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21 state govts solicit N1.65tn loans to fund 2024 budgets – Report

Published

1 year ago

August 27, 2024

21 state govts solicit N1.65tn loans to fund 2024 budgets – Report

Twenty one states of the federation are seeking loans amounting to N1.65 trillion to fund their 2024 budget deficits despite the increase in the allocations they have received from the Federation Account Allocation Committee (FAAC) in the last one year.

From June 2023 to June this year, all the 36 states and the 774 local governments received a total of N7.6 trillion from FAAC. This increase in revenue is largely due to the removal of petrol subsidy by the federal government on May 29, 2023.

Findings by Daily Trust show that the 36 states are projected to receive N5.54 trillion from FACC for this year as against the N3.3 trillion disbursed to them last year.

Under the current revenue-sharing formula, the federal government receives 52.68 percent; while states and local governments get 26.72 percent and 20.60 percent respectively. Such federation revenues, in addition to internally generated revenues of each tier, are expected to facilitate development across the three tiers of government, and also ensuring that the governments fulfill their financial obligations.

The FAAC allocations to local governments for June were paid directly to the state governments.

The Supreme Court had, on July 11, affirmed financial autonomy for the local governments. The apex court directed that the financial allocations meant for all the 774 local government areas in the country be paid to them directly. It said it is unconstitutional for state governments to keep and manage allocations on behalf of the local governments.

States’ borrowing patterns

Investigations by Daily Trust show that 21 states have expressed intentions to borrow a total sum of N1.650 trillion from both internal and external sources to fund their 2024 budget deficits.

Other states are yet to upload their borrowing plans.

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According to details of the borrowing plans made public, the Adamawa State Government is to borrow N68.46 billion; Anambra N245 billion; Bauchi, N59.08 billion; Bayelsa, N64 billion; Benue, N34.69 billion; Borno, N41.71 billion; Ebonyi, N20.5 billion; Edo, N42.71 billion and Ekiti State, N27.15 billion.

Others are Jigawa, N1.78 billion; Kaduna, N150.1 billion, Kebbi, N36.7 billion; Katsina, N163.87 billion; Kogi, N37.08 billion; Kwara, N30.76 billion; Osun, N12.36 billion; Oyo, N133.4 billion; Nasarawa, N32.93 billion; Gombe, N73.75 billion; Enugu, N103 billion and Imo, N271.34 billion.

Breakdown of states’, LGAs allocations in 1yr

The monthly FAAC allocations to the 36 states and the 774 local governments from June last year to June this year stood at N7.6 trillion. This represents an increase of over 40 per cent.

In June 2023, states got N299.92 billion; local government councils (LGCs), N221.79. July: states, N310.670 billion, LGCs, N229. 409 billion. August: states, N319.52 billion; LGCs, N236.23 billion. September: states, N361.19 billion; LGCs, N266.54 billion. October: states, N287.07 billion; LGCs, N210.90 billion. November: states, N379.41 billion; LGCs, N278.04 billion. December: states, N396.693 billion and LGCs, N288.928 billion.

In January this year, state governments got N379.407 billion; LGCs, N278.041 billion. February: states, N366.95 billion; LGCs, N267.15 billion. March: states, N398.689 billion; LGCs, N288.688 billion. April: states, N403 billion; LGCs, N293 billion. May: states, N388.419 billion; LGCs, N282.476 billion. June: states, N461.979; LGCs, N337.019 billion.

Allocations from Value Added Tax also rose year-on-year by 228.8 percent to N2.42 trillion in the first five months of 2024, up from N736.06 billion in the first five months of 2023.

The 13 percent derivation fund received by oil producing states also rose by 234 percent to N519.83 billion in the first five months of 2024, up from N155.5 billion in the first five months of 2023.

20% of June allocation enough to build 320 PHCs

In June this year alone, the FAAC allocations to both states and local governments crossed the N1 trillion mark with N1.3 trillion.

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If the standard of N500 million outlined by the World Health Oganisation (WHO) for establishment of an averagely equipped primary healthcare centre facility is anything to go by, 20 percent (N160 billion) of the June allocation is enough to put in place 320 of such health facilities nationwide.

There’s need for accountability – Experts

The Executive Director of the Centre for Fiscal Transparency and Public Integrity, Umar Yakubu, said there is a need for accountability regarding how the allocations to the states are being spent. In an interview with Daily Trust, Yakubu noted that the removal of the petrol subsidy has led to a significant increase in revenues, especially at the states and local governments.

He said: “The major issues is that governments think the more they make revenue, the more they solve problems because the accountability mechanism is so weak and the audit processes are not good enough to check excesses.

“So, what you have is more Naira into the system and the few who have access to them will convert them to dollars, which is the major reason our foreign exchange market has not stabilised because of too much Naira chasing few dollars.

“Therefore, we call for accountability which has to be in place to check corruption because as you can see, more money has come, but no state is recruiting, no state is increasing pensions or allowances of workers or event increasing capital expenditures because they are just siphoning money without accountability”, he said.

Also speaking to Daily Trust, a development expert, Victor Agi, said if the issue of accountability at the sub-national level is not tackled head-on, the challenges at the grassroots would continue.

Agi said state governments must be accountable with the increased revenues to drive growth at the grassroots.

“One of the issues is that people always blame bad governance on the federal government, forgetting that governors also get huge allocations to develop their various states.

“In the last one year, revenues have grown by almost 50 per cent, yet the governors can’t improve welfare of their workers and the people in general. For instance, the president signed the national minimum wage of N70,000 and some of the governors are kicking that they can’t pay despite increase in revenues. This indicates that something is wrong.

“What is more disturbing is that the same issue will now be encountered in the local governments now that their allocations will be paid directly. There is need for more awareness from civil society to ensure that development at the grassroots is implemented now that revenues have increased,” he said.

21 state govts solicit N1.65tn loans to fund 2024 budgets – Report

DAILY TRUST

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Nigeria withdraws fighter jets as Benin recovers after failed coup attempt

Published

1 hour ago

December 7, 2025

Trends Admin

Nigeria withdraws fighter jets as Benin recovers after failed coup attempt

Nigeria has withdrawn the fighter aircraft it deployed in the Benin Republic following Sunday’s attempted coup, after security assessments confirmed that the situation in the neighbouring country has stabilised. Security sources said the aircraft—initially dispatched from Lagos for surveillance and regional monitoring—were recalled on Sunday afternoon when updated intelligence indicated that the crisis no longer posed “immediate threat to Nigeria’s territorial security.”

The failed coup, aimed at toppling the democratic government of President Patrice Talon, began with an early morning assault on the presidential residence in Cotonou.

Mutinous soldiers, dressed in full military uniform, attempted to seize power but were repelled by loyal forces. Unable to capture the President, the rebels proceeded to take over the Office de Radiodiffusion et Télévision du Bénin (ORTB), briefly controlling the national broadcast signal.

The crisis escalated rapidly, but the Beninese National Guard responded decisively, surrounding the television station and blocking the mutineers’ escape routes.

By late Sunday, loyalist security units had secured all major government installations, restoring order across the capital city.

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“The situation is under control. The National Guard has everything surrounded,” a senior security official said, noting that negotiations were initiated to persuade the barricaded mutineers to surrender peacefully.

President Talon, reported safe in an undisclosed location, has yet to address the nation. Meanwhile, the streets of Cotonou remained tense but calm, with no reports of widespread violence or civilian casualties.

Presidential spokesman Bayo Onanuga confirmed in a statement on X that the coup had collapsed.

“Mutineers in military uniform who attempted to overthrow President Patrice Talon’s democratic government have failed. They seized the National TV after failing to enter the presidential residence,” he wrote.

He added that Colonel Pascal Tigri, the alleged leader of the mutiny, was on the run, while several members of the group had been apprehended.

Benin’s Interior Minister Alassane Seidou also appeared on national television, confirming that the military uprising had been foiled. “Early on Sunday, 7 December 2025, a small group of soldiers launched a mutiny aimed at destabilising the state and its institutions. The armed forces remained loyal to the republic, and their response allowed them to foil the attempt,” he said.

The Beninese government has since urged citizens to resume their normal activities, assuring the public that the security situation remains firmly under control.

Nigeria withdraws fighter jets as Benin recovers after failed coup attempt

News

Akpabio sues Natasha for ₦200bn over sexual harassment allegations

Published

1 day ago

December 6, 2025

Trends Admin

Senator Natasha Uduaghan and Senate President Godswill Akpabio

Akpabio sues Natasha for ₦200bn over sexual harassment allegations

Senate President Godswill Obot Akpabio has instituted a ₦200 billion defamation lawsuit against Senator Natasha Akpoti-Uduaghan, accusing her of spreading malicious sexual harassment allegations that he says have severely damaged his public image.

According to documents filed before the High Court of the Federal Capital Territory, Abuja, Akpabio is seeking substantial damages, public retractions, and nationwide broadcast apologies. He argues that Senator Akpoti-Uduaghan’s televised, radio, and online interviews portrayed him as a sexual predator who abused his office for personal gratification—claims he insists subjected him to widespread ridicule and reputational harm.

The lawsuit includes a comprehensive statement of claims and a list of witnesses. Akpabio is also asking the court to compel the removal of all online materials containing the disputed allegations and to order repeated public apologies across major media outlets.

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A court order issued on 6 November 2025 granted permission for substituted service through the Clerk of the National Assembly after initial attempts to reach Senator Akpoti-Uduaghan directly were unsuccessful. The case is now moving forward and is expected to become one of the most closely watched political legal battles in Nigeria.

Responding on 5 December 2025, Senator Natasha Akpoti-Uduaghan confirmed receipt of the suit and expressed readiness to defend her allegations before a competent court. She stated that she had previously been prevented from presenting a petition before the Senate Committee on Ethics and Privileges due to claims that a related case was already in court—an action she believes protected the Senate President from legislative scrutiny.

In a strongly worded response, the Kogi Central senator maintained that the court proceedings will finally provide the platform to substantiate her claims. She reiterated her stance that she experienced sexual harassment and that her refusal to comply with the alleged advances prompted sustained political retaliation.

“See you in court, Godswill Akpabio,” she declared.

Akpabio sues Natasha for ₦200bn over sexual harassment allegations

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NLC threatens nationwide protests as insecurity worsens, withdraws support for Labour Party

Published

2 days ago

December 5, 2025

Trends Admin

NLC threatens nationwide protests as insecurity worsens, withdraws support for Labour Party

The Nigeria Labour Congress (NLC) has warned that it will no longer remain passive as criminal gangs intensify violent attacks across the country, declaring its readiness to hold a national day of mourning and mobilise nationwide protests over the escalating insecurity in Nigeria.

Speaking at the opening of the NLC’s National Executive Council (NEC) meeting in Lagos, NLC President Joe Ajaero said the country was “under siege,” condemning the latest school kidnapping and the reported withdrawal of security personnel before the attack. He demanded a full investigation to expose any possible compromise within the nation’s security architecture.

“The NLC cannot stand idly by and allow criminals to take over our country—never again. We want to know who ordered the withdrawal of security operatives from that school. We will not allow kidnappers and bandits to overrun our nation,” Ajaero said.

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He stressed that the labour movement would soon announce details of the planned protests and national mourning, insisting the lives of teachers, students and workers were in grave danger. “It is getting out of hand. We can no longer bear this,” he added.

Ajaero also revealed that the NLC had withdrawn its representatives from the Labour Party, accusing them of pursuing personal interests rather than representing workers.

Human rights lawyer Femi Falana, SAN, who addressed the meeting, warned that the country was in “serious trouble” over rising kidnappings and attacks. He rejected calls for foreign military intervention, cautioning that such a move would undermine Nigeria’s sovereignty.

Falana criticised recent statements by former U.S. President Donald Trump, describing them as unacceptable. He urged President Bola Tinubu to take decisive action to protect citizens, saying: “We want to let the world know that we are not a conquered people.”

He called on labour unions, civil society organisations and Nigerians to prepare to resist any further decline in national security.