The introduction of the Arrears Clearance Framework comprised of the coverage and scope of the framework, purpose of the framework document, users of the framework document, and presentation of the State’s domestic expenditure arrears and description of the State’s policy on arrears.
Arrears Clearance Framework 2020
[info_banner_vc google_fonts=”font_family:Abril%20Fatface%3Aregular|font_style:400%20regular%3A400%3Anormal” image_id=”1250″ pic_size=”100%” pic_height=”250″][/info_banner_vc]
Gombe Debt Sustainability Analysis
The State shows a medium debt position that appears sustainable in the long term. The medium debt position results from the State’s average performance in terms of mobilizing IGR underpinned by the successful tax administration reforms introduced recently in May 2020. The State controls its recurrent expenditure growth and reduces the level of its public debt due to the collapse of oil prices, COVID-19 pandemic and exchange rate fluctuations.
[info_banner_vc google_fonts=”font_family:Abril%20Fatface%3Aregular|font_style:400%20regular%3A400%3Anormal” image_id=”1185″ pic_size=”100%” pic_height=”250″][/info_banner_vc]
The state Government had Verified that is owing the underlisted Contractors. However, any Contractor that his name did not appear on the List via the link below, Should contact the Debt Management office, Ministry of finance Gombe. you can contact us via email: dmogombe@mof.gm.gov.ng.
[info_banner_vc google_fonts=”font_family:Abril%20Fatface%3Aregular|font_style:400%20regular%3A400%3Anormal” image_id=”1033″ pic_size=”100%” pic_height=”250″][/info_banner_vc]
Global Credit Rating (GCR)
Global Credit Ratings has accorded the above credit ratings to Gombe State Government of Nigeria (“Gombe State”) based on the following key criteria:
Although, a number of economic policies have been implemented to drive rapid industrialisation and diversify revenue streams, these programmes have yielded few tangible benefits, with revenue growth remaining weak, registering around the N50bn mark in the last seven years. This has been exacerbated by the significant dependence on oil price linked allocations from the Federal Government of Nigeria (“FGN”). While this source plays an important role in the funding structure, the unpredictability of earnings hampers financial planning, while also exposing a substantial funding gap, as has played out in the last few years.
The current expense base appears manageable (as recurring revenue was sufficient to cover costs). Nevertheless, higher staff costs and overheads saw the expense ratio expand to 69%, partly constraining the operating surplus in FY17. Nevertheless, a combination of robust income growth and cost rationalisation measures should drive growth in surpluses over the medium term, which will free up cash for capex developments. Read more from GCR website