...If accessed, Okpebholo would have doubled state’s domestic debt profile in less than eight months – PDP

Edo State chapter of the Peoples Democratic Party (PDP) has expressed “grave concern” over the recent approval of ₦100bn loan to the state governor, Monday Okpebholo, by the state House of Assembly.

The Edo State House of Assembly had on Tuesday approved a ₦100 billion loan facility from First Bank of Nigeria PLC to support Governor Monday Okpebholo’s administration in delivering key infrastructural projects across the state.

Reacting to this development in a statement, Dr Tony Aziegbemi, Chairman, Edo PDP Caretaker Committee, said “If this new loan is accessed, Sen. Okpebholo would have effectively doubled the state’s domestic debt profile in less than Eight months.”

The opposition party, while quoting the Debt Management Office (DMO), noted that “Edo State’s total domestic debt since creation on 27 August, 1991 as at December 31 2024 stood at One Hundred and Twelve Billion Naira (N112,000,000.00).”

READ ALSO: Okpebholo’s ₦100b Loan Generates Reactions, Controversy

The PDP added: “It took 34 years by all governors of Edo State to incur 112 Billion Debt, it is taking Sen. Monday Okpebholo Eight months to double it. This is an alarming development that raises serious questions about the long-term fiscal sustainability of the state; and indeed, about the financial competence of this APC led Administration.”

The opposition lamented that “what is particularly disturbing is the complete absence of transparency surrounding this loan,” stressed that “the people of Edo deserve to know what commitments are being made on their behalf and at what cost.”

The PDP contained: “No information has been provided regarding the identity of nominated contractors, the interest rate, repayment terms, or timeline for execution.

“It is unacceptable that such a significant financial obligation is being incurred without public scrutiny or clear justification.”

READ ALSO: Okpebholo Inaugurates Boundary Dispute Committee In Edo

Aziegbemi, who expressed worry that “the once vibrant State Assembly has abandoned its constitutional duty to rein in the excesses of the Executive Branch of Government,” reminded the lawmakers that “infrastructure loans of this magnitude are ordinarily sourced from development finance institutions on low interest rate/concessional terms.”

He added: “Securing such a facility from a commercial bank with high interest rates is both fiscally irresponsible and economically short sighted. At the prevailing interest rate of 30% and add Ons, Edo State will be paying 35 billion Naira annually just as interest. This is alarming and acutely not sustainable.”

Aziegbemi continued: “When we raised alarm about the fall in the IGR from about N8bn monthly during the immediate past government to about N2bn monthly, Okpebholo and his hirelings in their jaundiced response lied to Edo people that the State was generating N10bn monthly.

“We are also aware that the Okpebholo government inherited over ₦50 billion in the state treasury from the Godwin Obaseki-led administration less than eight months ago.

READ ALSO: Children’s Day: Dissuade Your Wards From Joining Cultism, Okpebholo Urges Parents, Guardians

“So, how do we justify that a government that inherited such an amount and who claims to be generating over N10bn monthly in IGR is now running to First Bank Nigeria Plc to borrow ₦100 billion. It only but exposes the fiscal irresponsibility of the Okpebholo government and affirms the drastic fall in the IGR, thereby forcing them to resort to reckless borrowing to cover up the shortfall.”

Aziegbemi, who argued that the loan “appears to be nothing but another conduit pipe to slush funds, which Okpebholo plans to service his endless list of godfathers and political thugs who helped him steal the people’s mandate during the last governorship election,” demanded a “full list of the infrastructure projects to be financed; names and profiles of the nominated contractors; the full loan agreement including interest rate, tenure, repayment terms and disbursement schedule, and “all records of proceedings and resolutions related to the loan by the State Executive Council and House of Assembly.”

The Peoples Democratic Party, PDP, has reinstated Samuel Anyanwu to his position as National Secretary.

At a press briefing on Wednesday, Ambassador Iliya Damagum, the Acting National Chairman of the party, made the announcement.

Damagum, alongside Bauchi State Governor Bala Mohammed, former Senate President Bukola Saraki, and other key stakeholders, said the decision to reinstate Anyanwu into the National Working Committee, NWC, was challenging, but ultimately accepted by a majority of party members, led by the party’s organs.

READ ALSO: Two PDP, LP Reps Dump Parties For APC

He also announced the cancellation of the planned NEC meeting, saying, “We will have an expanded Caucus, at the next Caucus we will take a decision leading to a proper NEC.

“Anyanwu is resuming as the National Secretary, that is why I said it was a critical decision. Like INEC said they don’t have our notice, so what we will have on June 30th is an extended Caucus.”

Details later…

The Peoples Democratic Party (PDP) and the Labour Party (LP) on Tuesday lost one lawmaker each in the House of Representatives to the ruling All Progressives Congress (APC).

The defectors — Hon. Peter Akpanke and Hon. Paul Nnamchi — formally announced their switch during plenary, with their defection letters read by Speaker Tajudeen Abbas.

Akpanke, who was elected on the PDP platform, represents Obanliku/Obudu/Bekwara Federal Constituency of Cross River State. Nnamchi, elected under the LP, represents Enugu East/Isi Uzo Federal Constituency of Enugu State.

READ ALSO: Delta Rep Defects To APC, Says Labour Party Has No Direction

Both lawmakers attributed their defections to internal crises within their former parties and their desire to support and align with the policies and programmes of the APC-led Federal Government.

Their decision was greeted with applause by APC members in the chamber, as Speaker Abbas congratulated the duo on their new political move.