Akwa Ibom Settles N39.831bn Outstanding Debts Carried From The Former Government.
The government of Akwa Ibom State has successfully settled a ₦39.831 billion legacy debt inherited from the previous administration. The amount cleared included a principal sum of ₦34.533 billion and ₦5.298 billion in accrued interest and penalties.
This repayment marks a significant milestone for the current administration, which assumed office in May 2023 with a substantial portion of the ₦79.496 billion facility still outstanding.
The debt, initially contracted by the former government, had been a drain on the state’s finances, limiting resources available for developmental projects and other public initiatives.
By fully clearing the loan in November 2025, the current administration has not only removed a significant financial burden but also enhanced the state’s credit profile, demonstrating fiscal responsibility and prudent financial management.
In addition to clearing the debt, the state government has committed to avoiding new borrowing from commercial banks, focusing instead on boosting internally generated revenue (IGR).
Key reforms include the implementation of the AKWAREMIT digital revenue-collection platform and the AKWAGIS land-digitisation system, both designed to increase transparency, efficiency, and accountability in revenue mobilization.
The debt settlement and accompanying fiscal reforms are expected to free up resources for critical development projects, improve public-service delivery, and stabilize the state’s economy.
Analysts note that this proactive approach positions Akwa Ibom as a model for prudent financial governance in Nigeria, demonstrating how effective debt management and revenue reforms can create space for sustainable growth and development.
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