Zamfara State Has Not Borrowed Since May 2023 Inauguration

Zamfara State Governor, Dauda Lawal, has clarified that his administration has not taken any loans from the Debt Management Office (DMO) since assuming office on May 29, 2023. Lawal emphasized that the reported N14.26 billion debt attributed to the state government was actually part of a bond issued by the previous administration, which his government has not utilized.

In a statement released by his Chief Press Secretary, Sulaiman Bala Idris, Governor Lawal explained that the previous Zamfara State government had floated a N20 billion bond for the Zamfara cargo airport project, but only received N4 billion before the end of its tenure. The remaining N16 billion, according to Lawal, is the amount captured by the Debt Management Office, with the value reduced due to inflation.

Governor Lawal stated that upon assuming office, his administration discovered that the payment terms for terminating the bond made it unfeasible to do so without incurring significant losses for the state. As a result, the N16 billion balance from the bond remains in a government account and has not been utilized for the airport project.

The governor’s clarification comes amidst concerns raised by the Debt Management Office’s report indicating that Zamfara State had borrowed N14.26 billion. Lawal’s administration maintains that it has not borrowed any domestic or external loans since assuming office, and that the reported debt is part of the existing bond balance from the previous administration.

The statement aims to clarify the state government’s financial position and dispel any misconceptions about its borrowing activities. Governor Lawal’s administration appears committed to prudent financial management and transparency in its dealings, particularly regarding public funds and loans.

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