The Oyo State Governor, Engr Seyi Makinde, has said that the construction of 21 kilometres Alakia Airport-New-Ife-Amuloko Road is to reduce the state’s infrastructure deficit.
Makinde disclosed this during the official flag-off of the construction at Ajia junction, Ibadan-Ife Road on Wednesday.
Makinde stated that the project which was awarded to Messr Peculiar Ultimate Concern Limited at the cost of over N8.5 billion will be funded under the Alternative Projects Funding Approach (APFA).
Makinde explained that the strategy adopted was such that the contractor funds the project with their money, while the state repays over a period of time.
Makinde said: “That is what we are doing here in Oyo State. The twenty-one-kilometre Airport–Ajia–New Ife Express Road with a spur to Amuloko which we are here to flag-off today, is a result of our administration coming up with strategic ways of reducing our infrastructure deficit. We call it the Alternative Project Funding Approach (APFA).
“As I explained during the budget signing last week, APFA is our way of funding some infrastructural projects in the state by having the contractors fund the projects with their own money while the state repays them over a period of time.
“What this entails is that the contractor carries the projects’ risk. At the same time, we get quality delivery and quick completion of projects.”
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While assuring the people of the state to continue to actualise capital projects through budgetary allocation, said that rebuilding and renovation of Lekan Salami Stadium will commence in the weeks to come.
“We will continue to actualise named capital projects through budgetary allocation and have the additional option of carrying out other infrastructural projects outside of the budget using the Alternative Project Funding Approach. So you can look forward to other projects under this approach,” Makinde stated.
He expressed the readiness of his administration to put the state back on the path of economic growth by strategising on how to increase our spending on infrastructure.
The representative of the Messr Peculiar Ultimate Concern Limited, Olanrewaju Adeleke, assured that the project will be delivered as scheduled online with the best practices and engineering standards.
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