Kaduna State Government Dismisses Report of N36 Billion Borrowing

The Kaduna State Government has refuted a report by an online newspaper claiming that the state borrowed N36 billion in the past six months. In a statement issued by the state commissioner of Budget and Planning, Mukhtar Ahmed, the government described the report as false, misleading, and an act of online terrorism.

According to Ahmed, the surge in borrowing receipts in the second quarter of 2024 is due to the dramatic devaluation of the naira, which has significantly affected the ongoing repayment of inherited loan burdens. He emphasized that no new loans have been taken under the current administration, and the government is committed to debt transparency and financial discipline.

The commissioner clarified that the loans obtained from the previous administration consist of long-term loans, including World Bank programs such as AGILE, SURWASH, and ACReSAL. Ahmed noted that the exchange rate has significantly affected the value of these debts, with the Naira plunging from ₦415-₦480 to the dollar to over ₦1,600 to the dollar, effectively tripling the value of these debts in local currency.

Ahmed expressed disappointment with Sahara Reporters for failing to seek clarification before publishing the report, calling it an act of online terrorism. Despite the inaccurate reporting, the government remains committed to its goal of improving the state’s economy without adding new financial burdens.

The Kaduna State Government has reaffirmed its resolve to hold accountable those responsible for mismanaging the state’s resources, vowing to reposition Kaduna for the benefit of its citizens.