The Anambra State Government has said it is still repaying loans inherited from previous administrations, including those of former governors Peter Obi and Willie Obiano.
The State Commissioner for Finance, Izuchukwu Okafor, disclosed this on Sunday during an appearance on the Ndi Anambra podcast released by the state government’s New Media team.
Okafor explained that the inherited debts remain part of the state’s financial obligations despite the decision of Governor Chukwuma Soludo’s administration not to obtain fresh commercial bank loans since taking office.
According to the commissioner, the Soludo administration has focused on managing existing financial commitments and reducing the state’s debt burden instead of taking on additional commercial debts.
Anambra Says It Has Not Taken Fresh Bank Loans
Okafor stressed that the current administration has not borrowed money from any commercial bank since it assumed office.
“It’s on record that this administration has not borrowed a kobo from any commercial bank since the inception of this administration,” he said.
However, he clarified that avoiding new loans does not mean Anambra has stopped making debt repayments.
The commissioner said the state continues to service loans obtained by previous administrations through deductions from funds allocated to Anambra by the Federation Account Allocation Committee (FAAC).
Loans Linked to Obi and Obiano Administrations
Okafor specifically linked some of the outstanding loan obligations to the administrations of Peter Obi and Willie Obiano, who governed Anambra before Soludo.
“These loans were borrowed during the time of Peter Obi and Willie Obiano, the past governors,” he said.
The commissioner’s comments highlight the long-term financial obligations that state governments can inherit from previous administrations.
While the Soludo government maintains that it has avoided fresh commercial borrowing, it continues to meet debt commitments attached to loans taken before it came into office.
Soludo Administration Focuses on Debt Management
The state government said its approach has been to manage the inherited obligations while directing available resources toward its current priorities.
The issue of public debt remains an important part of state finances, as repayments can affect the funds available for infrastructure, salaries and other government programmes.
The Anambra Government’s position is that the state is working to reduce its existing debt burden without adding new commercial bank loans.
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