Saturday 16th October 2021

Category: Finance

Osun presents 2020 audited accounts

…as State IGR skyrockets to N19.6b

The Government of the State of Osun on Tuesday presented the audited financial accounts of the State for the 2020 fiscal year.

The audited financial reports were made public as part of efforts to keep the citizens abreast of the financial status of the State, showcase prudence in the management of the available resources
and, by extension, strengthen the existing public trust and confidence that have been the hallmarks of the Administration.

The audited accounts as presented revealed the astronomical improvement in the State Internally Generated Revenue from 2018 to 2020 as a total sum of N13,805,843,339.25 was generated in 2018; N17,720,122,360.44 in 2019 and N19,642,333,010.68 in 2020 respectively.

This is even as the Auditor-General of the State, Mr. Folorunso Adesina, lauded the high sense of commitment of the Governor Adegboyega Oyetola-led Administration to ensure accountability, transparency and probity in the management of the State’s resources.

Recall that the 2019 audited account was presented earlier this year due to the adverse effects of the protracted Coronavirus pandemic that has been ravaging the universe.

The summary of the Audited Financial Statements as presented puts the Total Revenue (inflows) at N99,048,740,967.00 and Total Recurrent and Capital Expenditure (outflows) at N86,470,726,806.86 respectively.

The Net Balance on Total Revenue and Total Expenditure was N12,578,014,160.14 and Opening Balance as at January 1st, 2020 was N10,356,616,311.14 while the Total Closing Balance as at December 31st, 2020 was N22,934,627,471.28 respectively.

Analysis of Recurrent Expenditure indicates that Personnel Expenditure has N28,748,672,359.37 and Recurrent Expenditure has N17,928,291,392.63.

Also, analysis of Capital Expenditure indicates that Administrative Sector has N5,392,638,753.82; Economic has N27,896,438,968.24; Law and Justice has N58,309,514.17 and Social has N6,416,375,818.63 respectively.

While reeling out the audited reports of the finances of the State for the year 2020 at the Audit Forum held at Leisure Spring Hotel, Osogbo, Adesina said Public Finance Management (PFM) reform under the leadership of Governor Oyetola, has got a boost by becoming one of the pioneer States to assist and implement Audit Act in Nigeria, a feat the Federal Government is yet to attain.

He said the presentation of the 2020 fiscal account would make Osun to consolidate on its pacesetter status among the comity of states in the country and further build public trust and confidence in governance.

Adesina who highlighted the sterling performance of the State so far, particularly within the Audit Year under review, said it was generally discovered that Government executed people-oriented programmes as prudence was put in the forefront towards good governance.

According to him, economic and social sector took about 86.22% of the Total Capital Expenditure which was responsible for government’s ability to build, rehabilitate, revitalise and deliver for public use over 300 Primary Healthcare Centres as at the time of the report.

“Audit visitation to location of the health centres and health equipment supplied, including consumables was confirmation of this government priority for the well-being of the masses.

“Also on infrastructure, the Office through the monitoring team inspected roads construction embarked upon and completed by the State such as Moro-Yakoyo-Ipetumodu-Asipa road; Ada-Igbajo road; Overlay of Oke-Gada-Army Baracks road, Ede; Ereja roundabout-Eregun-Isaare-Oke-Oye road, Ilesa; Akindeko-Awosuru-Alekuwodo road; various rural electrification projects spread across the State among others, and it was discovered that best available standards were used in the various constructions, thereby making available to the masses, good and solid infrastructure which have impacts positively on the lives of the people and have helped to transform the socioeconomic status of the State.

“Audit also visited some renovated schools and the educational materials supplied like desks, chairs, books, shelves among others were inspected across the State and it was discovered that their amenities were effective and efficient for the target masses,” Adesina explained.

Giving the financial position of the State as at December 31st, 2020, Adesina said, Total Asset was N153,895,719,326.64; Total Liabilities was N90,720,513,278.69 and Net/Equity was put at N63,175,206,047.95.

On budget performance, the Auditor-General said Goverment had performed credibly on its revenue generation efforts, most especially on IGR as reported in the comparison of revenue between previous years.

“The accounts of the State Government of Osun for the year ended 31st December, 2020 have been audited by me in accordance with the provision of Section 125 Subsection 2 of the 1999 Constitution of the Federal Republic of Nigeria (as amended).

“I have certified the individual accounts ( statement of cash flow, statement of financial performance, statement of financial position, statement of change in assets/equity, statement of comparison between budget and actual notes to the accounts) as correct object to clarified observations.

“In fulfilling the provisions of the extant requirements, my office within the financial year under review, carried out Financial Audit in accordance with professional standards and regulations to determine whether the accounts have been satisfactorily and faithfully kept through audit trail of transactions.

“We equally carried out Appropriation Audit to ensure that funds are expended as appropriated by the State House of Assembly as well as Compliance Audit to ensure that laid-down rules, regulations and procedures are being observed in tendering, supplying, contracting and storekeeping with a view to ensure strict adherence to the provisions of the Acts of Parliament.

“As the watchdog of public finances, we monitored all government projects and all forms of disbursement to ensure that all officers carried out their duties in a transparent way and in accordance with the applicable rules and regulations.

“Projects and programmes executed were satisfactory in consideration of funds employed and financial statement 1-5 and related schedules give a true and fair view of the state of affairs of the State Government of Osun at 31st December, 2020,” he added.

Earlier, Speaker, Osun House of Assembly, Hon. Timothy Owoeye lauded the Administration of Governor Oyetola for running an all inclusive and participatory government.

Owoeye who was represented by the Chairman House Committee on Public Accounts, Hon. Gbenga Ogunkanmi reaffirmed the House’s commitment to continue to ensure check and balances in the management of the State in general and public treasury in particular.

In his remarks, the Head of Service, Dr. Olowogboyega Oyebade applauded the financial prowess of the Administration of Governor Oyetola to maintain and sustain the economy of the State despite the daunting challenges.

Oyebade who was represented by the Permanent Secretary, Ministry of Human Resources and Capacity Building, Mr. Leye Aina, described the public presentation of the Audited Accounts as an indication to the fact that Oyetola’s administration was open to all.

“It shows the Governor means business, it shows he knows what he is doing. It takes someone who is honest, transparent and accountable to be able to sustain this. For us to be able to maintain and sustain this also shows that the Governor is serious about the finances of the State. It shows he is a thorough leader.

“This is a way of telling the public that the government is open to criticism. It shows that the government is ready to show the book of accounts to public as probity, accountability, transparency and honesty are prioritised. This shows that government has nothing to hide and that it has no skeleton in the cupboard,” Oyebade added.

The Audit Forum had in attendance members of the Civil Society Organizations; Stakeholders, Heads of Non-Governmental Organizations; top government functionaries, professional bodies, artisans among others. Earlier, Speaker, Osun House of Assembly, Hon. Timothy Owoeye lauded the Administration of Governor Oyetola for running an all inclusive and participatory government.

Owoeye who was represented by the Chairman House Committee on Public Accounts, Hon. Gbenga Ogunkanmi reaffirmed the House’s commitment to continue to ensure check and balances in the management of the State in general and public treasury in particular.

In his remarks, the Head of Service, Dr. Olowogboyega Oyebade applauded the financial prowess of the Administration of Governor Oyetola to maintain and sustain the economy of the State despite the daunting challenges.

Oyebade who was represented by the Permanent Secretary, Ministry of Human Resources and Capacity Building, Mr. Leye Aina, described the public presentation of the Audited Accounts as an indication to the fact that Oyetola’s administration was open to all.

“It shows the Governor means business, it shows he knows what he is doing. It takes someone who is honest, transparent and accountable to be able to sustain this. For us to be able to maintain and sustain this also shows that the Governor is serious about the finances of the State. It shows he is a thorough leader.

“This is a way of telling the public that the government is open to criticism. It shows that the government is ready to show the book of accounts to public as probity, accountability, transparency and honesty are prioritised. This shows that government has nothing to hide and that it has no skeleton in the cupboard,” Oyebade added.

The Audit Forum had in attendance members of the Civil Society Organizations; Stakeholders, Heads of Non-Governmental Organizations; top government functionaries, professional bodies, artisans among others.

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OSUN FEDERAL ROADS REFUND: The untold story

The Osun State government on Saturday disclosed that it had received in recent years a total of N11.9 billion as refund from the Federal Government as refund for federal roads it rehabilitated.

This is against lies from some political elements who claimed that the Oyetola government had received N48 billion even when the total contract sum is N38 billion.

The state government described as misleading and a misrepresentation of facts allegations that the administration of Governor Adegboyega Oyetola had received the sum of N48bn from the Federal Government as refund for the federal roads constructed by the immediate past administration.

The State Commissioner for Finance, Mr Bola Oyebamiji, in a statement described the claims as capable of creating disharmony, strife and bad blood within the progressive’s family, said N48bn was a far cry from the N150bn which Oyetola had expended on prompt payment of full salaries and pensions.

He added that the current government had paid over N67bn as loan repayment during its 33months of administration in the State without borrowing a kobo till date.

The allegation, which emerged from a viral video circulated on the social media by one Sikiru Ayedun, former Commissioner for Home Affairs, Mr. Sikiru Ayedun, had suggested that the refund had been Oyetola’s secret purse for paying full salaries and undertaking other projects in the State.

In a statement he personally signed, Oyebamiji said,

“My attention has been drawn to the unsubstantiated claims by a former Commissioner for Home Affairs, Mr. Sikiru Ayedun, claims that could mislead the public through misrepresentation of facts on the state of refund by the Federal Government to the Osun State Government on all the federal roads constructed by the previous administration and the Osun debt portfolio management by the present administration.

“In setting the records straight, it is important to emphatically and explicitly state that such claims, as presented in the video under reference, is capable of creating disharmony, strife and bad blood within the progressive family.

“The claim that the sum of N48billion has been received by the Oyetola led administration as refund on federal roads constructed within the state is untrue. The total contract sum of all federal road projects embarked upon by the Osun State Government, as approved by the Federal Ministry of Works, is N38billion. It is therefore against logic that the sum of N48bn will be paid by the FG for projects whose total contract sum equals N38bn. The projects in question, as at November, 2018, on the average, was less than 35% completion.

“Available records show that the Osun State Government awarded the 29km Gbongan – Akoda dualization project in 2013 for N29bn while the 40km Osogbo – Ikirun – Ila Odo Kwara boundary was awarded for N17.5bn in the same year, making both projects to amount to N46.5bn as proposed by Osun State Government. However, after due diligence and thorough assessment by the FG Public Procurement Agency, the contract sum was reviewed downward thus: Gbongan – Akoda road at N23bn, and Osogbo – Ila Odo Road at N15bn respectively to carry the approved award contract sum of N38bn for all the ongoing FG roads under construction. This review was duly communicated to the Osun State Government.

“As at November 2018, the contractor handling Gbongan – Akoda road project had received a total sum of N10.2bn, out of which 3.5km of the 29km stretched road have been completed including the Gbongan Interchange and the project was at 29% completion while the contractor handling the Osogbo – Ila Odo Road collected a total sum of N9.2bn, with 49% completion rate; the implication is that the Osun State Government had paid both contractors the sum of N19.4bn as at November 2018. Similarly, the total refund by the FG to the state as at today, in three tranches, stood at N11.9bn based on the project delivered by both contractors. It is imperative to state that the FG refund of N11.9bn has been judiciously utilized and ploughed back into four (4) inherited road projects embarked upon by the previous administration contrary to the unsubstantiated claims by Mr. Ayedun that the refund is being used to pay full salaries to civil servants in the state.

“As at today, Gbongan – Akoda road project is at 36% completion stage, with 8.6km asphalted on both sides of the road. Also, the Osogbo – Ila odo project which was at 49% in November 2018 is now at 55% completion, Oba Adesoji Aderemi road which was equally inherited at 65% completion is at 74% now and Ilesa – Iperindo – Ipetu Ijesa road project rose from 40% to 66% completion stage. It is also instructive to note that since the advent of Oyetola administration, additional 60km of road had been reconstructed and fully completed, with another 10 township roads presently under construction; these are expected to be completed before the end of 2021 including the Iconic Olaiya flyover.

“While we refrain from joining issues with anyone, the

The statement said the Gov Gboyega Oyetola government has expended over N150bn on prompt payment of full salaries and pensions. It is a fact that Osun State remains one of the few states paying minimum wage of N30,000 in spite of our precarious and highly geared financial situation. This is in fulfillment of the pact he made with Osun citizens when he assumed office in 2018.

“The current government has paid over N67bn as loan repayment during its 33months of administration in the State without borrowing a kobo till date. The ingenuity and doggedness of Governor Gboyega Oyetola, has ensured a significant reduction in the total debt portfolio of Osun State. This can be verified from the website of the Debt Management Office.

“Let me reaffirm that Governor Gboyega Oyetola will continue to deploy his over 3 decades of managerial experience as a risk manager, a welfarist and financial guru to move the economy of the state towards prosperity of the larger percentage of Osun citizens.

” I urge all well-meaning Osun citizens both politician and otherwise, to endeavour to verify all information before publication and dissemination. This will ensure a peaceful and healthy political atmosphere for all and sundry. The State Government of Osun, under Governor Gboyega Oyetola, hereby reiterates its commitment to provide a secured, financially viable and peaceful environment so Osun may continue to thrive”, Oyebamiji said.

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Gov. Oyetola launches Automated Financial Management Information System (SIFMIS)

The Government of the State of Osun, in its effort at deepening accountability and simplifying its budgetary process, on Friday, launched the State Integrated Financial Management Information System (SIFMIS).

The Governor of the State of Osun, Mr Adegboyega Oyetola, describing the project, said the project is of monumental importance to his administration’s vision and commitment to enthroning financial efficiency, accountability and transparency in the management of the economy of the state for optimum results.

He added that it is the belief of his administration that the best way to fight corruption in the public service is to build an impregnable and efficient financial system, which SIFMIS is built to address.

According to Oyetola: “Our Administration is built on a development agenda whose purpose is to provide adequate, equitable and quality service for the people using the mechanics of accountability and transparency as the drivers of the management of our limited resources.

“In the over two years that we have come into government, this strategy has helped us to cut wastages and plug excesses, and we have used the dividends to provide services in all the sectors, especially in health, infrastructure and education.

“We believe that the best way to achieve sustainable development and economic transformation is to develop a system that will make our bureaucracy efficient and put our financial system on auto pilot. To achieve this end, we went on a search and our quest produced a best practice compliant application, the State Integrated Financial Management Information System.

“We are grateful to the European Union and the World Bank whose support gave birth to the building of State Integrated Financial Management Information System that we are commissioning today.

“The State Integrated Financial Management Information System is a financial application that will enhance our budgetary efficiency. It is a potent weapon for achieving our resolve to rid our system of corruption and unnecessary bottlenecks.

“This application is a catalyst to our development strategy, which is targeted at providing prosperity and better life and services for our people. It will also further instill financial discipline in our bureaucracy and make our State a player in global financial best practices and a model in financial efficiency in the nation.

“For an Administration that has created a road map for economic recovery and transformation through the institution of Economic Summit, the establishment of Investment Promotion Agency, engagement in massive infrastructure development and the expansion of all sectors, the institution of the State Integrated Financial Management Information System to improve financial sanity and efficiency is a necessary requirement to complete the economic cycle.

“With the commissioning of the State Integrated Financial Management Information System today, it is certain that the State is on the path of achieving financial efficiency and economic transformation”, Oyetola stated.

The Commissioner for Finance, Mr Bola Oyebamiji, speaking at the launch, said the launch of SIFMIS marked a turning point in the government’s effort at promoting accountability in public financial management.

“The desire of Governor Adegboyega Oyetola to enthrone an efficient and robust public service has started manifesting. With the State Integrated Financial Management Information System (SIFMIS) being launched today, we are sure that in no distant time, service delivery within our public service in Osun will compete favourably with world standards.

“Osun IFMIS as currently implemented covers: Oracle General Ledger, Oracle Account Payable, Oracle Account Receivables, Oracle Fixed Assets, Oracle Hyperion Planning and Budgeting, Oracle Purchasing, Helpdesk, and Oracle Business Intelligence Report.

“In the next phase of our e-governance programme, we hope to extend the SIFMIS operations to cover the following modules: Electronic Document Management System (EDMS), Sourcing Module for Procurement activities, HR and Payroll, Revenue, Project Monitoring, and any other module as our e-governance activities progresses”, Oyebamiji stated.

Oyebamiji announced that the system was efficiently deployed for operation on 25th February 2021 with no incidence of system failure till the time of reporting.

Commenting on the workability of the system, the Project Manager of SIFMIS, Gabriel Oginni, described the project as a major breakthrough in the e-governance drive of the State of Osun.

“The objective of SIFMIS is to improve efficiency in financial transactions and reporting through effective utilisation of simple but robust automated system.

“Being that every automation has incremental change, this phase has laid a strong infrastructural foundation for e-governance in our dear state, and this can be further expanded and stepped down to local government areas in the State. No doubt, SIFMIS project has put the state at the level of international best practice and on the pact of efficient financial transparency, accountability and accuracy”, Oginni stated.

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GOVERNOR OYETOLA ALLIGNS WITH INTERNATIONAL BEST PRACTICES ON FINANCIAL MANAGEMENT

The Governor of the State of Osun Mr. Adegboyega Oyetola has been described as a prudent Governor for upholding and strengthing Reforms in Public Financial Management in the State of Osun.The good news was broken by the State Project Coordinator, State and Local Governance Reform SLOGOR Project, Mr Yemi Ijidele while fielding questions on SLOGOR’s achievements from journalists in his office.The Project Coordinator highlighted the achievements of Mr. Governor under European Union and World Bank assisted State and Local Governance Reform (SLOGOR) Project andapplauded the people’s Governor, Mr. Adegboyega Oyetola for ensuring passage of Financial Legislations which among others includes:State Audited Bill, passed into law in 2018 and public Financial management Bill, passed into law in the year 2020.Mr. Ijidele who appreciated the State helmsman for making another achievements on Budget Reform listed: 1. preparation of ten years development plan for the State. 2. Medium Term Expenditure framework (MTEF) and 3. Medium Term Sector Strategy was developed to strengthen transparency and accountability in governance.The Project Coordinator also mentioned that Mr. Governor has demonstrated to be people’s Governor in several instances. In terms of External and Internal Audit, Mr. Governor carries the people of the state along and rendered stewardship through presentations of the Audited Accounts to the representative of the general public notably the CSOs, Trade Unions, Journalists etc. It is noteworthy to mention that the people’s Governor has been promptly submitting the State Audited Accounts to the State Legislature as required by Law.On Public Procurement, Mr. Yemi Ijidele thanked the State Government for establishing Public Procurement Agency (PPA) in the State. He noted that PFM reform championed by SLOGOR Project also supported government to develop Standard Bidding Documents and created E-portal for the Agency.Finally, the Project Coordinator applauded Mr. Governor for embracing automation of the State Public Financial Management System tagged State Integrated Financial Management Information System {SIFMIS}. He noted that SIFMIS will soon be officially commissioned by Mr. Governor and immediately becomes the e-governance platform where all financial transactions of the government will be operated. Olugbenga OniSLOGOR Communication Officer.

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Osun O-YES Cadets Audit; no intention to downsize- says Govt

The State Government of Osun under the leadership of Governor Adegboyega Oyetola, has ordered the audit of the OYES cadets to ascertain their population and veracity of various engagements.

This was disclosed in a statement signed by the Honourable Commissioner for Youth and Sports, Mr. Yemi Lawal, who said that the exercise was embarked upon on Wednesday 18th, March 2020 and it was conducted all over the State but was met with stiff resistance from the few individuals who thought the exercise was to downsize the workforce of the cadets.

Speaking about the audit exercise, the government noted that: “the State Government of Osun under the leadership of our amiable Executive Governor does not intend to downsize the OYES cadet corps but rather audit the program and ensure sustainability for the benefit of citizens of Osun”.

“The exercise when concluded will strengthen the corp as well as improve the programme tremendously.For the sake of emphasis, the audit exercise is not aimed at downsizing the workforce but strengthening it to be more productive”, the statement added.

The statement assured the people of Osun that “as a responsible
Government, the good people of the State of Osun deserve the best and the Government is committed to ensuring this to reposition the State of Osun for a better tomorrow”.

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Full Automation Of Government Transactions/Services – Osun Finance Commissioner

No Going Back On Full Automation Of Government Transactions/Services – Osun Finance Commissioner


Kingsley Omoyeni

Commissioner for Finance, Mr Bola Oyebamiji has said that the ongoing process to fully automate all government financial transactions and services is a step that the present administration will not renege on.

He said for the state to fully block all financial leakages, boost revenue and be ranked among the best economies of the country the automation process of the present government should be taken seriously.

Oyebamiji stated this during a meeting with the technical implementation team of the State Integrated Financial Management Information System(SIFMIS), a customized technology that will improve the state’s financial management system.

The Commissioner who urged officers selected from different MDAs for the SIFMIS programme to show high sense of commitment said the state has no choice but to embrace full automation of her activities so as to completely block all financial leakages.

He said, “Apart from the huge benefit which the SIFMIS programme is bringing to our state interns of improving our financial management system, I want officers selected for this project to see it as a form of skill acquisition which will in the long run be mutually beneficial.

“Automation of all our financial transactions and services is the best way to go right now, all strong economies of the world are on full automation. It brings about transparency and prudence in spending by the government.

“It makes the people who are being governed to have trust and confidence in the government they voted and will in turn improve their payment of taxes and other levies for growth and development. So I urge us all to take full advantage of this SIFMIS project.

“This project when completed will give the government and the people of Osun a globally acceptable platform for open Governance and further boost the accountable style of governance which the Adegboyega Oyetola administration has always strived to achieve”. Oyebamiji stressed.

It will be recalled that the state government of Osun had signed off on the contract to develop a customized State Integrated Financial Management Information System(SIFMIS) for improved transparency in governance.

The SIFMIS technical implementation team include: the Commissioner for Finance, Mr Bola Oyebamiji who is the Chairman, Commissioner for Budget and Economic Planning, Prof. Olalekan Yinusa, Permanent Secretary, Ministry of Finance, Mrs Adebimpe Ogunlumade, Accountant General, Mr Sunday Igbaroola, Chairman, Osun Internal Revenue Service, Mr Gbite Ademikanra, Auditor General(State), Mr Folorunsho Adesina, Auditor General(Local), Mr Emmanuel Kolapo among others.

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