Monday, February 16, 2026
31.1 C
Lagos

The N714bn Bailout: Matters Arising

It was good news the other morning when news filtered out that the federal government has graciously given cash-strapped states a bailout of approximately N714 billion to settle outstanding salaries and other forms of wages to workers in their states.

To the workers, it was probably the best news of the year 2015, given that some that had fallen into arrears for upwards of seven to nine months. To ordinary Nigerians not directly affected by the salary crisis in the affected states, the bailout represents a moment of relief from the plight of the workers.

For the state governments, the bailout is only a temporary measure to relieve them of the scandalous inability to meet their obligations to workers in the states.

It is important for state governments to look inwards to know why they fell into the arrears in the first instance. A lot has been said about the negative impact of the 2015 general elections in terms of funding of the campaigns of political parties, which according to media reports, amounted to billions, if not trillions of Naira. The alleged expenses on the part of the state governments were said to have contributed to their perilous financial status, leading to non-payment of salaries and finally, the bailout from the federal government.

Our position going forward is that state governors should take the welfare of their people into consideration before embarking on any type of financial jamboree that does not generate income for the state.

There is need for state executives to respect public funds at their disposal for the simple that it is public funds that must be spent solely on public interest.

Finally, we want to commend President Muhammadu Buhari for lending a helping hand to the states to enable them to settle outstanding salaries. We also encourage him to put pressure on state governors to re-assess their priorities and place public funds at the disposal of the people.

For now, we welcome the bailout and hope that the nation will not be compelled to grant another bailout in the foreseeable future.

spot_img
spot_img
spot_img

Hot this week

Nigeria Secures Permanent Seat on the Board of African Central Bank

During the just-concluded 39th Session of the Executive Council...

Tinubu Hails BOI on N636bn Loan Disbursement to Businesses in 2025

President Bola Ahmed Tinubu has commended the Bank of...

Index-Based Livestock Insurance Consortium Disburses ₦181.9m in Claims Payouts to Livestock Herders

A consortium of insurance companies led by Leadway Assurance...

SanlamAllianz General Insurance Appoints Jacqueline Agweh as MD/CEO

 SanlamAllianz General Insurance has announced the appointment of Mrs....

BudgIT Claims 92 Fraudulent Projects Out of 2,760 in 2024/2025 Tracka Report

Tracka, BudgIT’s service delivery promotion platform, which allows citizens...

Topics

Nestlé: Achieving Environmental Commitments in Central, West Africa

• Reduced energy consumption by 20%, cut water consumption...

Standard Alliance Insurance Demands N10bn Damages from NIA over Expulsion

Omotayo Awodiya Managing Director/CEO Standard Alliance Insurance Plc Standard Alliance Insurance Plc...

GE Partners African Leadership Varsity to Empower African Professionals with Digital Skills

·         This paradigm shift in industrial thinking will allow...

MTN Plans FCFA140bn Expansion in Côte d’Ivoire

MTN Cote d’Ivoire said on 10 June, 2016 that...

COVID-19: AstraZeneca, BrandMed Commits to African Patients

  The COVID-19 pandemic and the growing burden of non-communicable...

NAICOM’s Pius Agboola Elected Chair of WAISA College of Insurance Supervisors

Pius Agboola Chairman WAISA College of Insurance Supervisors The West African Insurance...

NCC at 18th Nigerian Guild of Editors Conference, Owerri 2022

L-R: Mrs. Nnenna Ukoha, Head, Corporate Communication, Nigerian Communications Commission...

Linkage Assurance Maintains Strong Growth as PAT Grows 167% in Q1

Linkage Assurance Plc is set for a strong growth...
spot_img

Related Articles

Popular Categories

spot_imgspot_img

Warning: require_once(css-utilities.php): Failed to open stream: No such file or directory in /home/busiddmk/public_html/wp-content/plugins/wp-fastest-cache/inc/cache.php on line 878

Fatal error: Uncaught Error: Failed opening required 'css-utilities.php' (include_path='.:/opt/alt/php82/usr/share/pear:/opt/alt/php82/usr/share/php:/usr/share/pear:/usr/share/php') in /home/busiddmk/public_html/wp-content/plugins/wp-fastest-cache/inc/cache.php:878 Stack trace: #0 [internal function]: WpFastestCacheCreateCache->callback('<!doctype html ...', 9) #1 /home/busiddmk/public_html/wp-includes/functions.php(5471): ob_end_flush() #2 /home/busiddmk/public_html/wp-includes/class-wp-hook.php(324): wp_ob_end_flush_all('') #3 /home/busiddmk/public_html/wp-includes/class-wp-hook.php(348): WP_Hook->apply_filters('', Array) #4 /home/busiddmk/public_html/wp-includes/plugin.php(517): WP_Hook->do_action(Array) #5 /home/busiddmk/public_html/wp-includes/load.php(1304): do_action('shutdown') #6 [internal function]: shutdown_action_hook() #7 {main} thrown in /home/busiddmk/public_html/wp-content/plugins/wp-fastest-cache/inc/cache.php on line 878