Why I Cleared My Predecessor’s N39.8bn Bank Loan — Gov Eno

Akwa Ibom State Governor, Pastor Umo  Eno, has explained that he cleared the N39.831 billion commercial bank loan inherited from the previous administration to free the state from heavy debt servicing and improve its creditworthiness. He also stated that his administration has no intention of taking new commercial bank loans anytime soon.

Speaking during a press conference in Uyo on Tuesday, the Commissioner for Finance, Hon. Emem Almond Bob, said paying off the debt would allow the government to channel more funds into ARISE Agenda projects without the strain of debt repayments.

He disclosed that of the N39.831 billion liquidated, N34.533 billion represented the principal, while N5.298 billion was interest. He noted that the loan originated from an outstanding balance of N79.496 billion contracted by the former administration.

After a comprehensive review and negotiation, Governor Eno’s administration cleared the entire debt by November 2025. The settlement included accumulated interest and penalties.

Bob added that beyond clearing commercial bank debts, the government has also paid N76.3 billion out of the N110 billion gratuities backlog inherited in 2023, settling outstanding payments up to March 2021. He attributed this achievement to prudent financial management that did not disrupt essential services or ongoing development projects.

He reaffirmed the governor’s decision to avoid commercial bank borrowing, emphasizing instead a focus on strengthening Internally Generated Revenue (IGR). According to him, initiatives such as the Akwa Ibom State Geographic Information System (AKWAGIS), electronic Certificate of Occupancy reforms, land digitization, and the Digital Electronic IGR Platform (AKWAREMIT) will support TSA implementation, enhance transparency, close leakages, and expand the state’s revenue base.

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