Did Peter Obi Leave $123.7 Million in Debt in Anambra State?
A political debate has re-emerged regarding former Governor Peter Obi’s financial management during his tenure as Governor of Anambra State. While Obi has long maintained that his administration left office without debt, the current Anambra State Government, led by Governor Charles Soludo, claims that eight external loan facilities were contracted during Obi’s term, leaving behind significant long-term financial commitments.
An analysis of historical records from Nigeria’s Debt Management Office (DMO) and official handover documents clarifies what the data actually reveals about the state’s debt profile during that period.
The Official DMO Records (2006 – 2013)
Data published by the DMO shows that Anambra State’s external debt increased during Peter Obi’s tenure (2006–2014), though the totals remain significantly lower than the $123.77 million figure recently cited by state officials.
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December 2006: $16.87 million (Shortly after Obi assumed office)
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December 2007: $15.19 million
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December 2008: $18.89 million
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December 2009: $17.31 million
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December 2010: $21.30 million
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December 2011: $24.45 million
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December 2012: $26.71 million
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December 2013: $30.32 million (The final DMO report prior to Obi’s departure in March 2014)
By December 2013, Anambra ranked 31st out of Nigeria’s 36 states and the Federal Capital Territory in external debt, making it the sixth-lowest external debtor state in the country at that time.
Understanding the Gap in the Figures
The difference between the published DMO figures and the current state government’s claims comes down to three key factors:
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Approved Loan Facilities vs. Drawn Down Funds: The $123.77 million claim includes multilateral loan commitments negotiated or approved during that era, whereas DMO reports only record funds that were actually drawn down and disbursed as active external debt at a given point in time.
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The Handover Timeline: The DMO publishes debt figures biannually (June and December). The December 2013 report showed $30.32 million. By June 2014—three months after Obi handed over to Willie Obiano—the state’s external debt reported by the DMO had risen to $41.45 million.
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Liabilities vs. Debt Obligations: Obi has consistently stated that his administration left no outstanding liabilities regarding contractor payments, civil service salaries, pensions, or gratuities, pointing to savings and investments left behind. The current administration, however, categorizes long-term concessionary development loans—such as those from the World Bank—as active liabilities inherited by subsequent governments.
Key Takeaways
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External debt grew, but remained low nationally: Anambra’s external debt grew by approximately 80% between 2006 and late 2013, but the state remained among the least indebted in Nigeria.
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DMO data does not match the $123.7M figure: DMO active debt records for the period show a maximum of $30.32 million disbursed as of December 2013.
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The distinction matters: Distinguishing between contracted multilateral credit lines and actual disbursed debt is critical to evaluating the state’s true balance sheet at the time of handover.
