Elias Mbam States that Bayelsa Is Not Insolvent,Restates Call For Restructuring

Bayelsa State Government, on Tuesday, described as incorrect Federal Government’s categorisation of the state as insolvent due to its low internally generated revenue profile.

It also restated its call for restructuring of the country to address the current lopsided federalism that denied states, particularly Bayelsa, the due revenue from the resources in their land and region.

Chairman of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Mr. Elias Mbam, while receiving receiving the Annual States Viability Index (ASVI) from the Editor-in-Chief of the Economic Confidential in his office in Abuja on Monday, stated that Bayelsa, Borno, Katsina, Kebbi and Taraba states had become insolvent because of their “extremely poor IGR” performance in 2019.

Faulting the report and the federal government’s position, the Technical Adviser to the Bayelsa State Governor on
Treasury, Accounts and Revenue, Mr. Timipre Seipulou, said the state was not financially insolvent.

Mr. Seipulou stated this in Yenagoa while presenting the income and expenditure profile of the state for the months of May, June and July 2020.

A press release by the governor’s Acting Chief Press Secretary, Mr. Daniel Alabrah, quoted him as saying that the actual problem was in the lopsided nature of the country’s funding structure.

He contended that the federal government allocates 54% of federal revenue to itself leaving the states with a little over 20% to share among themselves.

He also pointed out that a lot of monetary and fiscal policies were being driven by the federal government at the detriment of the states.

He expressed regret that Bayelsa with its vast deposits of oil and gas does not benefit from taxes and other revenues accruing from such resources to shore up its internally generated revenue based on the lopsided federal system the country operates.

Seipulou therefore called for restructuring of the country, saying “even on the issue of payment of taxes, we have been fighting that oil companies operating in the Niger Delta pay taxes to the states in the region.”

“Only last week, we had a lot of meetings over the issue of Federal Inland Revenue Service collecting taxes that should go to the states. And we had to go to court over that issue.

“If you look at the type of federating structure we operate, even the federal government depends on federation allocation. And so we cannot say that any state is technically insolvent. Besides, the 36 states of the federation are not companies that should be declared financially bankrupt.”

The technical adviser further contended that Bayelsa remains one of the states that is able to meet the obligations to its workers and appointees.

“Civil servants and political appointees in the state are not being owed salaries. Pensioners get their salary and gratuity regularly every month also even when other states are slashing the salary of workers and appointees. The state had not defaulted even for one month since the beginning of the year despite the challenges of the COVID-19 pandemic. So how can you categorise Bayelsa as insolvent?” Seipulou queried.

Giving a breakdown of the income and expenditure for the month of July, Mr. Seipulou said the state received a gross inflow of N9.8 billion, comprising statutory allocation of N2.4 billion, derivation N5.2 billion and value added tax of N1.8 billion.

He explained that the gross inflow for July as against the previous month showed a reduction of about 20%.

The governor’s aide also announced N1.7 billion as total deductions from the federation account, which include foreign loans N42 million, restructured commercial bank loans N741 million and restructured overpayment of 13% indices N128 million.

According to him, net receipts came up to N8.8 billion, excluding total deductions while the state recorded an IGR of N755 million for the month of June.

Seipulou said total receipts, including FAAC and other receipts, stood at N9.6 billion while total payments, excluding capital and recurrent expenditure, amounted to N7.9 million.

He said N2.987 billion was spent on capital and recurrent payments giving a net balance of N383.7 million for July.

Seipulou, who noted that that the balance brought forward from the month of June was N507 million, said in addition to the N383.7 million, the state was left with a closing balance of N123.3 million at the end of July 2020.

He earlier presented the figures for the months of May and June 2020.

In his remarks, the Permanent Secretary, Ministry of Information and Orientation, Mr. Freston Akpor, applauded the Governor Douye Diri administration for its commitment to prudent management of resources of the state even in the face of the COVID-19 pandemic.

Leave a Comment

Your email address will not be published.

You may also like

Art Business Culture Economy Health Leisure Opinion

Public Outcry Ensues: Hilda Baci’s Dog-Eating Stunt Draws Widespread Criticism




By Chukwudi Iwuchukwu


In a shocking turn of events, Hilda Baci and her friend Eniola have sparked controversy after posting a video on Friday morning showing them consuming a dog delicacy. The video quickly gained attention on Twitter, leaving many viewers distressed and choosing to scroll past it.


The outrage and anger sparked by this stunt were immediate, as numerous people found the video highly offensive. The close resemblance of dogs’ behavior to humans, coupled with their status as loyal companions, led many to express their disapproval. Concerns are now rising about the potential repercussions this incident may have on Hilda Baci’s brand.


It is possible that this dog-eating video could harm her reputation and impact future opportunities. Foreign embassies may refuse her a visa, and she may encounter difficulties in securing positions with foreign food companies. Animal cruelty is a significant concern globally, and making light of such issues can have…

Read More
Announcements Business Culture Entertainment Health





Don Jazzy, one of the finest music producers in the country has recently bagged endorsement with Drip Soap Africa. One of the newest entrant in the Nigerian beauty industry.

With this endorsement,the soap is making headway especially with their market activation at the Lagos International Trade Fair Market .

Peaking on the endorsement,the music master and producer ,Don Jazzy said”Friendly reminder to take your bath before joining us out in the world today. To baff Dey sweet. See as BAYANNI dey happy for slide #DripGang @dripsoapafrica”

The makers of the soap added that there are many variants of the soap and that people can choose any variants according to their skin texture. They have four variants!

In their words they said “Meet the four variants of the Drip Soap namely, Drip Papaya, Drip Vitamin C, Drip Carrot and Drip Gold with their respective unique benefits,…

Read More
Business Economy Events Fintech News Opinion

NITDA’s participation in GITEX Africa is a sign of commitment



As part of its international engagement in promoting initiatives, programmes, and digital innovation in Nigeria, the National Information Technology Development Agency (NITDA) is participating at the ongoing GITEX Africa in Morocco.

The agency is also holding series of side events, including a roundtable discussion on the future of work in Africa, with speakers from NITDA, the Moroccan government, and the private sector.

NITDA’s participation in GITEX Africa is a sign of its commitment to promoting digital innovation in Nigeria and Africa.

The agency is working to create a conducive environment for the growth of the digital economy, create jobs and position Nigeria as a leading player in the global digital space.

Read More
Business Culture Economy Events Investments Telecoms Tourism Trends




The National Information Technology Development Agency (NITDA), has reiterated the need regional collaboration in accelerating digital transformation across Africa, provide opportunities that can propel the continent into a digital era of innovation and inclusive development.

GITEX Africa inaugural edition of technology exhibitions in the region, brings together industry leaders, policymakers, entrepreneurs, and innovators to discuss and showcase advancements in technology.

The event provides an ideal platform for organisations to promote dialogue, showcase innovative solutions, and forge partnerships to harness the potential of the digital age. NITDA’s participation focuses on fostering collaborations, sharing best practices, and addressing the challenges hindering Africa’s digital growth.

Director General of NITDA, Kashifu Inuwa, CCIE, represented by Dr. Aristotle Onumo, Director of Corporate Planning and Strategy, participated at the two Panel Sessions themed: “Accelerating Digital Transformation in Africa: Strategies, Challenges and Opportunities” and “Fast Tracking to an Integrated and Inclusive Digital Public Infrastructure.”

In his presentations, Dr. Onumo discussed…

Read More
Business Economy

Danbatta to Receive National Productivity Order of Merit Award for Outstanding Contributions to Industry



Prof. Umar Garba Danbatta, the Executive Vice Chairman of the Nigerian Communications Commission (NCC), will be conferred with the esteemed National Productivity Order of Merit (NPOM) Award, among other notable Nigerians.

The announcement was made in an advertorial signed by the Director General of the National Productivity Center, Dr. Nasir Olaitan Raji-Mustapha, heralding Danbatta’s exceptional achievements and significant contributions to the development and advancement of the Nigerian telecommunications industry.

The NPOM Award recognises individuals, who have demonstrated exemplary leadership, innovation, and dedication in their respective fields, and Danbatta’s recognition highlights his outstanding contributions to the NCC and the telecommunications sector as a whole.

During his tenure at the NCC, Danbatta has spearheaded several initiatives that have revolutionized the telecommunications landscape in Nigeria. His visionary leadership and strategic decisions have led to remarkable achievements and noteworthy milestones for the industry.

Some of the key accomplishments attributed to Danbatta’s tenure include the promotion of broadband…

Read More
Business Culture Economy

Africa Day: ‘Let’s put our resources at risk behind Africa’s young people’ – Adesina


Delegates attending the 2023 African Development Bank Group’s  ( Annual Meetings in Sharm El Sheikh, Egypt, celebrated Africa Day on Thursday amid hopes for better prospects for the continent and its youth.


The commemoration, which marks the 60th anniversary of the establishment of the African Union, allowed for retrospection by member countries on how the continent can surmount its challenges towards achieving prosperity.


The Bank’s Secretary General Vincent Nmehielle presided over the event.


The audience included Egyptian government ministers and businesspeople who joined the Bank Group’s governors to celebrate the milestone.


Addressing the event, African Development Bank President, Dr. Akinwumi Adesina, said the occasion must provide the impetus for the continent to rise, challenges notwithstanding.


“Africa should lift itself economically, financially, and politically to surmount every hurdle in its way,” Adesina said, stressing that the continent has abundant resources that, if well-managed, can help move it forward.


“We have great sunshine;…

Read More
Business Economy News Technology Technology Trends Telecoms

COURE Celebrates 25 years of Providing Innovative Digital Solutions



COURE Software & Systems Limited (“COURE”), an indigenous information technology (IT) firm located in Lagos, will be marking 25 years of existence, 15 of which have been spent deploying IT solutions and services in Nigeria and other African countries. From telecoms to financial to the public sector, the company has made tremendous strides in various sectors of the economy.

Speaking to the media, COURE’s CEO, Uche Onwudiwe described the company as, “a platform services provider with a focus on the provision of accurate, secure and relevant data to improve its clients’ business processes and operations.” He reflected on the journey so far, noting that the company “started out in the US in 1998 at a time when the internet and modern technology, as we know it, were taking off. At that time, we were focused on networking and physical systems integration.”

                    <span class= Read More

Announcements Business Economy Fintech Gadgets Technology Technology Trends

Morocco unites global tech community’s commitment to advancing African digital economy at momentous GITEX Africa launch




Debut of Africa’s largest tech and start-up show to welcome 900 companies to explore, discover, and connect to real opportunities in world’s rising digital economy


H.E Dr Ghita Mezzour: “We’re witnessing a historic event, the largest tech networking and business event in the African continent”



Morocco will centre the global tech community’s attention on Africa’s united commitment to advancing the digital economy next week, converging the best minds from governments, businesses, big tech, start-ups, investors and youths to accelerate and catalyse the continent’s ambitious digital transformation journey. 


GITEX Africa 2023, now the largest tech and start-up show in the African continent, will make its highly anticipated debut from 31 May-2 June, with the final preparations underway across ten halls and 45,000sqm of exhibition space in a purpose-built super venue at Place…

Read More