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Kaduna State Governor Reveals Inherited Debt Burden Amid Struggle to Pay Salaries

Kaduna Governor Reveals Inherited Debt, Struggle to Pay Salaries

Kaduna State Governor, Uba Sani, has disclosed a staggering debt burden inherited from the previous administration, totalling $587 million, N85 billion, and 115 contractual liabilities.

This revelation comes amidst the governor’s struggle to meet the state’s financial obligations, including the payment of workers’ salaries.

Addressing a Town Hall Meeting in Kaduna, Governor Sani lamented that the weight of the debt was severely impacting the state’s ability to manage its monthly Federal Allocation of funds, making it increasingly challenging to meet salary obligations.

Notably, he emphasized that despite the substantial debt burden, his administration had refrained from borrowing any additional funds over the past nine months.

The governor highlighted the significant deduction of N7 billion from the state’s March Federal Allocation to service the inherited debt, leaving the state with only N3 billion, insufficient to cover the monthly salary bill of N5.2 billion.

However, Governor Sani assured citizens of his administration’s commitment to steering Kaduna State towards progress and sustainable development, despite the prevailing financial challenges. He underscored the government’s strategic assessment of the situation, pledging to focus efforts accordingly.

Former Governor Nasir El-Rufai had previously stated that he left a domestic debt of N80.60 billion and a foreign debt of $577.32 million for his successor, along with N5 billion and $2.05 million in the state treasury.

Governor Sani outlined key priorities for 2024, including safety and security, infrastructural development, education, housing and urban development, and social intervention initiatives.

In addressing security concerns, the governor highlighted efforts to strengthen the Kaduna State Vigilance Service (KADVS), recruiting 7,000 additional personnel and procuring operational vehicles and motorcycles for distribution to security agencies.

Regarding education, Governor Sani announced a collaboration with Kuwait to reduce out-of-school children by 200,000 through a $62 million project aimed at constructing 102 new schools and renovating 170 existing ones within four years.

Prominent figures at the Town Hall Meeting, including former Chief of Defence Staff, General Martin Luther Agwai (rtd), and the Emir of Zazzau, Ambassador Ahmad Nuhu Bamali, emphasized the crucial need to address security challenges for meaningful development to occur.


This Article is Fact-Checked. See Policy.
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