The Federal Government has said it would pay NGN649 billion to State governments being the final refund of the final tranche of the Paris Club debts.
This was disclosed yesterday in Abuja by the Minister of Finance, Mrs Zainab Ahmed, during her ministry’s media briefing.
The Minister said that her ministry had already carried out its verification before arriving at the figure that will soon be distributed to State governments.
Her words: ” For the final phase of the Paris Club debts refund, NGN649.434 billion was verified by the ministry as the outstanding balance to be refunded to State governments.”
“The payment made by the Central Bank of Nigeria as of March 2019 is N691.56billion. The increase in the payment made by the CBN partly arose from the exchange rate differential at the point of payment. Although some states still have outstanding balance, they would be paid in due course”, She said.
In the past, part of the Paris Club refunds was used by many States to pay outstanding salaries and allowances of workers as the fund helped to boost the financial capability of the States.
If the States go in the same direction with the last tranche of the refund, it may another celebration time for workers, especially in States where outstanding salting has been lingering.