Uba Sani: We’ve not borrowed a kobo despite inherited debt of N85bn, $587m

March 30, 2024 9:53 pm

Uba Sani, governor of Kaduna

Uba Sani, governor of Kaduna, says his administration inherited a debt of $587 million, N85 billion, and 115 contractual liabilities from the immediate past administration.

Sani, who disclosed this in Kaduna on Saturday at a town hall meeting, also said he has not borrowed “a kobo in the last nine months”.

He, however, said the huge debt burden is eating deep into the state’s federal allocation.

“Despite the huge debt burden of $587 million, N85 billion, and 115 contractual liabilities sadly inherited from the previous administration,” Sani said.

“We remain resolute in steering Kaduna State towards progress and sustainable development.

“We have conducted a thorough assessment of our situation and are sharpening our focus accordingly.

“It gladdened my heart to inform you that, despite the huge inherited debt on the state, till date, we have not borrowed a single kobo.

“The key priority areas of our government include safety and security, housing, education, healthcare, and support for micro, small, and medium enterprises (MSMEs).

“We are also prioritising inclusive development by investing in human capital, stimulating the economy, and providing affordable housing.”

Sani further said due to the rise in the exchange rate, the state is paying back almost triple of what was borrowed by Nasir El-Rufai, his predecessor.

He said N7 billion out of the N10 billion federal allocation for the state in March was deducted to service the debt.

The governor added that the state is left with N3 billion, an amount, he said, is not enough to pay salaries standing at N5.2 billion.

Sani said despite the debt burden, his administration remains committed to steering Kaduna towards progress and long-term development.

On May 30, 2023, El-Rufai had said he left N5 billion and $2.05 million in the state’s treasury.

The immediate past governor of Kaduna had also said he left a domestic debt of N80.60 billion and a foreign debt of $577.32 million for the new administration.