Lagos State Governor, Babajide Sanwo-Olu has sought the endorsement of the House of Assembly for a loan of N250 billion.
The governor’s letter was read on the floor of the House during plenary on Tuesday by the Clerk of the Assembly Mr. Sani Azeez.
Lagos State Governor Babajide Sanwo-Olu also on Tuesday disclosed that the state is ready to pay more than the N30,000 benchmark for the National Minimum Wage.
According to the governor’s letter, the loan was broken down as: a fixed rate bond of N100 billion from the capital market and an internal loan of N150 billion.
The governor explained that the budgetary provisions of recurrent and capital budget of ministries, departments and agencies were not likely to be utilized before the end of the year, saying that N34.050 billion could be re-ordered.
In the letter, the governor stated that his administration was constrained by the lack of revenue for the remaining months of the year and that it would not be in a position to propose a supplementary budget, which informed the recourse to re-ordering 2019 budget.
He said the budget as at 31st August, 2019 had a 71 per cent overall performance, which was below the set target of 100 per cent.
Speaker of the House, Mudashiru Obasa subsequently committed the governor’s request to the joint committees on Finance and Budget and Economic Planning.
The Governor during a meeting with Organised Labour Unions held at the State House in Alausa area of the state said , “As a government, we take the issue of minimum wage very seriously. We know how important and germane it is to the wellbeing of our people. We are technically ready to implement the new minimum wage. I made commitment during my previous interactions with the labour unions before my assumption of office and I am still keeping to the promise made. However little it is, we will certainly pay more than N30,000 minimum wage.’’