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The $17.69m loan denial by Kaduna State



Denying rumors of acquiring a fresh $17.69m loan, the Kaduna State Government, through the Ministry of Finance, clarified its stance.

In a press release on Thursday, the state Commissioner for Finance, Shizzer Bada, iterated that the present administration did not engage in borrowing $17.69m.

Addressing the situation, she emphasized, “The reported borrowing claim of $17.69m or any other amount is baseless and untrue.”

Highlighting the importance of transparency in borrowing, Bada stated, “It is vital to comprehend that borrowing activities by sub-national entities in Nigeria abide by a constitutional framework.”

She affirmed that under Governor Uba Sani’s leadership, the government did not engage in any foreign loan agreements as alleged.

“The laws governing external borrowing by government bodies are clearly outlined in relevant regulations,” she noted.

“The Debt Management Office (Establishment, Etc.) Act, 2003, strictly requires that external loans receive National Assembly approval after presenting their terms and conditions,” she elaborated.

Urging the public to disregard the misinformation and avoid being misled, the government emphasized the need for accurate information.

At a recent town hall meeting, Governor Uba expressed concern over the substantial debt inherited from his predecessor, Nasir El-Rufai, on May 29, 2023.

He disclosed that the administration inherited $587m, N85bn, and 115 contract obligations from the former governor.

Additionally, he shared that N7bn from the state’s N10bn Federal Allocation in March was utilized for debt repayment.

Highlighting the financial strain, the governor mentioned that the remaining N3 billion was insufficient to cover the state’s monthly wage bill of N5.2bn.