Thursday, July 30, 2015

El-Rufa’i cuts overhead, cancels pilgrims sponsorship

Governor Nasiru El-Rufa’i of Kaduna State, says his administration has cut down overhead costs by 60 per cent as part of measures to rescue the state from its precarious financial situation.                          
El-Rufa’i, in a broadcast to the people of the state on Wednesday night, said the state was broke and had a debt burden of more than N74.297 bn, comprising N28.840 bn domestic and N45.44 bn foreign debts.
El-Rufa’i said, “It was obvious that running Kaduna the old way is a recipe for disaster.
“One of the steps we took was to cut overheads spending by 60 per cent. I therefore directed the state accountant general to release only 40 per cent of budgeted overheads as we strive to improve liquidity and prioritise spending for public goods.
The governor said the reduction of ministries from 19 to 13 and the 50 per cent salary cut for himself and the deputy governor were also targeted at reducing the cost of governance.
He emphasised that the administration would no longer spend money on gifts, feeding and pilgrimages.
“In 2014, over 2,000 pilgrims were sponsored to the Hajj by the Kaduna State Government and the 23 local government areas. Out of the 810 Christian pilgrims, 800 were sponsored by the same governments.
“All these cost the governments nearly N1.5 bn in just one year. Our state simply cannot afford these expenses any longer.”
El-Rufa’i said N120m was saved from salaries paid to ghost workers after the biometric verification of civil servants conducted by the administration, adding that those involved in the fraud would be prosecuted.
The governor said, henceforth, the administration would adopt the zero-based budgeting system.

1 comment :

  1. Thieving man with his own policy....Anyway cutting down overhead is the best, notnonly for state level, it include federal and local government.