Oyo establishes sovereign wealth fund to re-energise economy

…plans new towns, cities development authority

The Oyo State Executive Council has approved the establishment of a sovereign wealth fund for the State in order to drive economic growth.

Dotun Oyelade, Commissioner for Information and Orientation who states this in a statement on Wednesday, said the Council identified the establishment of the fund as beneficial to the economic wellbeing of the State, both in the short and long run.

According to him, the principal objective of the Sovereign Wealth Fund is to generate wealth through diversification and prudent investment practices and transform financial assets of the State into tangible benefits for the masses.

According to Oyelade, the establishment will ensure economic stability, longlasting wealth creation, infrastructural development, and diversification of revenue sources.

Governor Seyi Makinde confirmed that Oyo State has the economic wherewithal to generate up to $250 million from the project within the next few years.

Oyelade also said that Oyo State would be more actively involved with the Nigeria Governors’ Forum (NGF), especially in the area of economic cooperation.

“To this end, the council approved that Oyo State collaborates with the 35 other State Governors to work with a financial consultant to process recovery and reconciliation of the excess crude account and petroleum profit tax account from 2009 to 2015.

“In a similar manner, the council approved that the State joins the NGF in employing another consultant to interface with Federal agencies and development partners to ensure transparency and accountability, particularly in the area of equitable distribution of funds to the States and Local Governments”, he noted.

The Commissioner said the State Government had approved urgent intervention in the agricultural sector, particularly at the Fashola Agribusiness Industrial Hub and the Farm Estate Development Projects at Eruwa and Akufo, especially with local and international interests being shown by various dignitaries to the Fasola Hub particularly.

In order to consolidate access to portable water in the State and reduce water wastage, he said the Government approved the bulk purchase of pipes and repair materials by the Water Corporation of Oyo State (WCOS) to the tune of N359,047 million.

According to him, this will allow the Corporation to repair several pipe leakages and replace old pipelines to ensure the realization of the Corporation of providing portable water supply to the people of the State.

The State Government approved the bill for a law to establish a New Towns and Cities Development Authority (NTCDA), adding that “with the spate of infrastructural development going on all over the State and the influx of new residents and investors to Oyo State, particularly the municipality, the new Parastatal has been mandated to, among other things, facilitate new housing and industrial layouts, attract new businesses and industries to create employment opportunities, reduce overcrowding and pressure on existing urban areas, and to develop new cities based on technology and research to attract talents and foster innovations.”