Taraba Govt. Denies Opposition’s Claims of Outrageous Indebtedness 

By SAIDUADAMU, JALINGO

The Taraba State Commissioner of Finance , Budget and Economic Planning Dr. Sarah Enoch has denied allegations by the opposition political parties that the State is indebted to the tune of over One Trillion Naira from both domestic and foreign lenders.

Dr Enoch made the clarification during an interactive session with journalists where she noted that the administration of Governor Agbu Kefas only secured a loan of ₦206 billion on assumption of office because the State treasury was empty.

She said that the loan has been largely repaid and the administration is determined to offset the balance before the end of its tenure in 2027.

The Commissioner further clarified that the State has applied for a bond of over ₦350 billion from the Capital Market which will be accessed in tranches of ₦35 billion but that the actual disbursement has not commenced.

“The Government welcomes legitimate scrutiny of public finances. However, public discussion must distinguish between existing debt, approved facilities, outstanding balances, and financing arrangements that have not yet been drawn down.

“For the avoidance of doubt, the claim that Taraba State currently carries a debt burden of about ₦1.2 Trillion does not reflect the State’s debt stock reported in the latest publicly available records of the Debt Management Office.

“In the latest publicly available DMO data, as at 31 December 2025, Taraba State’s domestic debt stock stood at approximately ₦85.51 billion. This is approximately ₦2.45 billion lower than the earlier reported figure. The official DMO figures therefore do not support suggestions that Taraba State’s recognised domestic debt stock has risen to anything approaching ₦1.2 Trillion.

“In 2023, the Taraba State House of Assembly granted approval for financing facilities of approximately ₦206.78 billion involving Zenith Bank Plc, United Bank for Africa Plc, Fidelity Bank Plc, and Keystone Bank.

“The Debt Management Office reported Taraba State’s external debt at approximately US$46.47 Million as at 31 December 2022. By 31 December 2025, the State’s external debt stood at approximately US$48.04 Million.

According to her, this represents a relatively modest movement in the State’s external debt position over the period.

“There has also been considerable public discussion about a proposed capital-market financing programme of up to ₦350 billion. Government wishes to state clearly that Taraba State has not received ₦350 Billion from the proposed bond programme. The programme remains subject to applicable regulatory, statutory, market, and disclosure processes. It is designed as a programme under which financing may be raised in stages, subject to approvals and market conditions.

“Also, on 26 June 2026, the Taraba State Government and the ECOWAS Bank for Investment and Development signed Three financing agreements totalling approximately US$268 Million. The financing package is intended to support Phase I of an integrated industrial park, development of irrigated rice production and processing, and development of a 50-megawatt solar power project in the state . The signing of a financing agreement must, however, be distinguished from actual disbursement.
The facilities remain subject to applicable conditions precedent, regulatory processes, and statutory approvals before drawdown.

“The administration of His Excellency, Dr. Agbu Kefas, remains guided by three principles. First, borrowing must support measurable development. Financing undertaken by the State must be linked to productive infrastructure, economic expansion and improvements in the welfare of the people.

“Second, repayment capacity must guide financing decisions. Revenue projections, debt-service obligations and the sustainability of the State’s finances will continue to be considered before new liabilities are assumed.

“Third, transparency and accountability remain essential. Government will continue to comply with legislative, regulatory and disclosure requirements applicable to public borrowing and capital-market transactions” she said. .