If states are getting record allocations from the federation account, why are many of them still deep in debt?
That is the question I am asking too. A September 2026 report using Debt Management Office data shows that just 12 states whose governors are ending their tenures carry a combined debt of about ₦5.3 trillion: ₦2.16 trillion in domestic debt and about $2.33 billion owed abroad. Pension and gratuity obligations persist, contractors are still chasing payments, and governments continue to carry heavy liabilities. If the allocations are truly unprecedented, you have every right to ask where that money has gone.
Where this comes from
Article on X Article by @atiku on X · https://x.com/atiku/status/2097745799593841116 2026-09-09 ›
“And here is another question the FAAC cheerleaders must answer: if the states are swimming in unprecedented revenues, why are they still drowning in debt? A September 2026 report based on Debt Management Office data shows that just 12 states whose governors are approaching the end of their tenures carry a combined debt burden of approximately ₦5.3 trillion, comprising ₦2.16 trillion in domestic debt and about $2.33 billion in foreign obligations. “So spare Nigerians the victory parade. You cannot boast endlessly about unprecedented FAAC allocations while states remain heavily indebted, pension and gratuity obligations persist, contractors chase payments and governments continue to carry enormous liabilities. If the money is as unprecedented as we are constantly told, Nigerians have every right to ask the most elementary question: where has the money gone?