The 16 council chairmen in Kwara State have decided to obtain a N2.1 billion loan from commercial banks to pay November salary and settle other needs.
According to them, this followed the delay in November allocation from the Federation Account Allocation Committee (FAAC).
Commissioner for Local Government, Chieftaincy Affairs and Community Development Haruna Tanbiri Muhammad spoke in Ilorin after the emergency Joint Account Allocation Committee (JAAC).
He said the chairmen applied for the loan in anticipation of November allocation, noting that the delay in disbursement from FAAC had aggravated workers’ suffering.
Muhammad maintained that the statutory allocation is N2.1 million, as against N1.6 million in October, and 10 per cent IGR is N37.3 million.
The commissioner said N280 million was deducted at source as repayment for the N4.8 billion loan councils obtained in 2015 to pay salary, adding that they shared N676.8 million in November.
“The Kwara State government has not received its November allocation from the federation account and the council chairmen felt getting a loan became necessary to alleviate workers’ plight,” he added.
February 17, 2019