Kaduna pays N6.7bn monthly on inherited loans, says Uba Sani

Kaduna State Governor Uba Sani has disclosed that his administration is currently paying N6.7 billion monthly from the state's Federation Account Allocation Committee (FAAC) revenue solely to service loans inherited from the previous administration. This substantial financial commitment is set to continue for over two decades, until 2048.

“

I hate to say it, but I will say it today. If you go to Debt Management Office, we don’t talk, we only work. Even at that, you will never hear any of my staff talking. But we pay 6.7 billion every month from the loan we inherited. Since I became governor, I have not borrowed one kobo.

Speaking on Channels Television's Politics Today, Governor Sani stressed that despite this heavy burden, his government has exercised financial prudence and has not incurred any new debt since he took office. He highlighted that the figures are verifiable through the Debt Management Office, underscoring the transparency of the state's financial obligations.

“

What I’m trying to say, in essence, we are paying 6.7 billion every month from our FAAC, which will continue until 2048.

Sani expressed gratitude to President Bola Tinubu for his support, noting that his statements are based on data and statistics. He emphasized the importance of prudent financial management, which involves careful consideration of where government funds are invested. The governor's remarks aim to provide context for the state's financial situation, emphasizing the ongoing impact of past borrowing decisions on current fiscal operations.

“

But again, that is why sitting here, I must thank President Bola Ahmed Tinubu. A lot of people sitting where they are, continue to promise. But when I talk, I talk on data and statistics, and whatever I say to you, you can go and clarify and verify. That is the most important.

The governor's disclosure sheds light on the significant financial challenges faced by sub-national governments in Nigeria, often stemming from inherited debts. His administration's focus appears to be on managing these existing obligations while avoiding new ones, a strategy he believes is essential for the state's long-term financial health.

“

It’s about being prudent. It’s about selecting or being very careful in where you invest the money. That’s the most important. As a leader, you have to sit down…