Otti Pays Off N90bn of Abia's N191bn Debt Without Borrowing

Otti's N90bn Debt Payment Boosts Abia's Finances

“Investors don't listen to platitudes. they look at actions. Without any campaign, we have had investors...”

Governor Alex Otti announces significant debt reduction: N90bn paid off N191bn inherited debt, no loans taken.

Governor Alex Otti of Abia State has made some impressive strides in managing the state's finances. In just 15 months, his administration has paid off N90 billion of the N191.2 billion debt inherited from previous administrations. This significant reduction in debt is a testament to Otti's commitment to fiscal responsibility.

Under Otti's leadership, Abia State has also attracted $159 million in foreign direct investment between June 2023 and June 2024. This influx of foreign investment is a vote of confidence in the state's economic potential and Otti's vision for its development.

Otti emphasized that his administration has achieved these milestones without taking any loans from financial institutions. Instead, the state's resources have been carefully managed to fund essential projects, including infrastructure development, salary payments, pension settlements, and other critical government commitments.

Achievements of Governor Otti's Administration:

Debt Reduction: Paid off N90 billion of inherited debt 

Foreign Investment: Attracted $159 million in foreign direct investment

Fiscal Responsibility: No loans taken from financial institutions

Resource Management: Effective allocation of state resources for infrastructure, salaries, pensions, and other commitments.

“I inherited N191.3 billion from my predecessor in May 2023. My predecessor inherited about N35 billion from his predecessor in 2015,” Otti said.

“But today, my administration has paid over N90 billion of the debt we inherited.

“We still pay salaries and pensions every month. And I have not borrowed a Kobo from anybody.

“The achievements you see today are a product of prudent management of scare resources.”

Governor Alex Otti recently announced a remarkable achievement for Abia State, catapulting from 27th to 3rd place among Nigerian states with the highest foreign direct investment. This impressive leap underscores the state's growing attractiveness to international investors, fostering economic growth and development.

Key Factors Contributing to Abia's Success

Strategic Location: Abia's proximity to major airports and seaports facilitates easier transportation and logistics.

Industrial Hub: Aba, the state's industrial capital, boasts a thriving textile manufacturing sector, which played a crucial role in producing face masks and Personal Protective Equipment (PPE) during the COVID-19 pandemic.

Business-Friendly Environment: The state government's support for entrepreneurs and investors has created a conducive environment for business growth.

Investment Opportunities in Abia State

Crude Oil Exploration: Abia has over 100 oil wells waiting to be fully explored.

Textile Manufacturing: The state's textile industry has immense potential for growth and development.

Pharmaceuticals Production: Abia's fertile land and rich resources make it an ideal location for pharmaceutical manufacturing.

These factors and opportunities combined have propelled Abia State to its current position as the third-highest recipient of foreign direct investment in Nigeria, a testament to Governor Otti's vision for economic development.

Governor Alex Otti credits his administration's success in attracting investors to Abia State to their focus on building essential infrastructure and fostering a business-friendly environment. By doing so, Abia has become an attractive hub for investors, drawing in $159 million in foreign direct investment between June 2023 and June 2024. This influx of capital is a testament to Otti's economic vision, which prioritizes transparency, accountability, and good governance.

Under Otti's leadership, Abia State has witnessed significant transformations, including:

Infrastructure Development: Roads, previously abandoned, are now being macadamized and commissioned for smooth movement of people and goods.

Economic Reforms: Otti's expertise as an economist has helped breathe life into Abia's economy, promoting financial stability and growth.

Investor-Friendly Environment: The state's improved infrastructure and business-friendly climate have made it an appealing destination for domestic and foreign investors.

These achievements demonstrate Otti's commitment to harnessing Abia's full potential, making it a beacon of hope for its citizens and a model for sustainable development.

“We saw the need to lay the foundations upon which investment drives would stand. And that is why a lot of investors are now coming into the state,” Otti said.

Governor Alex Otti's approach to attracting investors is centered around creating a conducive environment that naturally draws them in, rather than actively chasing after them. By focusing on building essential infrastructure and fostering a business-friendly climate, Abia State has risen from 27th to 3rd place among states with the highest foreign direct investment. This strategy emphasizes the importance of setting the right conditions for investors to thrive, making the state an attractive destination without needing to pursue them aggressively.

Factors in Creating an Investor-Friendly Environment:

Infrastructure Development: Building roads, utilities, and other essential infrastructure to support businesses

Business-Friendly Policies: Streamlining regulations and reducing bureaucratic hurdles

Security and Stability: Ensuring public safety and addressing potential security concerns

Human Capital Development: Investing in education and workforce development to provide a skilled labor force

By prioritizing these factors, Governor Otti aims to make Abia State a hub for investment and economic growth, demonstrating that creating the right environment is key to attracting investor.

“Investors don't listen to platitudes. they look at actions. Without any campaign, we have had investors coming to set up their investments in Abia.

“Apostle Chibuzor of OPM, the other day, brought a team of investors - one from Italy, another from Turkey and one from the US.

“That's why we are making sure we make Abia investor-friendly.

“Akaikenga Think Tank also came, and we are discussing on how they would set tech hub in Abia. We want our people to come back and invest at home,” Otti noted.

Governor Alex Otti has made significant strides in ensuring food security in Abia State. A key part of this effort is the sponsorship of 300 Abians to undergo training in modern farming techniques in Nasarawa State. This initiative demonstrates the administration's commitment to empowering farmers and boosting agricultural productivity.

To further promote development across the state, Governor Otti has established the Greater Ohafia Development Commission (GADO). This initiative aims to ensure equitable development across all senatorial districts, preventing any from being left behind in the government's progress plans. By doing so, the administration hopes to foster inclusive growth and address regional disparities.

Initiatives for Food Security and Development:

Modern Farming Training: 300 Abians sponsored to undergo training in Nasarawa State

Greater Ohafia Development Commission (GADO): Established to ensure equitable development across all senatorial districts

Agricultural Development Projects: Implementation of various projects to support farmers and boost food security measures 

Under Governor Otti's leadership, Abia State is making progress in critical areas, including infrastructure development, economic rejuvenation, healthcare reforms, educational enhancements, and job creation initiatives  These efforts demonstrate his administration's dedication to transforming the state and improving the lives of its citizens.

“Since we already have Greater Aba Development Authority, GADA; and Umuahia Capital Development Agency, UCDA, we need to complete the tripod and that's what we have done to ensure even development in the state,” he added.

Governor Alex Otti is making significant strides in transforming Abia State's infrastructure. The expansion of the 5-kilometer Onuimo Bridge-Abia Tower Umuahia road has commenced, while contracts have been awarded for other key projects, including:

• Ntigha Road: 11.5 kilometers long
• Mbala-Ngodo Isuochi Road: 11.27 kilometers long
• Obehie-Owaza Road in Ukwa: 11.5 kilometers long

Additionally, the reconstruction of Port Harcourt Road in Aba by Julius Berger is progressing well, with completion expected by February 2025. Other road projects, such as:

• Uzuakoli-Ohafia Road
• Atochukwu Road
• Abam-Atochukwu Umuahia-Ohafia-Ndiokorie Road

are also advancing as planned. Governor Otti remains committed to his administration's zero-pothole policy, prioritizing road maintenance and upgrades to ensure a seamless transportation network. This focus on infrastructure development is a testament to Otti's vision for a more connected and prosperous Abia State.