Gov. Amosun says he never said FG will write off bailout fund given to states

Ogun State governor, Gov Ibikunle Amosun, denied the claim that he said that the Federal Government will write off the bailout fund given to states.
In a statement released yesterday, he said:

“I was quoted out of context. I never said the Federal Government was going to write off the bailout fund,”

“Contrary to reports in some sections of the media, at no point during the opening session of the state Treasury Board meeting for the year 2016 budget held on Friday, November 20, did the governor categorically state that the federal government was going to write off the bailout debt of states,”.

“What happened is that the governor, upon being briefed by the Deputy Governor, Chief Mrs. Yetunde Onanuga, who attended the last National Economic Council meeting held on Thursday, November 19, said states of the federation spoke about challenges they were facing in meeting their obligations towards repayment of their rescheduled loans or bailout fund.

“He said in view of this, states requested for some sort of moratorium or outright cancellation of their debts. “Governor Amosun however never said that the Federal Government has decided to write off the debt or give any sort of moratorium.

“The governor also spoke about how Ogun State is the only state in the federation that opted for 10 years repayment plan as opposed to the 20 years that was originally proposed by the federal government.

“Governor Amosun, in fact, said his administration hopes to fully repay the bailout loan before the end of his tenure of office.”