The recent economic challenges in the country has seen a reduction in state-by-state allocations and resulted in the Federal Government providing states of the Federation with bailout funds to assist in payment of worker’s salaries. However, despite this bailout, many states nearly two-thirds of states in the country, are as yet unable to pay workers their salaries.

This was the major matter of discussion at the meeting in the Presidential Villa yesterday with the President and members of the Nigeria Governor Forum, during which Buhari expressed his displeasure that states have still been unable to pay worker’s salaries despite the bailout provided by the Federal Government.

During the meeting, a Fiscal Restructuring Plan for the Federation was presented to President Buhari for which he stated that an inter-ministerial committee would be set up to review the plans which are hoped to improve the finances of state governments and the committee would make recommendations on how proposals in the plan should be dealt with by the Presidency, the Federal Executive Council and the National Assembly through legislation.

However, the Trade Union Congress of Nigeria has reportedly alleged that many state governments that have been unable to pay salaries have misappropriated and diverted the bailout funds and are calling for an investigation into the matter. The congress in a statement yesterday called on the financial crimes institutions in the country to tighten their efforts in investigating how the governor’s spent the bailout funds.

They further called on the Independent Corrupt Practices and other related offences Commission and the Economic and Financial Crimes Commission to intensify their investigations into how state governments utilised the bailout funds they received to offset workers’ outstanding salaries and allowances and the pensions of retirees.


Author: Aderonke Adeleke

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