Osun debt profile is N407.32Bn – Governor Adeleke

•Accuses Oyetola of taking N18bn after July 17

•Adeleke is lying, I didn’t take any loan – Oyetola reacts

Ademola Adeleke, the Governor of Osun State, earlier today disclosed  that the State is under the official debt of N407.32 Billion.

The Governor disclosed this on Thursday, 15th of December, while in a meeting with Osun State Traditional Rulers in Osogbo Osun State Capital. The purpose of the meeting was to officially greet them and also to present the official debt profile left by the former administration, Adegboyega Oyetola.

Adeleke said, “With high sense of responsibility, I am reporting to our people through our traditional rulers, the total debt profile inherited by my administration from Governor Oyetola’s administration”.

“This event is in pursuance of my pledge to Osun people to be transparent and run an open government”.

Speaking on the debt list provided by the Accountant General of the State, he said “My administration inherited eight outstanding loan facilities, apart from salaries and pension debts, from Governor Oyetola’s administration. The repayment period ranges from 16 months to about 28 years”.

According to a document obtained by InsightMedia, Adeleke listed the loans as Budget Support Facility with outstanding balance of N51.8 Billion; Salary Bail Out Loan N38.8 Billion; Restructured Commercial Bank Loans, N158.77 Billion; Excess Crude Account (ECA) Loan, N14.48 Billion.

Others are: CBN Infrastructure Loan, N9.2 Billion; FGN Intervention Loan, N1.7Billion; and FGN Bridge Finance Facility: N18.04 Billion

He also added that a large portion of this particular loan was taken after July 16th, 2022 election which Governor Oyetola lost. And there was no information on the Repayment terms.

“Not one kobo of this loan was left in Government Coffers, when the Deputy Governor and I resumed work on Monday 29th November 2022. And no explanation on how the loan was expended”, he emphasized.

“There were also Foreign loans of $86.2m, and there has not been any information on the Repayment Terms”.

“My good people of Osun state, the total loan stock as at today is N331.32 Billion.

If the N76 billion debt on salaries and pension are added, the state is indebted to the tune of N407.32 Billion . The amount owed contractors is yet to be determined”.

“The only Fund in government coffers, as at Monday 29th November, was for November 2022 Salary. Otherwise, the state treasury was empty”. As the Governor, I will ask questions and demand for answers”.

“Governor Oyetola must explain how the N331 Billion borrowed in the name of Osun State was expended, with no obvious infrastructural development to justify this huge debt”.

“Governor Oyetola must explain how the N18 Billion Bridge Loan taken after he lost the election on July 16, 2022, was expended”.

“Governor Oyetola must also explain why Osun state is owing salaries & pension to the tune of N76 Billion after collecting a N50 Billion Salary Bail Out Loan from the Federal Government”.

“The Creditors, especially the Commercial Banks must explain why various loans were given to an administration beyond its 4 year tenure. 28 years is equivalent to the tenure of at least four Governors. A child that is born today would have earned a PhD at 28 years of age. This is nothing but mortgaging the future of Osun State with nothing to show for it. This is definitely not acceptable”, the Governor concluded.

Reacting to the development, Ismail Omipidan, media aide to Oyetola said Governor Adeleke has further exposed his lack of understanding of governance, stressing that Oyetola did not borrow a dime throughout his four years tenure.

“I insist for the umpteenth time that my principal never took any loan facility for the four years he used in office. The claim by the new governor shows clearly that he lacks understanding of how government is run.

He said his government got N3bn from the federal government as budget support, which according to him were never loans.

“If you go to my principal welfare address he stated it clearly, that like every other state, we benefitted N3billion on monthly basis for six months from the Federal Government as budget support. This money was given to all the 36 states of the federation without requesting. You can not categorize that as loan.

“The new governor does not understand the working of government and he should have allow those that understand the rudiment to explain it to him, So that he won’t be coming to the public to embarrass himself.”

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1 thought on “Osun debt profile is N407.32Bn – Governor Adeleke

  1. If Mr Omipidsn is now accusing Gov Adeleke of lack of understanding of governance, he (Omipidan) should allow some conscience to tell him that his boss was dubious by not preparing and presenting a handing over report where all matters being raised daily by the new government would have been clearly stated. Oyetola failed accountability test. Omipidan should know so much.

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