Why we didn't touch ₦30b intervention fund - Oyo govt, accuses FG of insincerity

Why we didn’t touch ₦30b intervention fund – Oyo govt, accuses FG of insincerity

Khalid ABRAHAM

The Oyo state government has disclosed that it never touched the ₦30b intervention fund released by the Federal Government to the state aftermath the Bodija Ibadan Explosion of January 16, 2024.

Recall the issue has been generating controversies between the parties with the former Ekiti state governor Ayo Fayose first drawing the blood by disclosing the state government took the fund but diverted it. Governor Seyi Makinde dared him to produce evidence he took ₦50b but after Fayose published his evidence the governor’s aide on media Sulaiman Olanrewaju admitted only ₦30b was released to the state and not ₦50b. Fayose further alleged that only ₦4.5b was shared among the victims as compensation.

However, the state government has come out again to shed more light on the matter saying it actually requested for ₦100b intervention fund after the disaster but that only ₦50b was approved 11 months after in November 2024. It said out of the ₦50b only ₦30b was released pointing out that the remaining ₦20b is still withheld.

The government through a press statement signed by Professor Musibau Babatunde and Prince Dotun Oyelade, Commissioners for Budget/Economic Planning and Information respectively stressed the money has remained untouched revealing it had rather spent the state’s money to the tune of ₦24.100b to support victims and rebuild the area.

It stated the state government contacted the Federal Government because of its knowledge of the intervention fund for states alleging the Federal Government of giving a state ₦150b and another ₦50b in the southwest without having experienced disasters.

The purpose of the money was highlighted including “clearing of rubble and debris as part of continued search and rescue operations; immediate integrity tests on buildings within the affected axis and demolition of unsafe structures; compensation for owners of affected properties; reconstruction of Old Bodija and its environs; expansion of the emergency response hub; environmental impact assessment; logistics support and reimbursement; and infrastructural development required to restore normalcy to Bodija and surrounding communities after the massive destruction,” it was added.

“To address these needs, the Oyo State Government estimated the cost of intervention at N100 billion and requested the President’s approval for that amount.

“The president, however, approved N50 billion— half of the requested sum.”

The statement further informed that the state government opened a special account for the fund which it insisted it did not touch.

“As of December 31, 2025, the N30 billion remains untouched in the Oyo State infrastructure account with the First Bank. Interested members of the public may verify this information with the bank.

“The Oyo State Government has deliberately refrained from utilising the N30 billion already released in recognition of the fact that the remaining N20 billion has remained withheld by the relevant federal agencies for reasons that have not been communicated to the state.”

The government now gave reason for its refusal to utilise the money. “Given the disgraceful drama of the last couple of days from the Federal Government on the approval, the government of Oyo State is convinced on the wisdom of its decision to ‘wait and see’ before deciding what to do with the money.”

It also unveiled the amount from its coffers it had disbursed to mitigate the effects. “As of January 1, 2026, the Oyo State Government has spent N24.6 billion from its own resources on Bodija and its environs in direct response to the explosion and its consequences. This includes N20.141 billion spent on the reconstruction of infrastructure in Bodija and surrounding areas, as well as N4.085 billion paid as support and compensation to victims of the explosion. These expenditures were fully borne by the Oyo State Government.”

The state informed other states also take the intervention fund though pointing out some states that never were struck by disasters benefitted the fund.

“Documents released by the Federal Government through its agent, Mr Ayo Fayose, indicate that a total of N915.5 billion was approved as intervention funds for states across the country. The list of beneficiary states shows that one South-West state received N150 billion, while another received N50 billion. Oyo State, despite experiencing one of the most devastating incidents, received one of the lowest allocations among beneficiary states.”

It justified its non-disclosure of the fund explaining, “Special intervention funds, when released, are received as capital grants. In line with standard practice and legal requirements, such funds are subjected to the budgeting process before expenditure and are duly reflected in the financial statements of the state. They do not require special public announcements upon receipt. This explains why other states that received significantly larger amounts did not publicly advertise the receipt of such funds.”

It maintained the state had nothing to hide while expressing appreciation to the indigenes of the state for their support.

“The Oyo State Government has nothing to hide and will continue to engage the public transparently on all issues, including this one.

“Governor Makinde remains committed to serving the people of Oyo State faithfully, truthfully, and with utmost respect for the social contract that binds government to the governed. He has never denied anyone what is legally due to them and will not do so.”