The Ogun government says it has paid the December and the 13th – month salary to its workers since Wednesday ahead of the festive period .
The State Commissioner for Finance, Mr Wale Osinowo, disclosed this while defending the ministry ’ s 2018 budget estimate before the House Committee on Finance and Appropriation , in Abeokuta.
The commissioner said that this was despite the fact that the state government has yet to receive the last tranche of the Paris Club Refund .
He explained that the state government used the first tranche of the Paris Club Refund to pay the salary of its workers .
“ On the Paris Club Refund , guidelines were set by the Federal government and the state government has been following it to the letter.
“ When we got the second tranche , we used 75 per cent for settlement of salaries and deductions of workers while the remaining 25 per cent was used to execute projects .
“ We are yet to receive the third tranche of the refund , ” he said .
He added that the state government had also cleared the severance package of former political office holders at the state level.
The commissioner said that by the first quarter of 2018 , the state government would clear the severance allowance of former local government political office holders .
“ The amount to be paid between 2007 -2011 is N 540 m while the amount between 2011 and 2015 stands at N 560 m which makes it just over N 1 . 1 bn to be paid as severance to the local government political office holders .
“ Before the first quarter of 2018 , we will ensure we settle the severance allowance , ” he said .
He explained that the ministry had earmarked the sum of N 5. 2bn as its recurrent expenditure for 2018 while capital expenditure would gulp N 200m .
Osinowo added that the 2018 budget of the state tagged “Budget of Accelerated Development” was workable and realistic.
Responding , House Committee Chairman on Finance, Olusola Bankole , said that the Finance ministry was important to the development of the state .
Other members of the committee advised the ministry to ensure the prompt release of money to Ministries , Departments and Agencies for better performance.