Inspite of economic recession and adverse effects of coronavirus pandemic on commercial activities, Lagos State Government has disclosed that over N127 billion was realised through Internally Generated Revenue (IGR) in the first quarter of 2021.
The state government, meanwhile, assured residents of Lagosd that the debt profile of the state was nothing to worry about, saying with 17.8 percent debt sustainability ratio currently in operation in the state, an indication that the state economy is doing well.
Announcing the statistics on Thursday during the ongoing ministerial press briefing organised to mark the second anniversary of Governor Sanwo-Olu’s administration in office, Commissioner for Finance, Dr. Rabiu Olowo, hinted that the total revenue generated internally last year was N658 billion.
Olowo said: “And in the first quarter, January-March, we have N127bn. That shows the resilience of our Ministries, Departments, and Agencies (MDAs) despite the challenges confronted by our micro-economy. Our recovery from the recession is very fragile, this affects the micro economy but we will still think outside the box.
“An increase in revenue was as a result of well-thought strategy and commitment in technology. We ensure our revenue is optimized and we block leakages. We are the only state in Nigeria that is not complaining about the pandemic. We have the strategy; it is no that everybody is willing to pay the tax”, he added.
According to him, debt is very good if you ask me personally. The most important thing is how you manage your debt, adding that debt sustainability ratio is about our ability to pay.
‘’Our Debt Sustainability Ratio is 17.8 percent and we have the world bank, the ministry of finance that serve as the regulator, with this we have demonstrated we have managed this debt.