By; Mohammed Kawu, Bauchi
Governor Bala Mohammed of Bauchi has observed with keen interest that the success by his administration of acquiring the N40.9bn Bond from Emerging Africa Capital Group is a testimony in Bauchi strength and the trust investors have placed in the administration’s ability to manage funds effectively
He said, “The success of this bond is a testiment in Bauchi strength and the trust investors have placed in our ability to manage funds effectively. I would like to express my sincere gratitude to all the investors who believe in our tremendous potentials”.
Senator Bala Mohammed was speaking in Bauchi at the signing ceremony of the first trench of N100bn with investors at single digit interest rate percent payable within ten years, where he commended the government economic team led by the indefatigable state commissioner of finance for their sense of innovation and investive to taking the state to big sister states like Lagos.
The Governor explained that the crucial infrastructure projects under the bond which includes the construction of two flyovers in Bauchi cosmopolitan area, and construction or dualization of ten other rural roads across the state, are expected to deliver significant benefits to the people of Bauchi state.
Mohammed added, “We anticipate a boost in socio-economic development, poverty reduction and strengthening of national and regional economy through an improved flow of goods and services, particularly agricultural produce”.
“The confidence that our development partners have in us could not have happened without the compliance with the State Public Procurement Act, thus adhere to the global best practices will remain a core value for this administration”.
This, he argued, not because it is the right thing to do, but particularly because it boost trust in the development partners, saying however that” Like bank loans, bonds are cheaper and allow for flexibility by the beneficiaries.
“Thus by attracting the bonds, we have successfully exited reliance on short term bank facility, that in addition to their been expensive, also limit ability to make necessary changes without resorting to cumbersome bureaucratic delays”.
Speaking earlier, the Executive Vice Chairman of the Emerging Africa Capital Group, Madam Toyin Sanni gave the group’s major partners as UBA, Polaris and WEMA banks, as well as other partners as Joint Issuance Houses, and other professional ones.
Toyin said, “It has been a great pleasure, honour and privilege for us at Emerging Africa Capital to release the Issuance of N100bn bond programme for Bauchi State Government commencing with this first trench that we set out to weight N40bn, closing to N41bn, which is N40.9bn”.
She attributed the over subscription of the bond first trench to the testiment of the confidence the invested community has in the government and management of Bauchi state, as well as the commitment Governor Bala Mohammed has demonstrated to the objectives of the state government by assuring discipline application of the funds that have been raised.
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