AMAECHI ASSURES BOND INVESTORS OF QUICK RETURNS
Rivers State Governor, Chibuike Amaechi has assured prospective investors in the N250 billion Rivers bond of quick returns on their investment. Governor Amaechi gave the assurance yesterday, when a team of Standard and Poors – an International public finance rating body led by its Director International/Sovereign Public Finance, Mr. Lorenzo Pareja paid him a courtesy visit in Government House, Port Harcourt.
Amaechi disclosed that the State has worked out modalities for paying back the loan.
His words,' We assure all those who would invest in the bond that they would get back their money with good returns in good time.'
The Governor who reiterated the rationale behind the bond averred that the bond is aimed at assisting government, fund ongoing projects such as the new M-10 Highway, the Greater Port Harcourt City, the Monorail, the New Mega Hospital, the new Rivers State University of Science and Technology complex and several other developmental projects.
'What I told them was, we must pay back during our tenure.'
According to the Rivers State Chief Executive, the state government would not wait for the monthly revenue allocation to drive development.
'This administration needs money to complete its projects. Our target is to be able to fund capital expenditure. If we wait for Federal Government revenue, we may not be able to complete our projects on time.'
He added that, 'in the next four years our projected revenue is estimated to be between 900 billion and 1 trillion naira.'
Currently, the internally generated revenue has equally risen from N4.5 billion to N5 billion which makes the state viable to repay its debts without stress.
Earlier in his remarks, Mr. Pareja intimated the Governor that the team was in the State to carry out its yearly monitoring and assessment of the state credit ability.
So far, he said that the state has shown remarkable improvements in the management of its resources and governance in general.
Considering the current economic boom the state is witnessing, the Standard and Poor's Director stated that the government could go ahead to issue the bond, noting that it is in line with the state capital expenditure.'
'We have heard of plans by the state to issue bond in the capital market. This is quite historic because it's the first time the state is doing it. N250 billion capital expenditure is a substantial investment,' Pareja said.
'We hope that this very remarkable investment plan will have a lasting impact on the State and its internally generated revenue.'