Gov Eno Declares Zero Borrowing Policy, Gives Reason for Clearing N39.83bn Inherited Debt
By Inemesit FRIDAY
Akwa Ibom State governor, Pastor Umo Eno, has explained that his administration opted to clear the N39.831 billion debt inherited from his predecessor, Mr Udom Emmanuel, in order to free the state from the burden of debt servicing and strengthen its financial credibility.
At a press briefing in Uyo, the Commissioner for Finance, Hon. Emem Almond Bob, said settling the debt was a strategic move to improve liquidity and allow more resources to flow into projects under the ARISE Agenda.
Bob revealed that the inherited loan stood at N34.533 billion, while accumulated interest and penalties brought the total amount paid to N39.831 billion.
“As at May 29, 2023, when this administration took office, the state owed N34.533 billion as the outstanding balance of a N79.496 billion loan,” he said. “Following a comprehensive review and negotiation process, the administration of His Excellency, Pastor Umo Bassey Eno, paid off the entire debt by November 2025.”
He added that, beyond the commercial bank loan repayment, the government has also recorded significant progress in reducing the long standing backlog of gratuities. Out of the N110 billion arrears inherited and dating back to 2012, the state has paid N76.3 billion, clearing entitlements up to March 2021. According to him, this was achieved without affecting ongoing development projects or essential services.
Bob reiterated Governor Eno’s position that his administration does not intend to borrow from commercial banks. Instead, he said the government is prioritising reforms aimed at improving Internally Generated Revenue.
He listed initiatives such as the Akwa Ibom State Geographic Information System, which will enhance electronic Certificate of Occupancy processing and land digitization, and the new Digital Electronic IGR Platform, AKWAREMIT, designed to strengthen the operation of the Treasury Single Account.
“These reforms will expand the state’s revenue base, close financial leakages and significantly improve Internally Generated Revenue,” he said.
