Uba Sani, the Governor of Kaduna State, has stated that his administration was faced with a significant debt burden of $587 million, N85 billion, and 115 contractual liabilities from the previous administration led by Nasir El-Rufai.
Governor Sani lamented that due to the rise in the exchange rate, the state is now paying back almost triple of what was borrowed by the previous administration.
Governor Sani, speaking at a town hall meeting in Kaduna on Saturday, revealed that the substantial debt burden was significantly impacting the state's federal allocation, causing a significant strain on the state's finances.
He explained that N7bn out of the N10bn federal allocation for the state in March was deducted to service the state's debt.
The governor further lamented that the state was left with N3bn, an amount he said was not enough to pay salaries, as the state's monthly salary bill stands at N5.2 billion.
Governor Sani said despite the debt inherited from the El-Rufai government that his administration had not borrowed "a single kobo" in the last nine months of his government.
"Despite the huge debt burden of $587 million, N85 billion, and 115 contractual liabilities sadly inherited from the previous administration, 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 gladdens my heart to inform you that despite the huge inherited debt on the state, till date, we have not borrowed a single kobo," he said.
The governor further said the key priority areas of his government include safety and security, housing, education, healthcare, and support for Micro, Small, and Medium Enterprises (MSMEs).
He said his government would also prioritize inclusive development by investing in human capital, stimulating the economy, and providing affordable housing.
Governor Sani highlighted some of his administration's top priorities for 2024 to include safety and security, infrastructural development, education development, housing and urban development, social intervention, and investment drive, among others.
In his remarks, former Chief of Defence Staff, General Martin Luther Agwai (rtd), sought solutions to the security challenges facing the state, noting that without peace and security, no meaningful development could be achieved.
He commended Governor Sani for cutting the cost of governance due to the huge debt of the state, while urging all residents to eschew political, religious, or ethnic differences and support the state government in overcoming the debt challenge.
Emir of Zazzau, Ambassador Ahmad Nuhu Bamali, expressed optimism despite the challenges facing the state, adding that the governor has the capability to turn around the economy of the state for effective development.
He pledged the support of all traditional rulers in the state to ensure that his administration succeeds.
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