Lucky Obukohwo, Reporting
The governor of Kaduna state, Uba Sani has made a shocking revelation about his state, saying that his state is currently grappling under heavy debt and cannot pay workers salaries.
He said his administration inherited a huge debt burden of $587 million, N85 billion, and 115 contractual liabilities from the previous administration of Mallam Nasir El-rufai.
Governor Sani, however, said despite the huge debts burden he has not borrowed a single kobo in the last nine months of his government, but quickly added that the State cannot pay workers’ salaries for now.
He explained that N7 billion out of the N10 billion Federal Allocation for Kaduna State in the month of March was deducted to service the state’s debt.
The Governor further revealed that, “the state was left with N3billion, an amount which is not enough to pay salary, as the state’s monthly salary bill stands at N5.2billion.”
The Governor who disclosed this in Kaduna yesterday while addressing a Town Hall Meeting said the huge debt burden was eating deep into the state’s federal allocation.
He lamented that due to the rise in the exchange rate, Kaduna state is now paying back almost triple of what was borrowed by the previous administration of Nasir El-Rufai.
He, however, assured that debt burden not withstanding, his administration remains resolute in steering Kaduna State towards progress and sustainable development, as the government has conducted a thorough assessment of the situation and it is sharpening its focus accordingly.
“Despite the huge debt burden of 587 million Dollars, 85 billion Naira, 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.
“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 prioritizing inclusive development by investing in human capital, stimulating the economy, and providing affordable housing”, Sani said.