The Taraba state government has rejected claims that the state is currently burdened with about N1.2 trillion in debt, saying the figure does not accurately reflect its financial position.

Commissioner of Finance Sarah Adi said public discussions about Taraba’s finances should distinguish between existing debt, approved credit facilities, outstanding balances and financing arrangements that have not yet been disbursed.

According to the latest publicly available Debt Management Office (DMO) data, Taraba’s domestic debt stood at about N85.51 billion as of December 31, 2025.

The commissioner noted that the figure was approximately N2.45 billion lower than the N87.96 billion domestic debt recorded in DMO data available before Governor Agbu Kefas assumed office.
She also clarified that the DMO’s March 2023 publication reflected Taraba’s debt position as of September 30, 2022, rather than the state’s position at the time the publication was issued.

On external debt, Taraba’s obligations rose from about $46.47 million as of December 31, 2022, to approximately $48.04 million as of December 31, 2025. The government described the increase as relatively modest while acknowledging foreign-exchange risks.

The government also addressed the N206.78 billion commercial bank financing facility approved by the state House of Assembly in 2023. The facilities involved Zenith Bank, United Bank for Africa, Fidelity Bank and Keystone Bank and were backed by designated revenue streams.

It stressed that the original approved value of a credit facility should not automatically be treated as the state’s current outstanding debt because repayments and restructuring may have changed the amount actually owed.

The commissioner explained that the true outstanding liability can only be determined by considering how much was actually drawn, repayments made, restructuring and the current balances on the facilities.

The government also dismissed claims that Taraba had already received N350 billion under a proposed capital-market financing programme. It said the programme remained subject to regulatory, statutory, market and disclosure requirements.

According to the commissioner, the programme is intended to raise funds in stages, with an initial tranche of about N35 billion under consideration.

 Therefore, the full N350 billion programme size should not be regarded as money already received or as an existing drawn liability.

The administration further clarified three financing agreements worth about $268 million signed with the ECOWAS Bank for Investment and Development (EBID) on June 26, 2026. The funds are intended for an integrated industrial park, irrigated rice production and processing, and a 50-megawatt solar power project.

However, the government stressed that signing financing agreements does not mean the funds have been immediately disbursed. The facilities remain subject to conditions precedent, regulatory procedures and statutory approvals before any drawdown.

The government identified four categories that should be considered separately when assessing Taraba’s finances: existing debt stock, approved facilities, outstanding balances, and proposed or undisbursed financing. It warned that adding the headline figures from all four categories together would create a misleading picture of the state’s debt.

The Kefas administration said its borrowing policy is guided by development needs, repayment capacity, transparency and accountability. It pledged to comply with relevant borrowing and disclosure requirements while encouraging stakeholders to examine actual drawdowns, repayments, outstanding liabilities, financed projects and the state’s ability to service its debts.