Ogun IGR: N7bn to support infrastructure bond raising….Amosun
This was disclosed on Thursday at the Lagos, Nigeria Stock Exchange (NSE), when Governor Ibikunle Amosun, and some investment experts led members of the state executive on a visit to the NSE where the governor had the rare opportunity of sounding the Exchange’s closing bell for the day.
The governor lauded the Exchange as critical sector in wealth creation and economic development of any country, adding that his visit to the exchange opened his minds to learn new things that hitherto were unknown to him.
Amosun said that though the state plans to raise infrastructural development bond, but did not visit the exchange on the basis on fund raising, just as he said that the state is still putting finishing touches on the bond documents, and has not arrived at the amount the raise.
Though the instrument is still undergoing book building stage, the governor was emphatic that the state is better rated and positioned to repay any amount borrowed from the capital market, hence its internally generated revenue has increased from about N700 million , when he assumed office to about n7billion and still on the increase.
Speaking to the stock broking community shortly before sounding the closing bell, the governor said, “ Please very soon, Ogun state is going to call on you and be part of what you are doing here, and please we wasn’t you to support u. we need to borrow and we hope that you will support us.”
He lauded the stock broking community for their immense contribution to the development of the nation’s economy and that of the state in particular, adding “all of you residing in Ogun state, please endeavor to pay your tax”
According to the governor, the fund to be borrowed which is analysts’ projects to be floated between the second quarter and third quarter 2018, is to be deployed in infrastructural development, such as Education, health, agriculture, road, urban renewal among other areas that enhances the living standard of the people.
The governor said that the need for the state to borrow from the capital market through infrastructure bond, is borne out of the fact that, “we are now borrowing short and paying long, now is the time and people believe in us. Don’t forget that I have about a year to go, but government is a continuum.”
According to the governor, the state need long term funds to develop all the necessary infrastructures that would enhance living condition of the people and further enhance the state’s revenue.
President, council of the Nigerian Stock Exchange, Mr. Abimbola Ogunbanjo, in his address, lauded Amosun for the bold initiative taken to visit the Exchange and familiarize with market systems’ and operators, lauding the activities of the stockbrokers in the nation’s economic development. “These men are the ones that turn the wheel of commerce in Nigeria,” he said.
Speaking in the same vein, CEO, NSE, Mr. Oscar Onyema congratulated the state governor for taking the bold initiative to visit the market, adding that the visit would lead to a long sustainable relationship between the exchange and Ogun state.
Stories by Bonny Amadi
