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Osun State Governor, Ademola Adeleke, has denied taking any foreign loans since assuming office in November 2022, attributing the reported increase in the state’s external debt to repayment obligations inherited from the previous administration.
The governor’s position followed a Debt Management Office (DMO) report which showed that Osun State’s external debt rose from $75.14 million as of December 31, 2024, to $101.70 million as of June 30, 2026.
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The increase of approximately $26.56 million within 18 months had raised questions about the state’s foreign borrowing.
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However, Adeleke, in a statement issued on Tuesday by his spokesperson, Mallam Olawale Rasheed, said the increase reflected the maturation of an external loan obtained by the previous administration for the Rural Access and Agricultural Marketing Project (RAAMP).
He explained that the $25.8 million loan repayment process matured in December 2025, leading to its inclusion in the DMO’s external debt report.
The governor said, “The DMO had reflected the sum of $25.8 million external loan taken by the previous administration for the Rural Access and Agricultural Marketing Project (RAAMP).”
Adeleke further disclosed that four other external loans obtained by the previous administration had also matured for repayment and could soon be reflected in the state’s external debt profile.
A breakdown of the DMO figures showed that Osun’s multilateral debt increased from approximately $67.60 million in December 2024 to $94.15 million in June 2026, while bilateral debt rose marginally from $7.54 million to $7.55 million within the same period.
The governor maintained that his administration had not obtained any external loan, describing allegations of secret foreign borrowing as fake news.
He also criticised those making the allegations, saying they were unfamiliar with the statutory procedures required for accessing foreign loans.
“The above clarification is necessary to set the records straight,” Adeleke said.
He added, “If at all, our administration is to take loans for any reason, it will be open to the public with utmost transparency and compliance with due process.”