The Governor of Oyo State, Senator Abiola Ajimobi, has raised the alarm that about 28 states in the country might have gone technically bankrupt due to biting deficits.
Expressing similar sentiments, his Osun State counterpart, Rauf Aregbesola, also said that the country was sitting on a tinderbox with its army of unemployed youths
The governors bared their minds at the 7th annual Lateef Femi Okunnu lecture, delivered by Ajimobi and titled “State financing and over-dependence on oil: issues and challenge,” at the Obafemi Awolowo University, Ile-Ife.
The event was put together by the Muslim Law students of OAU, during when Okunnu, SAN, a former federal commissioner of works, was honoured with a distinguished award.
Apart from the much discussed over-dependence on oil revenue, Ajimobi said that penchant for tax evasion by citizens, public and corporate entities, as well as corruption and disrespect for the rule of law werebesetting the states.
To get out of the doldrums, he again reminded the country that agriculture value chain was a neglected potential cash cow that must be revisited.
Besides, the governors said that the country’s fortune could be turned around if the opportunities in solid minerals, information and communication technology, services, manufacturing and others were explored.
Ajimobi said, “Our attitude is antithetical to development. We need to change our attitudes completely about payment of taxes and levies if we must avert the impending economic doom.
“As I speak, I can conveniently say that 28 states are technically bankrupt. The jaundiced view that taxes and levies might be embezzled if paid is an anathema. Public office holders are supposed to hold in trust public treasury. To do otherwise is to court the wrath of the law after leaving office.
“To the youths, I challenge you to imbibe positive leadership qualities such as you have found in our honoree and among other distinguished personalities you have seen or read about.
“You must join the moving train of development and explore information technology positively to advance in the current and future world.”
On his part, Aregbesola was confident that an estimated N625bn and more than N7tr could be injected into the economy on a monthly and annual basis respectively if the 25m youths said to be unemployed are gainfully employed.
The Osun helmsman noted that the creative energy of the citizens, especially the youth, would be activated and unleashed if the states and the country were to respond to the pervading challenges appropriately.
He said, “This will lead to increased productivity and wealth creation on a scale that we have never witnessed before.
“If the 25m youths said to unemployed by the National Bureau of Statistics today decide that they want to work and decently earnN25,000 every monthly it means N625bn new money will enter into the Nigeria economy.
“Here we need to separate between earning and collecting. If the youths decide to work like bulls then we will be talking about more than N7tr new money annually entering into the Nigerian economy.”
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