The Kano State government has announced the successful servicing of N63.5 billion in debts accumulated during the tenure of former governor Abdullahi Umar Ganduje.
This announcement was made by Dr. Hamisu Sadi Ali, the Director General of the Kano State Debt Management Office, during a recent media briefing.
Dr. Ali detailed that the current administration, led by Governor Abba Kabir Yusuf, who took office on May 29, 2023, has not taken on any new debt. "Since the inception of Alhaji Abba Kabir Yusuf’s NNPP administration from 29th May 2023 to date, no single penny was signed, contracted or received by the Kano State Government within or outside the country as a loan," he affirmed.
The debt servicing included payments of N3.49 billion in external debt and N60 billion in domestic debt over the first and second quarters of 2024. These efforts have reduced the state's total outstanding debt to N127.8 billion.
The debt portfolio inherited from the previous administration included various international and domestic loans, such as a 64 million euro agreement with the French Development Agency for the Third National Urban Water Sector Reform Project. Dr. Ali emphasized that the state's borrowing activities are governed by the Kano State Public Debt Management Law 2021, which mandates the Debt Management Office to manage all borrowings on behalf of the state government.
This law aims to ensure responsible fiscal management and reduce the financial burden on the state. With these substantial repayments, the current administration is focused on improving Kano's economic outlook and reducing its financial liabilities.
Comments