We’re Still Paying Debts From Past Governors, Including Obi’ — Anambra Govt
The Anambra State Government has disclosed that it is still repaying loans contracted by previous administrations, including that of former governor Peter Obi.
Speaking on the Voice of Ndi Anambra Podcast, State Commissioner for Finance Izuchukwu Okafor stated that deductions are continuously being made from the state’s federal allocation to service inherited debt obligations. A video clip of the interview was published on the Facebook page of Anambra State New Media on Monday.
According to Okafor, the financial deductions are reflected in the state’s monthly Federation Account Allocation Committee (FAAC) statements.
“Every month during our FAAC meetings, when you see the schedule of FAAC, you will notice there are substantial, significant deductions from our own FAAC because of loans previously borrowed by previous administrations,” Okafor said.
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“These loans were borrowed during the time of Peter Obi and Willie Obiano and other past governors,” he added.
Peter Obi served as governor of Anambra State from 2006 to 2014 before handing over to Willie Obiano, who governed until 2022. Governor Chukwuma Soludo succeeded Obiano in March 2022.
Inherited Debt Obligations and Fiscal Claims
Okafor stated that the Soludo administration has not taken any commercial bank loan since assuming office, focusing instead on reducing inherited liabilities.
“It is on record that this Soludo government has not borrowed a kobo from any commercial bank since the inception of this administration. Our domestic debt as of today is near zero balance,” Okafor said.
He noted that under Soludo, the state has reduced its overall debt by more than 83 per cent while clearing most of its domestic liabilities, including unpaid contracts, gratuities, and pensions.
The commissioner explained that some of the remaining outstanding obligations are external loans, including facilities obtained from the World Bank and other institutions, which continue to be deducted from federal allocations.
Okafor also revealed that the state government recently repaid a facility obtained from the Central Bank of Nigeria under the Commercial Agriculture Credit Scheme.
He stated that clearing these inherited liabilities has created more fiscal space for the state.
“In a nutshell, we have been able to create more fiscal space for Anambra State by paying off the backlog of numerous debts inherited from previous governments, starting from the time of Peter Obi,” Okafor said.
Historical Financial Disputes and Political Context
The finance commissioner’s statements revive a long-running dispute over Anambra’s financial position at the conclusion of Obi’s tenure in 2014.
The controversy dates back to the handover to Obiano, whose administration later placed inherited liabilities at approximately N185 billion.
Obi’s camp rejected the figure, maintaining that he left substantial cash and investments and did not leave the state indebted.
Official debt records show that Anambra had outstanding formal debt obligations around the end of Obi’s tenure. Figures from the Debt Management Office listed the state’s external debt at approximately $30.3 million and domestic debt at about N3 billion as of December 2013.
The dispute also extends to asset claims made by Obi. While Obi has repeatedly stated that he left $150 million in the state’s coffers, fact-checkers have noted that no publicly available document conclusively establishes that exact figure.
The financial debate resurfaced in 2022 when Soludo assumed office. Soludo stated that audited accounts showed the state had more than N100 billion in debt as of December 2021, with only about N300 million to N400 million in cash.
Okafor’s latest statement places the current administration’s debt-reduction claims within a broader financial dispute following Anambra’s last three administrations regarding inherited obligations and how they were serviced.
The development comes against the backdrop of an increasingly political relationship between Obi and Soludo as both figures remain prominent in the build-up to the 2027 elections. Obi is currently the presidential candidate of the Nigeria Democratic Congress, while Soludo is seeking to consolidate his political influence in Anambra.
The two leaders have previously clashed publicly over Obi’s promise to serve only one term if elected president. In August 2025, Soludo criticized politicians who promise to spend only one term in office, stating that anyone making such a pledge should not be taken seriously because the Constitution permits elected presidents and governors to serve two terms.