CBN To Release N300 Billion To Pay Salaries

Godwin Emefiele


In line with the federal government directive, the Central Bank of Nigeria is set to release N300 billion soon to help 27 states to pay their workers salaries and pensioners

THERE seems to be a silver line in the tunnel for cash-strapped states. The Central Bank of Nigeria, CBN, is said to be preparing a N300 billion lifeline for the states to enable them pay their workers in two weeks.

Of the 36 states, 27 have applied to draw from the cash relief packaged by President Muhammadu Buhari through the CBN facility. The decision on the N300 billion relief package was reached at the end of discussion at the last National Economic Council, NEC, meeting chaired by Vice President Yemi Osinbajo in Abuja on Thursday, July 22.

At the meeting were Godwin Emefiele, CNB governors and state governors.

The facility is one of the three-pronged reliefs designed by the federal government to help financially troubled states.

The other measures are the sharing of the $2.1 billion (about N414 billion) 2014 Income Tax/Education Tax and dividends paid to the Federation Account through the Federal Inland Revenue Service, FIRS, by the Nigerian Liquefied Natural Gas, NLNG, Limited.

In addition, the states’ loans are to be rescheduled to allow them long period to pay.

President Buhari had, about three weeks ago, directed the CBN to package the loan to enable the states pay the backlog of salaries owed their workers.

— Jul 27, 2015 @ 12:35 GMT


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