Tension Looms in States As Debt Mgt Office (DMO) Opens the Pandora Box on How Fubara, Wike, Otu, Bago, Dauda Lawal, Mutfwang, Uba Sani, 7 Other New Governors Borrowed N226bn in Just Six Months!

Related stories

Utomi Clarifies Coalition’s Shadow Govt. Mission Amid APC’s Pushback

Says Initiative Not a Rebellion... A Responsible Democratic...

NNPCL, Dangote Deepen Partnership to End Rivalry, Boost Energy Security

By Abiola Olawale In a significant development for Nigeria’s oil...

LP Reps Back Nenadi-Usman-led NCC, Attacks Abure

Attacks Abure Over Suspension Of Otti, Kingibe, Others By...

CAN Congratulates Catholic Church on the Election of Pope Leo XIV

By Abiola Olawale The Christian Association of Nigeria (CAN) has...

By Abiola Olawale

In less than a year of holding office, 13 state governors have unabashedly borrowed a whopping N226.8bn from both domestic and foreign financiers.

The Debt Management Office (DMO) in its latest report on the borrowing activities of Nigeria’s sub-national governments, revealed that the 13 newly elected governors collectively borrowed a total of N226.8 billion within their first six months of assuming office.

The report further indicates that the sub-national debts are categorized into two, namely domestic borrowings from local creditors and external borrowings from international creditors such as the World Bank and the International Monetary Fund.

The external debt was calculated based on the exchange rate of N889/$ used by the Debt Management Office in its report.

A breakdown of the report showed that Benue, Cross Rivers, Katsina, Niger, Plateau, Rivers, Zamfara, and the Federal Capital Territory, got N115.57bn from domestic creditors. At the same time, governors of Ebonyi, Kaduna, Kano, Niger, Plateau, Sokoto, Taraba, and Zamfara borrowed $125.1m (N111.24bn) from external sources.

For the sub-nationals, a further breakdown of the data showed that Governor Bassey Otu of Cross Rivers, took the highest loan, with N16.2bn from domestic and $57.95m from foreign creditors between June and December 2023.

Second on the list is Governor Dikko Umar Radda of Katsina state who took about N36.93bn resulting in a debt surge as the state’s debt grew from N62.37bn to N99.3bn by December 2023.

Third on the list is Governor Mohammed Umar Bago of Niger, with a domestic debt of N17.85bn, surging from N121.95bn in June 2023 to N139.8bn by December of the same year.

Governor Caleb Mutfwang of Plateau got N16.32bn; Governor Siminalayi Fubara of Rivers borrowed N7.07bn; Governor Dauda Lawal of Zamfara borrowed N14.26bn; and the FCT under the leadership of Nyesom Wike borrowed N6.75bn from domestic creditors.

For foreign debt, Governor Francis Nwifuru of Ebonyi accumulated external debt of $37.54m, while Governor Uba Sani of Kaduna borrowed $17.69m from external financiers.

Similarly, the governors of Kano borrowed $6.6m; Niger, $1.27m; Plateau, $831,008; Sokoto, $499,472; Taraba, $1.51m; and Zamfara, $655,563, from external sources.

The New Diplomat reports that this information is coming amidst reports that state governors got the most Federal Account Allocation Committee (FAAC) allocations in at least seven years. The rise in FAAC allocations to the three tiers of government, especially the states, had been attributed to the removal of subsidy and currency reforms by the President Bola Ahmed Tinubu administration. The reforms have reportedly led to a 40 percent boost in income.

An analysis of the 2023 FAAC monthly allocations revealed that the sub-national and local government councils got the highest allocation of N627.73bn in September, followed by N610.5bn in December, N555.75bn in August, N533bn in November, N514bn in July and N497.97bn in October.

The New Diplomat
The New Diplomathttps://newdiplomatng.com/
At The New Diplomat, we stand for ethical journalism, press freedom, accountable Republic, and gender equity. That is why at The New Diplomat, we are committed to speaking truth to power, fostering a robust community of responsible journalism, and using high-quality polls, data, and surveys to engage the public with compelling narratives about political, business, socio-economic, environmental, and situational dynamics in Nigeria, Africa, and globally.

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

[tds_leads input_placeholder="Your email address" btn_horiz_align="content-horiz-center" pp_msg="SSd2ZSUyMHJlYWQlMjBhbmQlMjBhY2NlcHQlMjB0aGUlMjAlM0NhJTIwaHJlZiUzRCUyMiUyMyUyMiUzRVByaXZhY3klMjBQb2xpY3klM0MlMkZhJTNFLg==" pp_checkbox="yes" tdc_css="eyJhbGwiOnsibWFyZ2luLXRvcCI6IjMwIiwibWFyZ2luLWJvdHRvbSI6IjQwIiwiZGlzcGxheSI6IiJ9LCJwb3J0cmFpdCI6eyJtYXJnaW4tdG9wIjoiMTUiLCJtYXJnaW4tYm90dG9tIjoiMjUiLCJkaXNwbGF5IjoiIn0sInBvcnRyYWl0X21heF93aWR0aCI6MTAxOCwicG9ydHJhaXRfbWluX3dpZHRoIjo3NjgsImxhbmRzY2FwZSI6eyJtYXJnaW4tdG9wIjoiMjAiLCJtYXJnaW4tYm90dG9tIjoiMzAiLCJkaXNwbGF5IjoiIn0sImxhbmRzY2FwZV9tYXhfd2lkdGgiOjExNDAsImxhbmRzY2FwZV9taW5fd2lkdGgiOjEwMTksInBob25lIjp7Im1hcmdpbi10b3AiOiIyMCIsImRpc3BsYXkiOiIifSwicGhvbmVfbWF4X3dpZHRoIjo3Njd9" display="column" gap="eyJhbGwiOiIyMCIsInBvcnRyYWl0IjoiMTAiLCJsYW5kc2NhcGUiOiIxNSJ9" f_msg_font_family="downtown-sans-serif-font_global" f_input_font_family="downtown-sans-serif-font_global" f_btn_font_family="downtown-sans-serif-font_global" f_pp_font_family="downtown-serif-font_global" f_pp_font_size="eyJhbGwiOiIxNSIsInBvcnRyYWl0IjoiMTEifQ==" f_btn_font_weight="700" f_btn_font_size="eyJhbGwiOiIxMyIsInBvcnRyYWl0IjoiMTEifQ==" f_btn_font_transform="uppercase" btn_text="Unlock All" btn_bg="#000000" btn_padd="eyJhbGwiOiIxOCIsImxhbmRzY2FwZSI6IjE0IiwicG9ydHJhaXQiOiIxNCJ9" input_padd="eyJhbGwiOiIxNSIsImxhbmRzY2FwZSI6IjEyIiwicG9ydHJhaXQiOiIxMCJ9" pp_check_color_a="#000000" f_pp_font_weight="600" pp_check_square="#000000" msg_composer="" pp_check_color="rgba(0,0,0,0.56)" msg_succ_radius="0" msg_err_radius="0" input_border="1" f_unsub_font_family="downtown-sans-serif-font_global" f_msg_font_size="eyJhbGwiOiIxMyIsInBvcnRyYWl0IjoiMTIifQ==" f_input_font_size="eyJhbGwiOiIxNCIsInBvcnRyYWl0IjoiMTIifQ==" f_input_font_weight="500" f_msg_font_weight="500" f_unsub_font_weight="500"]

Latest stories

Leave a reply

  • Disqus Comments
newdiplomatng
Latest News
How Nigeria's Health Minister, Muhammed Pate, Nutrition Director, Made 2025 TIME 100 Health Category ListUtomi Clarifies Coalition's Shadow Govt. Mission Amid APC's PushbackNNPCL, Dangote Deepen Partnership to End Rivalry, Boost Energy SecurityLP Reps Back Nenadi-Usman-led NCC, Attacks AbureCAN Congratulates Catholic Church on the Election of Pope Leo XIVLeo XIV Attends First Mass As Pope, Warns Church Against 'Lack Of Faith'Why We Converted 'Ikpeazu' Govt. House To Five-star Hotel -- Otti Replies CriticsFLASHBACK: How Robert Prevost Visited Nigeria In 2016 Before Election As Pope LeoSSDC: Tinubu Names Nwuche as SSDC Chairman, Usoro Akpabio as MDRelief As Nigeria Clears $3.4bn IMF COVID-19 Loan Five Years After PandemicUnknown Things to Know About Robert Francis Prevost, The First American PopeCompel Akpoti-Uduaghan To Delete Satirical Apology From Social Media Pages, Akpabio Tells CourtTinubu Touches Down in Anambra, Hails Soludo as ‘Solution Provider’ During Project UnveilingNew Pope Emerges As White Smoke Billows From Sistine ChapelSoludo Declares APGA’s Support for Tinubu Ahead of 2027 Presidential Election
X whatsapp