Address By Governor Bukola Saraki on the occassion of signing debt securities bill, 2008 into law

ADDRESS BY HIS EXCELLENCY, DR ABUBAKAR BUKOLA SARAKI, THE EXECUTIVE GOVERNOR OF KWARA STATE ON THE OCCASION OF THE SIGNING INTO LAW THE KWARA STATE DEBT SECURITIES ISSUANCE BILL, 2008. Courtesies, It gives me great pleasure to address you on this important occasion of the signing into Law of the Kwara State Debt Securities Issuance Bill, 2008 after it has been passed by the Kwara State House of Assembly. Let me observe that the passage of this bill by the State House of Assembly and its signing into Law today is most timely, taking cognizance of the fact that the State Government is on the verge of concluding and consummating a N30 Billion Naira Bond to finance a number of developmental projects that will impact positively on the socio-economic life of Kwarans at a relatively cheap cost. Accordingly, the State Government is moving from the current funding window of money market to capital market. It therefore becomes imperative that we take advantage of available cheap source of funding for our people- oriented Capital Development Projects. This can only be achieved through issuance of an enabling law which will provide legal backing for all the activities of the State Government with respect to the bond issues. Thus, this underscores the importance of the passing of the bill that is about to be assented to. The law, going by its provisions and contents is to provide for the raising of loans through the Issuance of Debt Securities as well as the establishment of the Kwara State Debt Management Office (DMO) and for the purposes connected therewith. As a matter of fact, the establishment of a Debt Management Office became necessary at the national level when the institutional framework for managing the country’s debt was highly becoming uncoordinated. The DMO was established in order to resolve these deficiencies and centralize debt management functions in a single semi-autonomous, professionally staffed agency charged with the responsibility for managing the country’s external, domestic and sub-national debt portfolios. In view of the above scenario, ladies and gentlemen, there was the need for States to make a replica of the Debt Management Office which eventually led to the establishment of the Office in Kwara State. It is pertinent, however, to reiterate that the Bill that is about to be signed will give legal framework and backing to the operation and activities of the Debt Management Office in the State. At this juncture, it is noteworthy to mention that the establishment of the Debt Management office would ensure among others, the following: (i) Maintenance of reliable data base of all loans taken or guaranteed by the Federal Government or any of the State agencies; (ii) Preparation and submission to the State Government a forecast of loan service obligation for each financial year; (iii) Servicing domestic debts taken by Local Governments and any of the established agencies where such debts are guaranteed by the State Government; and (iv) Advice the State Government on the restructuring of all debt obligations as well as collect, collate and disseminate information, data and forecasts on debt management with the approval of the State government. On this note, let me assure all Kwarans that the present administration will leave no stone unturned towards attaining a well structured socio-economic transformation of the State to the admiration of all and sundry. The signing of this bill into law represents another testimony to the total commitment of the administration to ensuring that the State remains a role model in the implementation of laws and programmes that will better the lot of the masses as well as ensure financial prudence, accountability and transparency in the conduct of governance in the State. With these few remarks, it is therefore my honour and privilege to sign into law the Kwara State Debt Securities Issuance Bill 2008. Thank you all and God bless.

 

< Prev		Next >