Ogun to expand infrastructure development with bond issuance – Amosun

Governor Ibukunle Amosun of Ogun on Thursday said that the state would access the Nigerian Stock Exchange (NSE) with bond issuance for infrastructure development.

Amosun said this at the exchange while addressing market participants in Lagos.

The governor led a delegation of his administration to the NSE to begin initial discussions for possible bond issuance that would correct the current funds mismatch where short-term borrowing was being used for long-term projects in the state.

Amosun said most people would be worried that the state was coming at the twilight of his regime to raise bond.

He said that the economy of the state was not buoyant when he came on board and that the state might not be able to fulfil any debt obligation like that of bond raising with a very weak economy.

“Very soon, Ogun State is going to come and when we do come, I hope you will receive us.

“When I came on board, the state’s internally generated revenue was N700 million but I can say that we are doing between N6 billion and N7 billion now.

“It is now I know the state can fulfil the obligation of raising bond.

“We need long term funds to develop infrastructure and we know you are the one to help us, I know when we come you will help us.

“Despite the economic challenges, the exchange has its head up. I am confident that 2018 will be a better year.

“Thank you for helping our country and our state.”

According to Amosun, the main focus of his administration is mainly on infrastructure development to enable the state to become the nation’s investment hub in a near future.

“I came here to see the opportunities that abound (in the Nigerian capital market) and I know that there are always opportunities in the capital market but you don’t jump into it, you need to prepare yourself.

Amosun assured that his administration would continue to create environment conducive for business to strive, urging residents of the state doing business to pay their taxes to Ogun Government to enhance infrastructure development.

Amosun, who expressed happiness that Ogun had moved from the 35th position in the state to the first five in the ranking of the best states to do business, said this feat was achievable due to the healthy partnership that existed between the government and the private sector.

The governor also added that his administration would sustain its efforts in the area of the provision of adequate security for lives and properties, which he identified as necessary for any meaningful development.

Credit: News Agency of Nigeria (NAN)