A’Ibom govt denies receiving $1.1bn 13% derivation areas

Ini Billie, Uyo

The Akwa Ibom State Government has refuted claims that it received $1.1 billion (N600 billion) from the arrears of the 13 per cent derivation funds.

Though the government did not state categorically how much it received during the period but said the funds had been captured in the 2022 budget.

Speaking in a press release on Friday in Uyo to douse the tension the matter has generated in the state, Commissioner for Finance, Nsikan Linus Nkan, said the funds were judiciously used.

Nkan urged the people of the state to regard as fiction the amount circulating in the media, saying with the implementation of the International Public Sector Accounting System (IPSAS), it was impossible for the fund to be unaccounted for.

“In line with statutory Public Finance Management procedures, the amounts accruing to and received by the state were duly reflected in the 2021 budget and the supplementary budget of the same year.

“In the current financial year, the expected refund from this subhead has been duly captured in the budget. Additionally, the Accountant General’s report of 2021 has declared without any ambiguity the sum which was received as a refund from the 13% derivation arrears.

“Even the 2023 budget proposal currently undergoing legislative workings, has furthermore included the sum expected to be refunded. For the avoidance of doubt, the refund is reflected in these documents as “Other Exceptional income: 13% derivation revenue arrears.

“A community reading of these documents, which are already available for public consumption, will reveal the sustainability thinking disposition that guides the governance of our state.

“The report of the judicious application of this income and other incomes accruing to the state, are captured in the statutory Accountant General’s audited report for 2021 and the same will be reflected this year.

“There is therefore no reasonable cause for the activation of alarmist tendencies on the state of finances of our state because the Governor is conscious of the judgement of history and posterity and is doing everything to earn a copious mention on its golden pages.

“We, therefore, urge the entire public to ignore the various figures bandied around on various media platforms, as those are nothing more than fiction. With the implementation of the International Public Sector Accounting System (IPSAS), it is impossible for any unaccounted expenditure to occur.

“It is also worth pointing out that the state’s budgets and annual reports must first be reviewed by the World Bank and it is practically impossible that financial infractions can skip their attention.

“This is the reason why knowledgeable stakeholders in the national public finance space have greatly commended the Government of our state under Governor Udom Emmanuel for deepening financial transparency in the administration of the state.

“The latest of such commendations came recently from the Consul General of the United States, who not only commended the government but also committed to increased partnership with the state in this respect.

“It is the avowed commitment of this administration, under the capable leadership of Governor Udom Emmanuel, to ensure judicious and justifiable application of scarce resources to provide for the innumerable needs of the great people of our state,” he stated.