Akwa Ibom State governor, Pastor Umo Eno, said he decided to liquidate the debt of N39.831 billion left by his predecessor, Mr Udom Emmanuel, to exonerate the state from the burden of debt service and improve Akwa Ibom’s standing with lenders.
He revealed that his administration was not ready to take any credit facility from commercial banks anytime soon.
Speaking at a press conference in Uyo on Tuesday, the Commissioner for Finance, Hon. Emem Almond Bob, noted that such a gesture would improve service delivery, as more funds can now be allocated to ARISE Agenda projects without the burden of debt service.
He said out of the N39.831 billion debt paid, the principal was N34.533 billion while the interest stood at N5.298 billion.
He said, “We could all recall that as at May 29, 2023, when this administration began its term, the new administration inherited a commercial-bank debt of N34.533 billion from the previous administration, as a result of the outstanding balance of N79.496 billion contracted by that administration, which full repayment was pending.
“After a thorough review and negotiations, this administration of His Excellency, Pastor Umo Bassey Eno, has fully cleared the debt as of November 2025. The total amount paid was N39.831 billion. The interest reflects the cost of borrowing over the two-year period and the accrued penalties that were settled in full.”
He said besides the commercial bank debt settlement, out of the N110 billion backlog of gratuities also inherited, dating back to 2012, the present administration has, within its time in office, paid N76.3 billion, clearing in the process backlogs up to March 2021. He said this was possible due to financial discipline and management by the present government without disrupting essential services or ongoing development projects.
The Commissioner, however, reiterated the governor’s resolve not to take loans from commercial banks, stating that he would instead focus on seeking reforms to enhance the state’s Internally Generated Revenue (IGR).
He listed possible revenue sources to include: “Key initiatives include the Akwa Ibom State Geographic Information System (AKWAGIS), which will be utilized to improve electronic Certificate of Occupancy (e-C of O) processes and land digitization, promoting greater transparency and efficiency, as well as the new Digital Electronic IGR Platform (AKWAREMIT) to enhance full operationalization of the Treasury Single Account (TSA). These efforts are anticipated to lead to the expansion of the revenue base, closure of financial leakages, and improvement in IGR.”