By Tom Moses, with agency report

UYO—The Akwa Ibom government yesterday said it was facing huge financial burden as pensions of retired civil servants in the state kept increasing monthly, saying the state was ready to apply for N15 billion bailout from the Federal Government due to the dwindling federal allocation to the state.

Commissioner for Finance, Mr. Akan Okon, while speaking with newsmen, noted that following the lean financial situation in the state, modalities were being worked out to revive the earlier suspended Contributory Pension Scheme, CPS, in the state.

Gov Emmanuel Udom

Okon said that the reintroduction of CPS would guarantee sustainable pension administration.

He said the state government had already constituted a committee to draw up efficient structural framework for the smooth implementation of CPS in the state public service.

He regretted that Akwa Ibom was the only state in the country not implementing the Pension Reform Act of 2014.

The commissioner explained that under the Act, provisions were made for states and local governments to adopt the contributory pension scheme.

He said recent development with regards to inadequate funds affecting all states in the country had made it imperative to adopt the contributory pension scheme in the state.

Okon maintained that the CPS would guarantee better future for pensioners as it would facilitate quick payment of retirement benefits.

On bailout, the Commissioner  said: “For us to be able to sustain our developmental strides, complete ongoing projects and embark on other envisaged ones, the State Executives Council resolved that it was necessary for us to go for the bailout fund. As a state with the highest revenue generating profile in the country and based on the economic sustainability analysis of the state, we would be applying for at least, N15Billion”

He refuted the allegation that the administration was owing salaries to civil servants in the state as a according to him, the delay in payment of salaries being experienced, was as a result of the inconsistency in the Federal Allocation and Fiscal Accounts Committee meetings.