Abia Commits 60% of Paris Club Refund to Salaries, Pension

Nnaya Eziyi, Umuahia

 

Governor Ikpeazu

Abia State government has announced that it would commit 60 per cent of its third tranche of the Paris Club refund of N5.7 billion which amounts to N3.4 billion to payment of salaries and pensions.

Finance Commissioner, Obinna Oriaku stated this at a joint press conference with the state Chairman of the Nigeria Labour Congress (NLC), Uchenna Obigwe after the government committee on the disbursement of the money submitted its report.

“We have taken time to explain the disbursement of the refund in view of the misinformation and misrepresentations on the issue of salary arrears. Receipts from the club have not been enough to clear all the salary and pension arrears,” he said.

He said the government had used the second tranche specifically for salary arrears, noting that this time it had decided to continue with the effort to bring teachers and other categories of workers at par with civil servants who are not in salary deficit.

He said, “Primary school teachers and workers in parastatals will be paid between one and three months salary arrears. May I also add that by yesterday over 70 percent of the affected workers would have been paid.

According to him, beyond the need to clear the accumulated salary arrears the long-term goal of the government was to grow its Internally Generated Revenue (IGR) as much as for it to pay its N2.2 billion monthly wage bill.

The NLC chairman, Obigwe said that the disbursement committee agreed on the formula for payment based on the “availability of funds made known to us”.

He noted that the refunds had always been judiciously used, adding that it was expected that when the remaining 50 percent of the refund was paid, the issue of pensions and gratuities would be tackled.

In his remarks the Information Commissioner, John Okiyi Kalu said Governor Okezie Ikpeazu was determined to ensure the problem of salary and pension arrears was tackled once and for all.