Governor Akin­wunmi Ambode of Lagos State has said that the depen­dence of state govern­ments on the Federation Account is not sustain­able as it will limit them from thinking of ways to make their econo­mies viable.
Ambode made the assertion in a convoca­tion lecture titled: ‘Re­cession: Challenges and Recovery Prospects’ which he delivered at the Wellspring Univer­sity, Benin City at the weekend.
He, therefore, charged state governments to ex­plore other means inter­nally to generate funds for self-sustainability.
Represented by the state Commissioner for Finance, Akinyemi Asa­de, the governor main­tained that the nation is blessed with abundant human and natural re­sources which trickle down to the states, say­ing when properly har­nessed, would lessen the burden on the federal government and make the components states economically viable.
“The current focus on the centre for the economic sustenance of states is not sustainable. Each state or perhaps more appropriately, re­gions must figure out its own economic path by focusing on the ar­eas it has comparative advantage and develop­ing it. This calls for hard work by the state gov­ernments and thinking outside the box.
Ambode said the na­tion was plunged into recession following the incessant vandalisation of oil facilities by mili­tant and over-concen­tration on crude oil as a major source of revenue instead of diversifying the economic.
“We cannot have a stable economy when the states are not inde­pendently viable. Luck­ily, we are blessed in this country where arguably every state of the fed­eration is endowed with natural resources that can make it self-sustain­able.
“Regional collabo­ration should also be encouraged, a good ex­ample is the collabora­tion between Lagos and Kebbi States to produce Lake Rice which is cur­rently being sold in the market”, he said.