Otti says Abia prioritising economic recovery over aggressive tax drive

Governor Alex Otti has said the Abia State Government deliberately avoided an aggressive internally generated revenue (IGR) drive over the past three years in order to stabilise the economy and improve living conditions for residents.

The governor stated this while receiving a delegation from the BudgIT Foundation at Government House, Umuahia.

Otti explained that when his administration came into office in 2023, the state was confronted with severe infrastructure decay, poor healthcare delivery, environmental challenges and a struggling education system.

According to him, the administration decided that rebuilding critical sectors and creating a conducive environment for businesses should take priority over increasing tax pressure on citizens.

“When we came in, infrastructure was almost non-existent. Healthcare facilities were in poor condition, schools were struggling and the environment was overwhelmed by waste,” the governor said.

“There were about 948 primary healthcare centres and virtually none was functioning effectively.”

He stated that government could not reasonably demand higher taxes from citizens whose businesses and livelihoods were already under pressure.

“The first responsibility of government in that situation is to create an enabling environment for people to survive and for businesses to grow,” he added.

“You cannot demand what people do not have. Once prosperity improves, government can then take its fair share through taxation.”

The governor described taxation as a reflection of economic growth and prosperity created within society rather than a tool for burdening struggling citizens.

Otti disclosed that the state generated about N70 billion in revenue last year against a target of N120 billion, while the target for 2026 has been set at N220 billion.

He admitted that the state may not fully realise the target but stressed that gradual progress remained more important than imposing harsh revenue measures.

“Our focus is whether people’s lives are improving. Are businesses doing better? Are schools functioning better? Do people now have access to healthcare services? Those are the indicators that matter most to us,” he said.

The governor also reiterated his administration’s commitment to transparency and prudent management of public resources.

According to him, transparency remains a core principle of the administration and public officials are expected to uphold strict accountability standards.

“Transparency is not negotiable in this government. We are dealing with public funds and they must be managed responsibly,” Otti stated.

He assured the BudgIT delegation that the state government was ready to strengthen collaboration with the organisation in promoting accountability and fiscal openness.

Earlier, the Global Director of BudgIT Foundation, Oluseun Onigbinde, commended the Abia State Government for improvements in transparency and public finance management.

Onigbinde said the organisation was interested in deepening partnerships with governments in areas such as fiscal sustainability, accountability and social investment.

Also speaking, the Country Director of BudgIT Foundation, Vahyala Kwaga, revealed that Abia had recorded significant improvement in the organisation’s fiscal transparency ranking.

According to him, the state moved from 17th position to fourth place within two years, reflecting progress in governance and accountability reforms.

Government officials present at the meeting included the Commissioner for Finance, Mr Uwaoma Ukandu; Commissioner for Budget and Planning, Mr Kingsley Anosike; Special Adviser to the Governor on Media and Publicity, Mr Ferdinand Ekeoma; and the Accountant-General of the state, Mrs Njum Onyemenam.

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