Delta State House of Assembly has approved a N40 billion credit facility request, by the state Governor Sheriff Oborevwori for the purpose of clearing backlog of pension arrears, owed retired primary school teachers and local government employees in the state.
The loan, according to the governor in a letter to the House of Assembly at the beginning of the week, is intended to offset a chunk of arrears of unpaid pension to retirees of the 25 local government areas of the state, including teachers.
The letter said the loan being sought would help alleviate the plight of senior citizens of the state who served and retired at the local government level.
The governor noted that at a meeting held in his office with council chairmen and other stakeholders, it was resolved that a credit facility be sourced from commercial bank to pay the retirees.
Zenith Bank Plc had availed the 25 local government councils the said facility in a prorated manner, in tune with their respective indebtedness to pensioners, for which offer letters had been issued to the councils by the bank, he added.
This followed approval of the letter addressed to the legislature and read in the Assembly by the Speaker, Hon. Emomotimi Dennis Guwor.
The Majority Leader of the House, Emeka Nwaobi, highlighted the necessity of the credit facility. He expressed that the payment of backlogs owed to local government pensioners would bring relief to many households in the state, especially considering the current high cost of living due to the recent removal of fuel subsidy.
According to him, the non-payment of pensions had sent greater percentage of retirees to their early grave in the past, emphasizing the need for the lawmakers to approve the pension loan request from the Executive in order to stop the development.
On their part, the House of Assembly Minority Leader, Edafe Emakpor, and the member representing Bomadi constituency, Oboro Preyor said it was necessary for government to address challenges faced by pensioners at the council level.
The House granted the request following a motion by the Majority Leader, Emeka Nwaobi and seconded by the Chief Whip, Perkins Umukoro.
Guwor lauded the lawmakers for their support for early attention to the request, assuring of a robust synergy between the state Assembly and the executive for greater socio-economic development of Delta state.
