The Taraba State Government has pushed back against reports that the state is currently carrying a debt burden of about N1.2 trillion, insisting that the figure does not accurately reflect its actual outstanding liabilities.
The state Commissioner for Finance, Sarah Adi, made the clarification in Jalingo over the weekend, saying several different categories of financing had been wrongly lumped together to arrive at the N1.2 trillion figure.
Adi said the state’s financial position should be assessed separately based on its existing debt stock, approved credit facilities, outstanding balances and financing arrangements that have not yet been disbursed.
According to the latest data from the Debt Management Office (DMO), Taraba’s domestic debt stood at N85.51 billion as of December 31, 2025.
The commissioner said this represented a reduction of about N2.45 billion from the N87.96 billion domestic debt recorded in DMO data available before Governor Agbu Kefas assumed office.
She also clarified that the DMO report published in March 2023 reflected the state’s debt position as of September 30, 2022, and should not be interpreted as Taraba’s debt position at the time of publication.
On external obligations, Adi said Taraba’s debt increased from approximately $46.47 million as of December 31, 2022, to about $48.04 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 state’s foreign-denominated obligations.
The commissioner also addressed the N206.78 billion commercial bank financing facility approved by the state House of Assembly in 2023.
She explained that the approval involved facilities from Zenith Bank, United Bank for Africa, Fidelity Bank and Keystone Bank, with designated revenue streams backing the arrangements.
According to her, the approved value of a facility should not automatically be regarded as the amount currently owed by the state because the actual liability depends on how much was disbursed, repayments made, restructuring and the outstanding balance on each facility.
Adi similarly rejected claims that Taraba had already received N350 billion from a proposed capital-market financing programme.
She said the N350 billion represents the overall programme size and not money already received by the state. The programme, she explained, remains subject to regulatory, statutory, market and disclosure requirements, with an initial tranche of about N35 billion under consideration.
The government also clarified the status of three financing agreements worth approximately $268 million signed with the ECOWAS Bank for Investment and Development (EBID) on June 26, 2026.
The facilities are intended to support an integrated industrial park, irrigated rice production and processing, and a 50-megawatt solar power project.
Adi stressed that signing the agreements did not mean the funds had already been disbursed, noting that drawdown would only occur after the fulfilment of applicable conditions, regulatory procedures and statutory approvals.
She urged stakeholders to distinguish between approved financing and actual debt obligations when assessing the state’s finances.
The commissioner said the administration’s borrowing policy remained focused on development priorities, repayment capacity, transparency and accountability.
She added that the state government would continue to comply with relevant borrowing and financial disclosure requirements, while urging the public to assess Taraba’s debt position based on actual drawdowns, repayments, outstanding liabilities, financed projects and the state’s capacity to service its obligations.
