How Tinubu saved many states from bankruptcy | By Gov Abdullahi Sule

‘President took economic decisions world leaders run away from’

Many states have been steered away from bankruptcy by President Bola Ahmed Tinubu through improved revenue coming to them from the Federation Account, Nasarawa State Governor Abdullahi Sule, said yesterday.

He lauded the president for removing the fuel subsidy and unification of the exchange rate, noting that he took tough decisions which many world leaders have avoided.

Under the Tinubu administration, federal revenue generating agencies have been strengthened and many financial loopholes bridged.

Also, due to the fuel subsidy removal, more money now acrue to the Federation Account, which are shared by the federal, states and local governments.

Recently,  at a meeting with the governors in Abuja, the Federal Capital Territory (FCT), President Tinubu urged the governors to be prudent and wet the ground.

The governor said while the bold economic policies brought temporary hardship, the results are beginning to show.

Sule stressed that many states that would have been declared bankrupt due to their foreign exchange-linked borrowings are now able to breathe because of the improved revenue coming to them.

The governor noted that President Tinubu displayed uncommon courage by taking the proverbial bullet for the nation through his decision to remove the fuel subsidy and unify the foreign exchange windows.

He spoke while receiving the management team of the Federal Radio Corporation of Nigeria (FRCN), North Central Zone, led by the Zonal Director, Babayo Askira, at the Government House in Lafia, the state capital.

He said the tough economic decisions taken by the President on his first day in office burst the bubble and returned the nation to the path of reality.

Sule said: “Every time I speak about how Nasarawa State is able to breathe, I must show great appreciation to the man who took the bullet on our behalf, and that is President Bola Ahmed Tinubu.

“He took two very difficult decisions at the same time—the unification of the foreign exchange rate and the removal of fuel subsidy. These are decisions very few leaders in the world would agree to take.”

Sule explained that such politically risky moves are usually avoided by first-term leaders who wait until a second term to implement them.

He described the President as a different breed of leader for taking the decisions on his first day in office.

Sule added:“We must commend him. It is not a popular statement, especially with the opposition and those speaking big grammar. They will tell you that Tinubu is bad and that there is too much pain.

“But the truth is, we were not living in reality; we were living a fake life. We were living on a bubble that was going to burst. He has taken us to where we truly belong.

“A lot of people won’t believe that just a little over a year ago, our inflation rate was over 30 percent. Today, inflation is less than 15 percent. It is not magic. It’s hard work and a lot of efforts to enhance non-oil revenue generation.

Alluding to the benefit of fiscal discipline, Sule revealed that he deliberately avoided bank loans during his first tenure due to the dangers associated with foreign exchange risks.

He explained that many of his colleagues who borrowed when the exchange rate was N350 to the dollar are now struggling to repay at over N1,000 to the dollar.

He said: “Coming from the private sector, you have to be very careful about borrowings. I was scared of borrowing because most of them were tied to foreign exchange. Luckily for us, Nasarawa State did not borrow anything then. “That is why we can breathe properly today, and we also have the improved revenue coming to states to thank for saving many others from bankruptcy.”

Sule commended the FRCN for its role in maintaining peace and unity in the state, acknowledging that the people of Nasarawa, traditional rulers, security agencies, and media organisations have contributed to the prevailing transquility.

Askira, a lawyer, who had served as General Manager of Precious FM Lafia between 2008 and 2010, said the visit was to familiarise himself with the government and appreciate the governor’s support.

He expressed amazement at the level of transformation witnessed across the state, saying he could barely recognise some places due to the massive infrastructural development, from Karu to Keffi and up to Akwanga.

He praised the governor for the Mararaba flyover and for maintaining peace and security, describing him as a leader par excellence.