By Suleiman Anyalewechi
Governor Uba Sani of Kaduna state has said that the State is heavily weighed down by paucity of funds largely occasioned by the huge debt profile inherited from the past administration.
The huge local and foreign debt portfolio of the state has made it impossible for it to meet its statutory obligations to the people, particularly the state’s workforce. The State can no longer pay, the Governor said.
At a town Hall meeting with stakeholders in Kaduna on Saturday March 30 2024 ,Governor Sani however, said despite the tight financial situation,his administration has so far resfrained from plunging the state into further debt.
According to him, the seriousness of the negative impact of the N85 billion and $587 million local and foreign debts inherited on the ability of the Government to discharge its statutory responsibilities is underscored by the fact that out of a total N10 billion accruing to the state from last month’s Federal Allocation, N7 billion went into debt servicing.
He lamented that the balance of N3 billion is far below the N5.2 billion monthly salary wage bills  of the State. He added that as things are presently, he may not be able to pay workers’ salaries.
The Kaduna State Governor, lamented that owing to the astronomical rise in the exchange rate, the State is now condemned to paying almost triple the amount borrowed by his predecessor in office.
Governor Sani who said that the State, apart from the humongous debt profile, is also battling with about 115 Contractual liabilities, however, assured that the debt burden will not dampen his administration’s resolve to steer the State towards the path of sustainable growth and progress.
He said that the situation has been adequately assessed, and that the Government will sooner than later respond accordingly.
“Despite the huge debt burdens 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 ,we have not borrowed a single kobo “
