Cross River State Government to pay back the multi-million dollar facility it granted the state to construct the Tinapa Premier Business and Leisure Resort.

The Economic Community of West African States (ECOWAS) Bank is asking the Cross River State Government to pay back the multi-million dollar facility it granted the state to construct the Tinapa Premier Business and Leisure Resort.

This is giving Cross River Governor, Senator Ben Ayade serious headache.
The Governor Donald Duke’s administration had initially budgeted USD350 million for the project but as at its commissioning on April 2, 2007, this had increased to about USD450 million with some reports pegging the actual cost at USD470 million.
This is nearly NGN150 billion today but was about NGN56 billion as at 2007.

The huge debts left behind and the inability of Tinapa to kick off 3 years after completion saw the loans under Governor Liyel Imoke’s administration, accruing neck breaking interest with the Asset Management Company of Nigerian (AMCON) attempting to buy over NGN30 billion of the debt the state owed Union Bank.
But, a chunk of that money was gotten from the ECOWAS bank.

But, Governor Ayade in different fora has said that despite these challenges, he is bent on industrializing the state as it is the only way out of the financial conundrum the state is currently in.

“I know no sleep trying to ensure that salaries are paid because if we don’t pay that, there will be social tension which is why it is a priority in my administration,” Ayade told the Revenue Mobilization Allocation and Fiscal Commission chairman earlier this year.

He argued that the magic he was performing to pay salaries, pensions and gratuities may not be replicated by another and posited that the state will use its intellectual wealth to get out of the financial mess it is currently in.