Nigerian States Struggle with Rising Debt Despite Revenue Boost
Despite increased revenue in Abuja, Nigerian states are struggling with a significant debt burden. According to the Debt Management Office (DMO), 31 out of 36 states have resorted to domestic borrowing, with 10 states witnessing a worrying increase in debt by N418bn within a year.
States like Rivers, Enugu, and Kwara are among those grappling with rising debt levels. The World States Fiscal Transparency and Accountability Programme (SFTAS) introduced in 2018 aimed to promote fiscal transparency but has not curbed the states' borrowing spree.
This surge in borrowing comes amidst improved oil earnings, raising concerns about the judicious use of borrowed funds for infrastructure projects.
Plus234Feed summary based on reporting from This Day. Read the original report below.
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