The Taraba State Government has rejected claims that it borrowed N1.2 trillion within three years, describing the figure as inaccurate and misleading.
The Commissioner for Finance, Dr Sarah Adi, disclosed this on Sunday in Jalingo while addressing journalists on the state’s debt position. Adi said the latest data from the Debt Management Office showed Taraba’s domestic debt stood at N85.51 billion as of December 31, 2025.
She explained that the figure represented a reduction of about N2.45 billion from the N87.96 billion domestic debt contained in earlier DMO data. According to her, the DMO publication released in March 2023 reflected Taraba’s debt position as of September 30, 2022, rather than the state’s position when the report was published.
On external obligations, Adi said Taraba’s debt increased from about $46.47 million as of December 31, 2022, to approximately $48 million by December 31, 2025. She described the increase as relatively modest but acknowledged that exchange-rate movements could affect the naira value of the obligations.
The commissioner also addressed the N206.78 billion commercial bank financing facility approved by the Taraba State House of Assembly in 2023. She said the facilities involving Zenith Bank, United Bank for Africa, Fidelity Bank and Keystone Bank were secured against designated revenue streams.
Adi stressed that an approved credit facility should not automatically be regarded as the state’s current outstanding debt. She explained that the actual liability would depend on the amount disbursed, repayments already made, restructuring arrangements and current balances.
“The true outstanding balance can only be established by examining the amount actually disbursed, repayments made, any restructuring undertaken and the current balances on the respective facilities,” she said.
The commissioner also dismissed claims that Taraba had received N350 billion through a proposed capital-market financing programme. According to Adi, the programme remained subject to regulatory, statutory, market and disclosure requirements.
She explained that the proposed N350 billion represented the overall programme size rather than money already received by the state. An initial tranche of about N35 billion, she said, was under consideration. Adi therefore warned against treating the programme’s full value as an existing liability.
The commissioner further clarified three financing agreements worth about $268 million signed with the ECOWAS Bank for Investment and Development on June 26, 2026. She said the facilities would finance an integrated industrial park, irrigated rice production and processing, and a 50-megawatt solar power project.
However, she stressed that signing the agreements did not mean the funds had already been released. According to her, the facilities remained subject to conditions precedent, regulatory procedures and statutory approvals before any drawdown.
Adi said Taraba’s financial position should therefore be assessed across four distinct categories: existing debt stock, approved facilities, outstanding balances, and proposed or undisbursed financing. She warned that simply adding figures from the four categories together could create a distorted picture of the state’s actual debt burden.
The commissioner maintained that the Debt Management Office data provided a more appropriate basis for assessing the state’s existing debt. She added that the ECOWAS Bank for Investment and Development facilities were tied to specific development projects and should not automatically be treated as immediately drawn debt.
Adi said the Agbu Kefas administration’s borrowing decisions were guided by development priorities, repayment capacity, transparency and accountability. She maintained that the government remained open to scrutiny of its finances but urged analysts and members of the public to distinguish between approved financing, actual disbursements and outstanding obligations.
The commissioner said accurate interpretation of financial records was essential to prevent misleading conclusions about Taraba’s debt position. She reiterated that the government welcomed legitimate scrutiny but insisted that assessments of its finances should be based on verified figures rather than the simple aggregation of headline financing amounts.
