Abia PDP Denies Accumulating N191.2bn Debt, Calls for Investigation into N90bn Payments

POAPOA
Nov 10, 2024 - 09:00
Nov 10, 2024 - 09:08
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Abia PDP Denies Accumulating N191.2bn Debt, Calls for Investigation into N90bn Payments

Umuahia, Abia State — A controversy over Abia State’s financial management has emerged as the Peoples Democratic Party (PDP) in Abia State disputes claims made by Governor Alex Otti about a debt inherited from previous administrations. Governor Otti recently stated that his administration had cleared ₦90 billion of a ₦191.2 billion debt inherited from past governments within 15 months, without taking on new loans. The Abia PDP, however, has refuted these claims, asserting that past governors left no such debts.

In a statement, Abia PDP Chairman Abraham Amah questioned the governor’s statements, requesting concrete records to back up the debt claims. “The attention of Abia PDP has been drawn to recent claims you made regarding the payment of ₦90 billion to contractors in our state, which you allege to be debts incurred by the previous PDP-led administration,” Amah said. “To be clear, the Abia PDP is unaware of the existence of such a debt incurred by the immediate past PDP administration. It will serve the interests of Abians if you put out the records as proof of your claims.”

Amah also called for an investigation into the governor’s reported ₦90 billion payments to contractors, emphasizing the need for transparency. “This staggering amount warrants immediate scrutiny, and we urge you to provide clarity on how this figure was determined and the basis for these payments,” he said. The PDP chairman added that transparent communication would strengthen public trust in the government, warning that ambiguity could erode citizens’ confidence.

The PDP’s statement suggests rising tensions over fiscal transparency between the current Labour Party-led administration and the previous PDP-led administrations. Amah’s challenge for clarity reflects broader concerns within the PDP about how the governor’s debt-clearing claims might affect public perceptions of the previous administration's financial conduct.

Governor Alex Otti’s administration has maintained that it inherited significant debt from prior administrations, which it has been steadily paying down as part of a comprehensive fiscal reform. Otti’s statements on debt reduction came during his monthly media engagement, “Dr. Alex Otti Speaks to Abians,” where he highlighted that his administration’s financial prudence has led to debt clearance without new loans. The governor further mentioned that, aside from debt reduction, his administration is actively investing in infrastructure, healthcare, education, and security initiatives.

This dispute has ignited a fresh debate within Abia State about government accountability and fiscal responsibility. As the PDP presses the current administration to substantiate its claims, the issue could shape the political landscape and voter confidence in Abia’s leadership.

For Abia residents and stakeholders, the outcome of this back-and-forth could hold significant implications for state transparency and fiscal policy moving forward.