Ekiti N20 Billion Bond Now Listed On Stock Exchange Floor

April 4, 2012

L-R: Director General Nigerian Stock Exchange Commission, Mr. Oscar Onyema (NSE); Executive Director, Market Operations, NSE, Mr. Ade Bajomo; Ekiti State Governor, Dr. Kayode Fayemi; Managing Director, Greenwich Trust Limited, Mr. Kayode Falomo; and Former Governor, Ekiti State, Otunba Niyi Adebayo, at the Bell Ringing Event, signalling the close of transaction on Ekiti State's N20billion Bond at the floor of the NSE, in Lagos... on Tuesday

Ekiti State Governor, Dr. Kayode Fayemi on Tuesday performed the traditional bell ringing on the floor of the Nigerian Stock Exchange (NSE), Marina, Lagos to commemorate the listing of the State’s #20 billion bond on the capital market, with an assurance that proceeds from the bond would be judiciously used for the development of the state.

The event was witnessed by the Chief Executive Officer (CEO) of the NSE, Mr Oscar Onyema, and his management team; first civilian Governor of Ekiti State, Otunba Niyi Adebayo, Ekiti State Commissioner for Finance, Mr Dapo Kolawole, Commissioner for Budget and Economic Planning, Mr Debo Ajayi, Commissioner for Information and Civic Orientation, Mr Funminiyi Afuye and the Special Adviser to the Governor on PPP, Mr Olufemi Tolani.

Speaking at the event, Governor Fayemi said the decision to get the bond was borne out of the commitment of his administration for the rapid development of the State as encapsulated in the 8-point agenda of the administration.

Fayemi added that the meagre resources that accrue to the state from the federation account were not enough to meet the infrastructure needs of the highly expectant Ekiti people as well as actualize the vision of the administration to ensure the all-round rapid development of the State.

“Today marks a watershed in our march towards a new dawn in Ekiti. Today’s closing door ceremony as the name implies is the climax of activities bringing into fruition the efforts of our State to assess funds from the capital market for industrial and infrastructural development. Our decision to source funds from the bond market was borne out of our commitment to the rapid transformation of our State,”he said.

The Governor stated that his administration had already awarded eleven projects to be funded through proceeds from the bond and has mobilized contractors handling the projects some of which are scheduled for completion by December this year.

Fayemi who promised that the proceeds would be judiciously expended on the projects “on time and on cost” added that the bond would also take care of other projects which include on-going rehabilitation of Ikogosi resort, expansion of Ureje waterworks in Ado Ekiti, dredging and expansion of Ero dam, establishment of Ekiti state school of Agriculture, and construction of a new Governor’s office in Ado Ekiti.

Others are the proposed Ado Ekiti Ultra-modern market, construction of Ekiti state liaison office in Lagos and a Civic centre to be located at the old Ado Ekiti Prison. The listed projects are to be completed within 24 months!

The Governor who reiterated the commitment of his administration to transparency and accountability assured that progress reports on the projects would regularly be sent to the Security and Exchange Commission, adding that the State had nothing to hide even as it became the first State to domesticate the Freedom of Information law, Fiscal Responsibility law and has passed the Public Procurement law among others.

Fayemi submitted that this was not the first outing of the State on the Exchange market as it had in 2001 got a #4 Billion bond which was expended on many projects including the Ekiti House in Abuja, some road projects as well as the existing Governor’s office which was originally destined to be a three star hotel. He said these projects still endure and are in good condition till date.

Earlier Onyeama, the CEO of the NSE had recalled how the State got its first bond in 2001 under the Adebayo-led administration and commended the State for judiciously making use of the funds; saying that the Stock Exchange has not lost confidence in the ability of the State to make judicious use of the fund this time.

“We are confident that your administration will make good use of this money and are convinced that this will impact positively on the people of the state. Ekiti has a good record at the NSE, having raised money in 2001. Like this offer, your first offer was fully subscribed, this shows the credibility of the government.” Onyema added.

In his remarks at the event, Otunba Adebayo said integrity is one of the hallmark of the administration, adding that he was confident that the present administration will make the best use of the money.

Last modified: April 4, 2012

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