Abia State Governor Alex Otti has announced significant progress in reducing the state’s debt burden, revealing that his administration has paid down N90 billion from the N191 billion inherited debt within his first year in office. This achievement, disclosed during his monthly media engagement Governor Alex Otti Speaks to Abians in Umuahia, was accomplished without taking on any new loans.
Despite the substantial debt servicing, Otti emphasized that his administration has maintained robust infrastructure development, including road construction, healthcare improvements, school renovations and enhanced security measures across the state.
In a forward-looking initiative to address the impact of fuel subsidy removal, the governor announced plans to introduce electric buses for both intra and inter-city transportation. This innovative approach aims to provide affordable public transportation alternatives for Abia residents.
The governor also addressed ongoing efforts to combat corruption within the state’s civil service, particularly focusing on pension fraud. He disclosed that investigations have identified approximately ten to eleven civil servants allegedly involved in pension fraud schemes, with some suspects currently outside the country. “We will continue with our efforts to sanitise the civil service… We are going to repatriate them to answer to the state of their sins,” Otti stated firmly.
Responding to criticism from opposition members regarding the administration’s anti-corruption stance, Otti maintained that his government would proceed with investigations and prosecutions regardless of the suspects’ status in the state, emphasizing his commitment to transparency and accountability in public service.
The governor’s revelations during the media chat highlight his administration’s focus on fiscal responsibility, infrastructure development and public sector reform as key priorities for Abia State’s economic revitalization.
Economic Lessons: Debt Reduction Set to Boost Abia’s Growth
The substantial reduction in Abia State’s debt burden by N90 billion represents a milestone for the state’s economic prospects. This debt reduction, combined with ongoing infrastructure development and anti-corruption measures, is likely to improve the state’s creditworthiness and attract both domestic and foreign investment. Maintaining development projects while reducing debt, the administration demonstrates that fiscal responsibility and economic growth can be achieved simultaneously, potentially setting a new standard for state-level financial management in Nigeria.
