Debts owed by states are in multiple categories: foreign debt, domestic debt, CBN bailout funds and the Budget Support Facility arranged for them by the Federal Government.
Sunday Tribune was able to calculate foreign, domestic and bailout funds of states, details of the budget support facility of N510 billion to 35 states was yet to be made available as of the time of filing this report.
Below are the 5 most indebted states and their debt profile.
1. Lagos
Lagos, recently declared sixth largest economy in Africa by the United Nations Development Programme (UNDP), leading the pack with debt profile of at least N368,409,682,283.25.
2. Ondo
Ondo, an oil producing state, earning additional 13 percent derivation fund from crude produced from oil wells located within the state is owing N94,404,105,397.7 debts to various creditors.
Last year, outgoing governor of the state, Olusegun Mimiko disclosed that his government was working with different groups of investors to begin exploration of bitumen available in large quantities and also establish a chocolate manufacturing factory.
The state, aside owing staff salaries, was yet to see the establishment of promised development projects and is owing at least N51,978,164,924.55, according to figures from Debt Management Office.
3. Osun
Also, Rauf Aregbesola of Osun State promised to turn the state into a commercial hub when he was campaigning for office around 2007.
About a year into his administration, he told reporters that he would never wait for monthly allocation from Abuja to settle wage bill.
Presently and despite huge potentials of the state in terms of agriculture, mineral and human resources, civil servants are being paid half salaries which are not even paid up to date.
According to investigations, the state owes N203,151,879,799.5 without the running budget support facility.
4. Ogun
Ogun is an aquatic state with all the accompanying potentials. Available records show that Ogun is heavily indebted to the tune of N126,353,703,792.15.
5. Ekiti
Ekiti State, aside also depending almost solely on monthly disbursements from Abuja, is owing workers some arrears of salary in addition to Federal Government, other domestic and foreign creditors the sum of N78,938,996,132.51 in debts.
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Yorubas and Egunje. Corruption na their middle name. The irony is that they are deceiving themselves with the 'change mantra' against themselvea - CORRUPTION.
ReplyDeleteIrronically there are all APC States
ReplyDeletefrom this report it seems clear that each state should declare its produce or what comes out in terms of revenue. i dont see why a state producing less than 70 billion naira. would be allowed to accumulate such a high debt....200 bn, 300bn.
ReplyDeleteNa chanji be that. Add Lagos and Osun debt you will understand the meaning of change.
ReplyDeleteSai Baba!
Sai Tinubu!
Sai Oyegun!