Benue Govt Denies Funding N38bn Cargo Airport

Benue State Governor Samuel Ortom has denied that his administration is funding the proposed N38bn cargo airport in the state.

The governor, who explained that it was an initiative of the private sector, said the state government would only provide land for the project.

Addressing State House correspondents yesterday after the National Economic Council (NEC) meeting, Ortom said he would not construct an airport when he could not pay salaries regularly.

He said: "Those expressing reservations are doing so out of ignorance or mischief. It's a straight forward matter...The cargo airport is purely a private initiative by a consortium. Benue State Government is not going to pay N1. How can I go to construct an airport when I can't pay salaries as and when due? There is no need for that. But it is going to be a hub for the entire West Africa, lifts cargo, especially agricultural produce to other parts of the world.

"This consortium has arranged a funding of this project and because we're providing the enabling environment and providing land, they've also offered the state governments 15 percent equity arranged by this same consortium. Government is not paying N1. The payment will only come when the project is completed and out of our diligence, we'll pay back within a secured period. And the concessional agreement is for 25 years and then we shall renegotiate.

"And the N38bn is not just going to be for cargo airport. It's going to provide a chain of projects that would really promote the economy of the state. There's going to be housing estate, road construction, dualisation of the road from Lafia to Makurdi to Otupko and Ninth Mile. There's going to be a training school and several other things that would support the airport. Of course, there's going to be industries that would be processing our primary products whether finished or semi finished products as the case may be."