Governor Abiola Ajimobi of
Oyo State says the state needs to evolve survival strategies in the areas of Internally Generated Revenue (IGR), restructuring and blocking of financial loopholes.
Ajimobi stated this in Ibadan on Wednesday at the inter-religious service organised by the state government.
He said that it was only through the initiation of such strategies that the state would surmount the prevailing economic challenges.
The governor stated that efforts at improving infrastructure, welfare of the workforce and other developmental initiatives were increasingly hindered by paucity of funds as a result of the economic downturn.
“The prevailing economic challenges bedeviling the nation has continued to pose financial threat to meaningful development. It is being made worse by the destructive activities of the Niger Delta militants,” he said.
He called on Nigerians to use the New Year in reviewing the activities of the previous years with the great anticipation of improving upon such in the years ahead.
Ajimobi said that the state now received an average of N2.5billion as federal allocation as against N3.5billion in January 2016.
The governor stated that the abysmally low Internally Generated Revenue (IGR) has continued to pose additional challenges, hindering   developmental efforts in the state.
Ajimobi said that government as an enterprise requires fund to successfully and effectively function.
“Government receives N2.5 billion monthly federal allocations and generates N1.5billion in terms of IGR to service a monthly wage bill of N5.2 billion.
“I have told the finance ministry to suspend subventions to tertiary institutions, likewise car loans and all forms of assistance to cut cost and enhance service delivery,’’ he said.
He debunked the claims that the state government had collected funds from the excess deductions made from the Paris Club refunds shared to states by the Federal Government..
Ajimobi, however, expressed optimism that the state  would  be paid as promised.
The governor promised to allocate 50 percent of the fund in settling outstanding salaries if the money was paid.
He said that President Muhammadu Buhari had pleaded with the governors to ensure the money was used in settling outstanding salaries of workers, adding that he was passionate about the welfare of the people.
“That was the same way he pleaded with us to use the bailout fund in settling outstanding salaries then. I am confident to tell you that the state used 100 per cent of the bailout fund in paying outstanding salaries,” he said.
Ajimobi called on the workers and the people of the state to join hands with government in building the state.
“Our state has the largest land mass in the whole of the southern Nigeria and comparative advantage in cassava production to make garri, starch and others.  We must harness these potentials creatively.
“Our people should engage in such productive ventures to help the state while eschewing laziness, idleness and rumour mongering,” he said.