The Socio-Economic Rights and Accountability Project (SERAP) has given Nigeria’s 36 state governors and the Minister of the Federal Capital Territory, Abuja, Mr Nyesom Wike, seven days to “widely publish copies of the loan agreements and spending details of some N5.9 trillion and $4.6 billion loans obtained by their states and the FCT, including details and locations of projects executed with the loans.”
Additionally, they have requested the involvement of the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC) to scrutinize the utilization of funds.
The call from SERAP follows remarks by Governor Uba Sani of Kaduna State, highlighting the burden of inherited debts that have strained the state’s finances, particularly affecting salary payments.
In a letter dated March 30, 2024, SERAP emphasized the significance of transparency in showcasing how borrowed funds are utilized, asserting that public disclosure of loan terms and expenditure breakdowns would enhance accountability among leaders.
The organization warned that failure by governors and ministers to respond within a week would prompt legal action, underscoring the need for responsible financial management to safeguard public resources and ensure effective governance.
Expressing concerns over the prudent use of borrowed funds, SERAP cited the Debt Management Office’s revelation that states in Nigeria carry substantial debts domestically and internationally.
Nigeria’s Debt Management Office said “the total public domestic debt portfolio for the country’s 36 states and the Federal Capital Territory is N5.9 trillion. The total public external debt portfolio is $4.6 billion.”
SERAP said “Several states including your state are also reportedly spending public funds which may include the domestic and external loans to fund unnecessary travels, buy exotic and bulletproof cars and generally fund the lavish lifestyles of politicians.”
