By Babajide Komolafe
The Bankers’ Committee and the Cross River State Government (CRSG) has commenced discussion on partnership to finance key infratrusture needs of the state, estimated to cost $833.3 million (N124.995 billion)

Speaking at a session organised by the Bankers Committee in Lagos recently, Senator Liyel Imoke, the Governor of Cross River State said the developmental projects include building of an American International Hospital to drive medical tourism and ensure an “American Standard of Care” at an estimated cost of N22.5 billion (or $150million) with internal rate of return of 25% and payback period of seven years.

At the interactive session organised by the Bankers’ Committee to articulate a collaborative approach by the financial services sector to support transformation and actualise the developmental objectives of the state, he declared that another project is the “Six Flags Worlds of Wonders, Calabar”, conceived to turn Calabar into world class-destination envisioned to complement the state’s existing tourism offering at a projected cost of $180 million.

According to him, “the state has conceived the Calabar Energy City as part of the overall vision to position it as a foremost service-based economy in Nigeria. The energy city is to be developed as an Industrial oil & gas logistics base with estimated cost of its first phase put at N41 billion ($275 million).”

To stimulate the socio-economic development of the state, Imoke said the state government has planned for an Independent Power Plant to complement its efforts at transforming the state into a primary industrial and tourism hub.

This project is expected to gulp $67.52 million while the proposed Cross River State Water Supply Project will cost $65.8 million.

He summed up the potentials of the state, saying “Cross River State is a major reference point in Nigeria and the sub-region in good governance, economically strategic investments, tourism and environmentally sustainable initiatives, as such, sustained development will be to the benefit of the whole sub- region.”

Other initiatives highlighted as required to drive the sustainable service-based economy include the Calabar Riviera Resort worth $25 million, Calabar Convention Centre $50 million and Hospitality Training Academy with an estimated cost of $20 million.

The Governor said the state has a good business environment with presence of major hotels and conferencing facilities such as Transcorp Hilton, African Sun Amber, Tinapa among others and will require the financing support of the banks to actualise its outlined developmental objectives.

As part of the economic strength of the state, Imoke said that Cross River has a One-Stop Investment Centre (OSIC) that facilitates business entry for potential investors, adding that it is Nigeria’s premier tourism destination with investments of N150 billion in the sector over the last 10 years. He highlighted the key areas of focus to include healthcare, education, agriculture, tourism, environment, infrastructure and growing the private sector.

He lauded the efforts of the Central Bank of Nigeria and the banks towards ensuring increased lending to infrastructure and the real sector, especially transport, agriculture and power sub-sectors. He added that security concern was an issue for potential investors but assured the state is safe.

He buttressed this point further by referring to Federal Government’s plans to convert Cross River State airport into an international airport, a gesture that will promote tourism and service sector of the state.

Responding to the questions on current projects, the Governor said the Tinapa project is in progress but called on interested equity investors to partner with the state on the project. He added that the financial gap resulting from the projects in the pipeline required joint effort of the private sector and banks.

He declared that the state has embarked on major reforms which include public finance management to ensure increased Internally Generated Revenue (IGR), improved fiscal discipline, transparent public procurement and sustainable debt management.

In conclusion, he stated that public-private partnership for increased investor confidence as well as social welfare reforms for improved welfare for disabled persons and less privileged members of the society were among current initiatives being implemented by the state.