By Ken Afor
The Katsina State Government has denied allegations made by the Debt Management Office (DMO) regarding the acquisition of new loans by the administration of Governor Dikko Umaru Radda.
This denial comes amidst existing challenges with the state’s debt situation.
TheNewDiplomat recalls that the DMO in a recent report revealed that Governor Radda, along with 12 other state governors borrowed a total of N226.8 billion within their first six months of assuming office in May 29, 2023.
According to the report, Katsina, Benue, Cross Rivers, Niger, Plateau, Rivers, Zamfara, and the Federal Capital Territory (FCT), received N115.57bn from domestic creditors. Simultaneously, governors from Ebonyi, Kaduna, Kano, Niger, Plateau, Sokoto, Taraba, and Zamfara states secured $125.1 million (equivalent to N111.24 billion) from external sources.
Interestingly, Governor Radda of Katsina state acquired approximately N36.93 billion in loans, leading to a significant increase in the state’s debt from N62.37 billion to N99.3 billion by December 2023, as indicated by the report.
Reacting to DMO’s claim, Mr. Ibrahim Kaula Mohammed, the spokesperson to Governor Dikko, in a statement made available to journalists on Wednesday denied the report.
The statement asserts that the government led by Governor Radda has been primarily focused on repaying existing loans obtained by previous administrations since assuming office.
The statement emphasized that the current All Progressives Congress (APC) government in Katsina, under Governor Radda, has not taken out any new loans.
The statement reads in part: “This is not to say that the state government will not borrow whenever the need arises. It could borrow to improve the lot of its people and the state in general.
“At the moment, however, there is no new loan. While we appreciate the efforts of the media in keeping the public informed about government activities, we regret any inconvenience the publication might have caused.
“We call on the media, and the members of the public to continue to support the present administration in its effort to provide meaningful projects to uplift the living standard of its citizenry.”
