Anambra Details $123M External Debt Inherited from Peter Obi, Disproves N2.1Bn Ecological Fund Claim

The fiscal legacy of former Anambra State Governor Peter Obi has come under intense scrutiny once again.

In a detailed official statement issued by the Anambra State Commissioner for Information and Value Reorientation, Dr. Law Mefor, the administration of Governor Charles Soludo presented a breakdown challenging key financial claims made by the former governor regarding his 2006–2014 tenure.

The state government disclosed that it inherited eight distinct external loans totaling $123.77 million (currently valued at N127.4 billion as of June 30, 2026) from Obi’s administration. Furthermore, government officials disputed Obi’s long-standing assertion that he left over N2.13 billion untouched in a dedicated First Bank account for ecological projects.

Breakdown of the Inherited $123.77M External Debt

According to the statement released by Law Mefor, the eight multilateral loan facilities inherited from the Obi administration were contracted for multilateral state development initiatives, including:

• Malaria Control Booster Project

• Third National Fadama Development Project

• Health System Development Project II

• State Education Programme Investment Project (SEPIP)

• Community and Social Development Project (CSDP)

• Nigeria Erosion and Watershed Management Project (NEWMAP)

• Agricultural Value Chain Development Programme

The state government emphasized that while debt acquisition is not inherently negative—particularly when channeled into infrastructure and human capital—the state continues to spend hundreds of millions of Naira monthly servicing these legacy obligations.

“Hardly any government in the world has zero debt stock… The issue is not whether or not borrowing is good, but how debt is managed and accounted for.” — Law Mefor, Commissioner for Information and Value Reorientation

The N2.13 Billion Ecological Fund Controversy

A major point of contention involves a N2.13 billion Ecological Fund allocation.

Peter Obi previously stated that the Federal Government released N2.13 billion roughly three months before the end of his tenure in March 2014 to address the critical Oko/Umuchiana erosion crisis. Obi maintained that he intentionally left the entire sum untouched in a First Bank of Nigeria account (UNIZIK Branch, Awka) to ensure his successor, Willie Obiano, could execute the project.

What the State Government’s Investigation Revealed

The Soludo administration reported that it obtained certified bank statements for the specific First Bank account number cited by Obi (Account No: 2018779464). According to the government’s findings:

1. Account Classification: The account is designated as an Internally Generated Revenue (IGR) Consolidated Revenue Account, not a dedicated Ecological Fund account.

2. Missing Inflows: Certified banking records stretching back to the account’s opening in 2011 show no record of any N2.13 billion deposit or balance matching Obi’s description.

The state government challenged the former governor to provide official bank documentation or clarify where the funds were deposited if they did not enter the cited account.

Salary Arrears, Gratuities, and Legacy Savings Claims

The debate extends beyond external debt and ecological funding into pension liabilities and state reserves:

• Unpaid Teacher Arrears: The government stated that Obi’s administration verified and certified 16 months of salary arrears for primary school teachers but only paid 5 months, leaving 11 months unsettled.

• Water Corporation Staff: Salary arrears for retired workers of the state Water Corporation remained unpaid until recent interventions under the current administration.

• N75 Billion Savings Claim: The government questioned Obi’s claim of leaving N75 billion in cash and liquid assets, requesting verifiable public ledger entries rather than “creative accounting.”

Public Reaction and Political Implications

The clash over Anambra’s historical debt profile has drawn widespread attention across the political spectrum:

• Peter Obi’s Response: Obi rejected the claims as politically motivated, maintaining that his administration cleared over N35 billion in historical gratuities and left zero verified liabilities to certified contractors upon handing over in 2014. Representatives from his team indicated that a comprehensive counter-analysis will be published.

• Federal Commentary: Federal government representatives and political commentators have weighed in on the transparency dispute, highlighting the importance of verified public financial records.

Key Takeaways