The Kano State Government has denied allegations of borrowing N177 billion from France, clarifying that it has, in fact, paid over N63 billion in debt within the first half of 2024.
Daily News 24 reports that this was disclosed by the Director General of the Kano State Debt Management Office, Dr. Hamisu Sadi Ali, during an interactive session with journalists on Tuesday in Kano.
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Dr. Ali dismissed the claims made by a local online news platform, stating that the publication falsely alleged that the current administration, led by Governor Abba Kabir Yusuf, had secured a N177 billion loan. He highlighted that any borrowing by the state government must go through the Kano State Debt Management Office, as stipulated by the Kano State Public Debt Management Law of 2021.
“The allegation is baseless,” Dr. Ali asserted. “The only agreement involving foreign loans in recent years was signed in July 2018 by the previous administration of Dr. Abdullahi Umar Ganduje with the French Development Agency for €64 million under the Third National Urban Water Sector Reform Project.” He questioned the misinformation, asking, “How does a loan agreement signed in 2018 become a debt of 2023 or 2024?”
Dr. Ali further detailed Kano’s existing foreign debt portfolio, listing various projects, including a $5 million Erosion and Watershed Management Project and a €64 million urban water sector reform loan. He emphasized that, contrary to the reports, no new loans have been contracted since Governor Yusuf took office on May 29, 2023.
Regarding domestic loans, Dr. Ali clarified that past borrowings were solely conducted under the previous administration. He outlined that six different domestic loans were signed by the Ganduje-led government, including a N10 billion infrastructure loan from Access Bank and a N20 billion salary bailout from Fidelity Bank.
“As of now, the current administration has not borrowed a single penny from any domestic or foreign lender.” He revealed that the government has repaid approximately N3.49 billion in external debts and N60 billion in domestic debts, totaling N63.5 billion for the first and second quarters of 2024.
Dr. Ali urged the public to disregard the “fake and politically motivated” reports, stressing the importance of responsible journalism.
“Journalism should be a deeply investigative venture, not a platform for non-factual, fabricated reports,” he concluded.
