site-wide search

Nigerian Liquefied Natural Gas (NLNG) Dividends Grabbed To Offset Loans


SomaNet News Archive

In a new twist to solve the current crisis  affecting heavily indebted states in the Nigeria, some of Nigeria’s commercial banks heavily exposed to Nigeria’s near bankrupt states impounded the dividends from the Nigerian Liquefied Natural Gas (NLNG). This move is intended to offset the loans granted to the states.

This revelation was made today by Governor Abdulazeez Yari of the northern Nigeria Zamfara state. He was explaining the current salary crisis in several states even with the release of the funds anticipated to give some assistance to the indebted states.

The zamfara state Governor who was taking questions from State House correspondents in Abuja, noted that many state governments were still facing economic challenges, in spite the disbursement of the NLNG money.

He said “What I’m saying is that no money is released yet apart from the NLNG money. But I think the NLNG money that was given, some states, their own was taken by the banks because it is due for them to repay some certain loans.

“So, therefore, automatically, that has to go there

“But for sure, some other governors reported that money went to their accounts, it was taken by some banks because of their outstanding loans.’’

The governor also stated that the Central Bank of Nigeria (CBN) was negotiating with the banks on how state governments could easily access the next lot of the bailout funds, to allow them to pay unsettled salaries of their workers.

Regarding the the West African Examination Council (WAEC) debts owed by some states, he, said the dispute was being addressed by the affected states. Yari also doubles as the Chairman of the Governors’ Forum.

 “Some state governments need to verify between the WAEC and their Ministries of Education and other departments of education. So, that’s why some states cannot pay the registration fees”, the governor added.