 Good morning to you and thanks for joining us on the run-up. My name is Nyam Gul Agadje. Good morning everyone and it's nice to have you with us this morning. My name is Bayo Uluwaki. Today we will be revisiting the security advisory of the United States and the response of the federal government. We will also look at budgets the states are presenting starting with cross river state which called its own budget the budget of quantum infinitum on quote. We will also be talking to the Cross River State Special Advisor on budget Mr Oto Ita and a security expert Augustin Ega quantum infinitum. Cross River State has been noted for giving budget names around head of Kabbalistic was one of them. Anyway let's just go straight. The infinitum presupposes that it's not going to end. So maybe it's not only a budget for 2023 but anyway we will get clarification from our guest. Why would we not even just take an English word like a budget of continuity or something but it had to be quantum infinitum. I'm sure our guest will throw more light on this. We're glad to be joined by the Cross River State Special Advisor on budget Mr Oto Ita but before we have him talking we'll take a very short break and when we return we just start talking with Mr Oto Ita. You're welcome back we just had to take a short break but now we're being joined by Mr Oto Ita the Special Advisor on budget to Cross River State Government. Good morning and welcome to the run up Mr Ita. Good morning. Okay the Governor of Cross River State Ben Ayade on Thursday presented a 330 billion Naira Appropriation Bill of 2023 to the State House of Assembly. He christened a budget of quantum infinitum as usual another very big name and according to him 130 billion Naira would be for a current expenditure while 200 billion Naira would be for capital expenditure. So just walk us through the provisions of that bill and why they took whatever took which place did so. Alright thank you very much. First of all I want to thank you for having me on your program. The budget that was passed by its excellency the Governor of Cross River State Professor Ben Ayade, is a citizen's budget is the budget for the people. In the wisdom of the government of Professor Ben Ayade looking at the without the people we can have the government. So in going forward from 2023 the government is interested in ensuring that we make sufficient provision to take our people out of the poverty line. So basically that is the main focus of the 2023 budget and we're also looking at making provisions for weight and drive commissioning of the projects that have been built under the leadership of Professor Ben Ayade in the early part of 2023 before he hands over power to his successor. So basically the budget as you've said we have a current expenditure of 180 billion that represents 39% of the total budget size and we have a proposed capital expenditure of 61% that represents the total budget size of 200 billion Naira. Okay well 130 billion Naira for a current and there's been complaints that 200 is for capital, 130 is for a current. Yes that's what I'm saying. So for a current there are some complaints that some people have not been receiving their pensions or salaries or whatever and 130 billion will that be sufficient because after this year he's leaving. Will he leave a legacy of the kind of governor that was owing before he left office or that money is sufficient to defray all the debts that the government is owing before leaving office? I don't think your statement is already true because I know that the cross river state government is paying salaries and the cross river state government is also paying a pension. I don't think that the governor of cross river state has defaulted in the payment of the salaries and pensions since he has assumed duty. As for gratuity just recently the governor admitted a provision of about I think 1 billion Naira which was captured in a social benefits provision in the 2022 budget to see how we can settle issues that are related to gratuity and I know it's a work in progress. It's a work in progress. I don't know if our information was wrong because we know a few months back or a few years back we saw that even some court judges were protesting at the gate of the government house. We also have some pensioners that have been complaining. Is it that some of these ones just have peculiar problems that are making them not receive their pensions or is a general thing because they make us believe that is a general thing that pensioners are suffering in cross river state. And so we're just wondering we're not saying that he should have paid he should have paid but we're saying that he's leaving by next year if he could not pay all this while will this 130 billion be enough to cover what should make him free strong. Okay first let me state very clearly that in cross river state our hero system is automated. The word that means is that the moment you are accepting services either by length of service or by year or by age you are automatically transmitted to the pension scheme. So because of that there's absolutely nowhere in cross river state will be a pension so that is not correct. And they're talking about the judges. I think the issue with the Magistrate that we employed is that I think the recruitment process did not follow through the current processes. I think that was the main challenge we did. Although I joined the government in 2021 so I don't have depth details about what happened with the judges but I know that when I spoke up when I discussed these issues with my predecessor I said the recruitment process that brought those judges, those Magistrates was thought in. So government was utterly interested in correcting all of that first before rationalizing them into the payroll system. Okay well some people also have concerns that some of the projects in cross river state are either not completed or are not even working, those that are completed. We've heard projects like the spaghetti flyover, the superhighway, we've heard kalachika, we've heard a lot of things, the toothpick factory and all that. Most of these ones, whether they are complete or not, some of them are not complete, some are complete but they are not working at all. So it doesn't translate to any money making venture for the state and all that. Are we sure that this 200 billion that is earmarked for capital expenditure will cater to those needs and make these things work optimally before the present administration leaves? Alright thank you very much. I think it's also important that I establish that the excess of governance is to provide good leadership to the people and when you say probably you don't live in cross river state that the many projects of excess analysis are not working, that is not correct. I want to start with, you mentioned the spaghetti flyover, that's just an interchange and if you're in cross river you see that work is actually advancing to completion. And then you mentioned the garment factory, the nodules, the garment factory is working, that I can't confirm. The Kalachika way would process the bait, for sale it's also working. The nodules factory is waiting for satisfaction from NAVDAC. And I think the truth big factory is the only factory at the moment is not working because of raw materials. What of the rice mill in Nagoya? Yes the rice mill in Nagoya is working and it's been concessioned, it's been concessioned to someone that is willing to put in so much money. The issue with the rice mill right now is that we don't have enough right added. That is just the problem with the rice mill and that's why government in the 2053 budget has made sufficient provision for grant to say that we can encourage people to go into rice farming. The only issue with the rice mill is that we don't have enough rice to serve the industry. That is the problem we have with the rice mill. But it is about the place working, the place is working perfectly. Okay. Thanks for your perspectives Mr. Otuita. Cross River State is one of the few states in the oil producing areas that's been able to make a bold effort to diversify its economy and not be entirely dependent on crude oil. It's one of the very, very few states and commendation actually should go to Cross River State for that. I think right from the time of Governor Donald Duke we've seen efforts to actually diversify especially to build up the tourism potentials and agricultural potentials of the state. And so there are a lot of people who feel Cross River State should be commended for that. If we look at the budget which your administration is proposing and given the financial difficulties affecting the country because of our dependence largely on crude oil for foreign exchange, for foreign exchange earning. Don't you think that there could be a risk that the state government might not be able to fund this budget directly or do you think differently? Okay. Yes, the issue is very, very valid. It's very, very valid. But I know that under Professor Ben, they would be doing a lot of credit funding and what this means is that in Cross River State we ensure that our processes are very correct to attract the Donald support. So when we were looking at our FACA location, I think we received about the least allocation in this country. And for us, since we were conscious of the fact that our location is small, what we do is that we try first of all to strengthen our public finance management processes so that multilateral organizations like the World Bank, the African Development Bank, the International Monetary Fund, when they look at what we're doing, they appreciate what we're doing and they're coming to support our activities, our expenditure activities in Cross River State by ways of the budget support. So we're looking at improving on our public finance management and just to ensure that we make Cross River State very proper for multilateral and Donald agencies to come in and support our program. But if you're talking about the actual inflow, the inflow is actually grossly inadequate to fund our proposed 2023 budget. But we believe in our real power to do the right thing to attract additional funding by ways of budget support. And we're also hoping that the federal government that is very, very aware of the situation in Cross River State will also come in to give us a special intervention fund that will help us to fund our 2023 budget. Whenever you talk about Donald agencies, people to come in and donate, apart from the federal government that you have said may need to come in for special intervention. People get to wonder what the terms will be for any donor to come in, especially now that Nigeria is getting into so much debt. Whenever you say we are thinking about funding coming from external sources, people fear. Would you have more insight or through more light to these donations that you're thinking will come from foreign bodies? What are the terms if these people come to donate or invest in Cross River State? Okay, basically this funding comes by ways of grants. All multilateral and donor agencies expect you to, states of national government to get your processes right, be transparent, be open. And when you're open, they will definitely come in and ask. It's like, I don't know if you're aware of the CFAS program of the World Bank. Hello. Yeah, go ahead. We can hear you. I don't know if you've heard of the CFAS program of the World Bank. Yes. And then we have, yes, right now as we were speaking, there is one other program that has also been ordered by the World Bank. I think it's in the area of the east of Green Business. And all the World Bank is saying is that look at the put-offs of the eligibility criteria. And once you meet these eligibility criteria, they will just bring the money. So it's grants. All you need to do is get the processes right, transparent, be open, and then you end these grants. Okay. I was just curious, maybe briefly if you could give us an idea of what percentage of this budget can be found directly from internally generated revenue. And then the percentage, you know, which of course we know you get 13% derivation and you get the normal allocation. No, no, no, sorry, sorry, sorry, sorry, sorry, we don't get the 10% derivation. No, trust us they don't go benefit from the 10% derivation. Not anymore since the sitting of Bacassi, right? Ah, okay, okay. Yes. Okay, fine. So that, thanks for clarifying. So just go ahead and then, so what exactly, how, what is the percentage you're likely to generate yourself? And what percentage are you expecting multilateral bodies and donor agencies to support you with? All right. Our projections for 2022 is that we expect internal revenue service, the state internal revenue service to more partly the two billion era minimum monthly. So looking at the state internal revenue turning in like about a 24 billion era. And then we're also looking at fact that we expect that from, from the federal account, we should also end at least a minimum of about the three, three billionaire monthly. And that will show up expected revenue in 2023 to about 80 to 90 billion around the average. And then the other sources is capital receipts. We're also looking at any capital receipts from multilateral organizations. Some of these receipts are very, very subtle drink. Okay. Okay. Let me, let me die. Well, I don't know if this, this is digression. But there's a scheme going on in crossover state now. A lot of people, I don't know if that's the official name, but a lot of people call it the food on the table scheme where people from, from every part of the state, you know, from time to time selected to be given some stipends. The last one I saw, they was 30,000 for every individual, lots and lots of them. I'd like you first of all to confirm that something like that is going on. And if it is, where is the funding for these coming from? Where individuals of crossover, it's a laudable thing that people are being given this, but how is the funding being sourced to make sure this scheme continues or it works the way the government wants it to work? If we don't have our people alive, we won't have the government. So for Professor Ben Ayadeh, we're interested in sharing the leads that we have. So whatever revenue that comes into the state, whether it's internally generated or it's from the federation account, we look at the people who are in need and we provide for them. So all we will do is that we will see now we can distribute our income to ensure that we reach every household in crossover state. It's not because we have so much, it is because of the real power of the government to ensure that every home, that no child, no adult in crossover state, go sleep hungry so that what that program is all about. And I think a lot of other states are also keen into what the government of crossover state is doing by also taking part in this food on the table initiative. Basically for us it's about providing food to our people, not only to indigenous of crossover state, but to everybody that lives in crossover state. Yeah, Mr Aoutuita, your state did something really revolutionary in terms of boosting tourism when it managed to get the carnival onto a global tourism agenda. And I know that in December of every year, before COVID, it was one of the tourism events that are often looked to, people often looked forward to becoming a part of that. But I don't know how well, we know COVID was a big problem for every country, and particularly for tourism. But I don't know if, I don't know the extent to which COVID affected this carnival, and whether the carnival had gotten to a stage where it was beginning to yield some revenue for the crossover state government. Would you like to comment on that? All right, I think the Commissioner for Tourism would have been the most appropriate person to comment on this issue. But be it as it is, I think the carnival as you all know is actually a global festival, and COVID came, just as you've said, and there was a slowdown. So this year we're going to make it bigger. For us, it's just about giving life to our people, making our people happy. So we'll proceed with the carnival this year. And I'm very sure small businesses and big businesses ourselves and the small women in the market will also benefit directly from the carnival. Okay, Mr. Ita, at this point, I would like to say thank you to you for clarifying some issues. Whatever issue arises anymore, after today, we are sure to come back to crossover state and get some clarification. But for now, what you have said has really educated us. Thank you so much for being a part of our show today. All right, thank you very much. Can I make a few remarks? Please, do. All right. It's important that I use this opportunity to say that the crossover state budget is published online, and the budget implementation report is also published online. That for every revenue that comes to crossover state, it is properly reported. So you can access this information on state internal revenue, save this website. Thank you very much. Thank you. Thank you. Thank you very much. Okay, we've been talking with Mr. Oto Twitter, the SA budget of crossover state. And one thing that just struck me that I want us to just look at is the fact that if you go to crossover state, they have one of the youngest breed of political appointees in crossover state. Like Mr. Iita, if he's up to 30, he's not far from 30, maybe he's 35 or thereabouts. And there are so many like that. Then you talk about other PAs and the people that used to be mature, more mature, more elderly than they are. I think for that, if not for anything, Governor Ayadeh will be remembered. No, definitely, definitely. And I am one of those who I have been conversing and my friends know that I keep conversing that we must give responsibility to young people. I mean, on the program the other day, we noted that we are 206 million and at least 150 million Nigerians are below the age of 30. Yeah. So it's important to have young people, it's their country now. The country belongs to them. A significant part of the population, the decision making has to reflect their aspirations. And I think like you have said, I align myself entirely with your sentiment that Governor Ayadeh deserves to be commended for giving young people great responsibilities in his administration. And I hope whoever is taken over from him next year will continue and even do better in this regard. Yeah, because all these young people, they may stumble now. We all stumble. Yeah, they are new to the system, but none of them will go back to how they were in terms of political involvement, in terms of nation building, in terms of aspirations and all that. They have seen that they too can grow beyond being the back carriers to becoming something significant. And his appointments, yeah, well, sometimes it was worrisome that he had thousands and thousands of them. But now we're seeing that, okay, this could be a foundation to a lot of, to the growth of crossover state in the near future because people get aware very early enough to be able to take up responsibility when the time is ripe. Well, maybe we will not remember him for a lot of things, but for that I think we will remember him. Great.