The Kwara State Government has jettisoned the remaining N13billion of the N30billion bonds it intended to raise from the capital market.
The Bukola Saraki administration had approached the capital market to raise N30billion bond for infrastructural projects.
The government was able to access N17billion in the processing of bonds’ document, Commissioner for Planning and Economic Development, Tunde Adeoti, told reporters yesterday in Ilorin, the state capital.
He spoke at the breakdown of the 2012 budget proposal.
Adeoti said: “We entered into agreement for the N30billion bond towards the end of the last administration. In the processing of the documents, we are only able to access about N17billion out of N30billio. The procedure and formalities for accepting the bond was dragging till the end o f the administration.
“Eventually, we got a better deal from a financial bank on which basis we had to jettison the balance of the bond. That has been taken care of in our projection for external loan. We are taking a loan from a commercial bank.”
The commissioner said the state’s Internally Generated Revenue (IGR) per month has hit N800million.
He said: “Before now, we had just below N500million monthly Internally Generated Revenue. We have a drive to raise it to N1billion. At the moment, we generate N800million and, with our projection, we hope to surpass that in the 2012 fiscal year.
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Kwara abandons N13b bonds over inaccessibility