By Victor Olotu, (Bsc, Msc, ACS, ACIT, CISA, FCA)
In public governance, particularly in financial management, transformative reforms often face resistance. Efforts to improve efficiency and strengthen accountability inevitably encounter opposition from entrenched interests. In light of recent debates surrounding the Honourable Commissioner for Finance of Ondo State, Mrs. Omowumi Isaac, it is imperative to assess her policies through a professional lens. As a finance, economic, and investment expert with extensive experience in asset management, corporate and public finance, and economic development, I find it essential to highlight the impact of her initiatives on the state’s financial stability and long-term growth.
I have come across a wide range of perspectives from various online platforms and print media regarding the Finance Commissioner’s approach in the discharge of her responsibilities. While every citizen has the right to their opinion, which is a fundamental pillar of democracy, it is equally important that we judge the actions and inactions of our public officeholders based on the lasting impact and the long-term gains they bring to our state. After all, good governance is best measured not by the sound of the moment but by the fruits it bears over time.
Fiscal Prudence and Responsible Governance
One of the defining hallmarks of Mrs. Isaac’s tenure is her unwavering commitment to fiscal discipline. As someone who has managed multi-billion-naira investment portfolios, structured landmark deals and facilitated transformative projects, I recognise that fiscal prudence and responsible governance require sound financial management.
The Honourable Commissioner has exemplified this approach by implementing stringent financial controls, optimising state revenues, blocking leakages, and ensuring the efficient allocation of public funds. Under Governor Lucky Orimisan Aiyedatiwa’s administration, her efforts have prioritised critical infrastructure development, reinforcing the foundation for sustainable economic growth.
Her leadership has ushered in a new era of transparency and accountability. Fiscal prudence is the bedrock of sustainable economic growth, and her approach aligns with global best practices in financial governance. Prioritising strategic planning and long-term sustainability over short-term populist spending. To my mind, this is the catalyst to a solid Ondo State’s economic resurgence.
Payroll Reforms: Eliminating Corruption and Waste for Financial Efficiency
Implementing payroll reforms in a political environment can present significant challenges, as the process requires rigorous data verification, automation, and strict oversight—demanding substantial resources and meticulous execution. Resistance to such reforms is often inevitable, particularly in entrenched systems where inefficiencies and fraudulent practices have persisted.
Despite these complexities, a key achievement of Mrs. Isaac’s tenure has been the successful implementation of payroll integrity within the state’s payroll system. Under her strategic leadership, this transformative reform has effectively eliminated ghost workers, significantly reduced recurrent expenditure, and saved the state billions of naira that would have otherwise been lost to fraudulent payroll practices.
Her dedication to financial integrity should be commended, as these reforms directly benefit the people of Ondo State. By eliminating fraudulent salary payments, the government has freed up critical funds for developmental projects that enhance public infrastructure, social services, and overall living standards.
Enhancing Ondo State’s Revenue Base: Digital Payment Innovation
A defining moment in Mrs. Isaac’s tenure as the State Finance Commissioner was her visionary leadership in spearheading the digital transformation of Ondo State’s revenue collection system. This is a cutting-edge digital payment platform to revolutionise tax administration and revenue generation. Endorsed by Governor Lucky Aiyedatiwa, this initiative was designed in collaboration with BBA Consult Ltd. to enhance efficiency, compliance, and transparency. By consolidating multiple payment channels, including those for land, housing, commerce, billboard advertising, healthcare, and natural resources, the platform will eliminate manual inefficiencies and streamline the state’s financial processes.
As a consultant on revenue generation and capital raising for several sub-national governments in Nigeria, I understand the strategic importance of this initiative. By plugging revenue leakages and ensuring that every naira generated is directed toward economic development, Mrs. Isaac’s innovation is positioning Ondo State for sustainable growth and long-term financial independence.
Strengthening Ondo State’s Financial Future: A Strategic Approach
In today’s challenging economic landscape, financial stability is the bedrock of sustainable development. Ondo State, under the fiscal leadership of His Excellency, Gov. Lucky Aiyedatiwa and supported by his Finance Commissioner, has embraced a transformative approach to financial management aimed at securing the state’s economic future.
At a time when the nation is grappling with enormous economic challenges, Mrs. Isaac’s reforms are strategically repositioning Ondo State for financial prudence and long-term stability. Her approach is built on two critical pillars which are financial planning and revenue enhancement, both of which are strengthening the state’s resilience against fiscal pressures. By ensuring prudent budgeting, optimising resource allocation, and improving revenue generation through digital transformation, these measures will not only enhance immediate fiscal health but also lay the foundation for sustainable economic growth and prosperity.
As a finance and investment professional with extensive experience managing Assets Under Management (AUM) exceeding ₦120 billion at different times and executing high-value financial transactions, I recognise the significance of these sound financial policies. The strategic direction of the current administration reflects a bold commitment to making Ondo State a model for others, demonstrating that with disciplined financial management and innovative revenue strategies, subnational governments can achieve fiscal independence and economic stability.
Leading Economic Reform, My Experience in Public Service
Reformers are often vilified not for inefficiency, but for their effectiveness in blocking financial mismanagement. Their commitment to transparency and accountability disrupts entrenched interests, making them targets of resistance. My experience as the Caretaker Chairman of Ose Local Government Area (LGA) between 2013 and 2015 is a testament to this reality.
Upon assuming office, I embarked on bold reform initiatives to improve Internally Generated Revenue (IGR) and eliminate financial leakages. Through strategic enforcement and innovative revenue collection measures, my administration successfully increased the LGA’s monthly IGR from around ₦300,000 to ₦2.1 million. Simultaneously, I led an aggressive payroll audit that eliminated ghost workers, resulting in substantial cost savings.
For evidence of reference and avoidance of mismanagement, the funds were reinvested into infrastructure and community development projects. To mark my first 100 days in office, I initiated and completed the construction of a 120-market-stall complex in Elegbeka community, which remained a pioneering achievement in the economic history of the LGA. This project provided traders with a modern marketplace, boosting commercial activities and local revenue.
Despite facing resistance from individuals with vested interests, I remained committed to economic prosperity over other considerations. By the end of my tenure, my administration had made significant investments in education, healthcare, and security, while delivering key infrastructural projects such as the Imeri Modern Community Town Hall, a 250-seater town hall in Idoani, the Afo Community Medical Centre and many others. These projects transformed local economies and improved social well-being.
Mrs. Isaac’s experience reflects a similar commitment to long-term economic stability. Her focus on financial integrity and sustainable growth has led to significant improvements, ensuring efficient resource management and enhanced economic outcomes.
Lessons from Lagos State’s Economic Reforms
In 2010, the Lagos State government implemented significant reforms under Governor Babatunde Fashola to enhance its financial management, focusing on digitalising payroll systems and eliminating ghost workers. These initiatives led to substantial economic benefits for the state.
The government implemented a number of measures to address payroll fraud and inefficiencies within the public service. One of the measures was the introduction of a biometric verification system aimed at accurately capturing the data of civil servants and pensioners. This initiative was designed to detect and eliminate ghost workers fraudulently included on the payroll.
Prior to these reforms, Lagos State faced challenges with financial leakages due to the presence of ghost workers and inefficiencies in the payroll system. These issues resulted in inflated wage bills and misallocation of resources, hindering the state’s ability to fund essential services and development projects. The need for a transparent and efficient payroll system became evident to ensure that public funds were appropriately utilised.
Between 2010 and 2011, the biometric verification exercise uncovered and removed over 100 ghost workers from local governments and education authorities. This decisive action prevented the fraudulent disbursement of several millions of naira and redirecting these funds toward more productive state initiatives.
Further audits and continuous monitoring from 2015 to 2016 led to additional recoveries from salaries erroneously paid to deceased or retired local government staff between May 2015 and March 2016. These funds were reclaimed through diligent reviews and certifications of local government payrolls.
The financial prudence and increased efficiency resulting from these reforms significantly boosted Lagos State’s Internally Generated Revenue (IGR). By 2021, the state recorded an IGR of approximately ₦753.46 billion, accounting for about 40% of the total IGR by all 36 states in Nigeria. This impressive revenue growth highlights the positive impact of Lagos State’s commitment to financial reforms.
The strategic implementation of payroll reforms in Lagos State, particularly the digitalisation and removal of ghost workers, has led to substantial financial savings and enhanced economic development. These efforts have not only curbed financial leakages but also improved the state’s capacity to invest in critical infrastructure and public services, setting a precedent for effective public financial management.
Ondo State Rising: Governor Aiyedatiwa’s Economic Renaissance
The administration of His Excellency, Gov Lucky Orimisan Aiyedatiwa has inspired confidence that Ondo State is on the path to economic revival. With a strategic focus on investment and commerce, he has positioned the state as a thriving hub for growth. His landmark achievement in securing the operating license for the Ondo Deep Sea Port is set to unlock vast opportunities in Nigeria’s maritime sector, fostering trade and economic expansion. Additionally, the launch of the Diaspora Smart City project—a 70-hectare development—aims to attract investment and boost tourism, reinforcing the state’s global appeal.
Understanding the power of collaboration, his administration established the Ministry of Regional Integration and Diaspora Relations to strengthen ties with Nigerians abroad and leverage their potential for the state’s advancement. Committed to continuity and impact-driven governance, he has also ensured the completion of ongoing projects that contribute to Ondo’s long-term progress.
Through these visionary initiatives, Governor Aiyedatiwa has demonstrated an unwavering dedication to economic growth, sustainable development, and a prosperous future for Ondo State.
A Call for Public Support
According to John Kasich, the American politician and author who served as the 69th governor of Ohio from 2011 to 2019, “Good government is not an accident. It is the result of leadership and fiscal responsibility.”
The economic well-being of the people of Ondo State should be the guiding principle in shaping the state’s developmental agenda. It is imperative that we support policies that promote fiscal discipline, accountability, and sustainable growth. The Hon. Commissioner for Finance’s reforms reflect a commitment to prudent financial management, requiring courage, vision, and technical expertise, the qualities, in my opinion, she has consistently demonstrated.
By embracing these principles, Ondo State can unlock its full economic potential and chart a path toward lasting prosperity. Now and more than ever, we must rally behind progressive policies that prioritise responsible governance and the collective good.
Victor Olotu is the Managing Director/Chief Executive Officer of Mega Capital Asset Management & Trust Ltd, a subsidiary of Mega Capital Group, a Pan-African Investment Banking firm based in Lagos. For inquiries, you can reach him at olotuvictor@gmail.com
Views expressed by contributors are strictly personal and not of Precision Online Newspaper.
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