair for people to criticize Governor Otti, calling him names, and urged them to support the policies and programmes of the state government.
He also explained that the present administration had not applied for any new loan facility since its assumption of office but added that the previous administration began the process of requesting a loan from the Africa Development Bank ADB, and the Islamic Development Bank, stressing that the present administration is completing what the past administration started, since the government is a continuum.”
He noted that contrary to speculations,the loans had not been released to the government, stressing that the state government was managing its finances prudently to meet its obligations.
