Lawal denies taking ₦14.2bn loan from DMO, blames previous administration

News Agency Of Nigeria

April 2, 2024 8:30 AM

The SSA to the governor stated that the DMO report, was not borrowed by Gov Lawal’s administration.

Governor Dauda Lawal of Zamfara state (Channels TV)

The Zamfara government on Monday denied taking an ₦14.2 billion loan as indicated in a report by the Debt Management Office (DMO).

A statement issued in Gusau on Monday by Sulaiman Idris, Senior Special Assistant to the governor on Media and Publicity, debunked the claim it described as false.

“This is to clarify the DMO report which said that the Zamfara state government borrowed ₦14.26 billion naira.

“The Zamfara government has never applied for loan or approached the State Assembly or National Assembly with such request,” Idris said.

According to the statement, the sum of ₦14.26 billion, as stated in the DMO report, was not borrowed by Gov Lawal’s administration.

“The amount was part of the proceeds from a 20 billion naira loan floated by previous administrations in the state.

“No domestic or external loans have been borrowed since Gov Dauda Lawal came in.

“It is important to note that the previous Zamfara state government floated a ₦20 billion bond but failed to collect the total amount.

“The immediate past government received ₦4 billion naira out of the ₦20 billion requested for the Zamfara Cargo Airport project, though the funds were not utilised.

“Upon assuming office, we discovered that the payment terms made terminating the bond impossible without incurring a significant loss for the state.

“The balance of ₦16 billion out of the ₦20 billion borrowed by the past administration is the ₦14.26 billion captured by the DMO. The value is reduced due to inflation.

“The bond balance, which is still in a government account, has not been used and will be reserved for the airport project,” he explained

News Agency Of Nigeria