Sani Squares Up with El-Rufai over Kaduna’s High Debt Profile
John Shiklam writes on the recent outburst by Governor Uba Sani of Kaduna State over heavy debts inherited from his predecessor, Mallam Nasir El-Rufai and the role he also played in accumulating the debts.
The outburst by Kaduna state governor, Senator Uba Sani, on the huge debt profile of the state has confirmed rumours that all is not well between the governor and his friend and predecessor, Mallam Nasir El-Rufai. El-Rufai governed the state for eight years from 2015 to 2023 before handing over to his anointed successor, Sani
Indications that the relationship between the duo had broken town, manifested in December, 2023, when the former governor visited victims of the Tudun Biri mistaken drone bombing at the 44, Nigerian Army Referral Hospital, located a stone throw to the Government House, Kaduna.
Despite the proximity of the hospital to the Government House, El-Rufai did not visit the governor to condole him over the incident like other dignitaries who visited the community.
Reasons for the strained relationship between Sani and El-Rufai appear speculative. Some attributed it to disagreement over alleged overbearing influence by El-Rufai in the appointments of commissioners and other aides to the governor.
Others said the sour relationship is caused by scheming ahead of 2027 poll and the governor’s reported romance with El-Rufai’s political rivals, especially in the Presidency.
The governor’s outburst last Friday at a Town Hall meeting tagged, “The State of Kaduna State”, therefore did not come as a surprise to many.
Analysts say the Town Hall meeting, was not just about informing stakeholders about the heavy debt burden that is hampering the activities of the current administration, but to mobilise support for impending political supremacy fight between Sani and El-Rufai.
Addressing the meeting held at the Yar’adua Indoor Sports Hall, Murtala Square Kaduna and attended by traditional rulers, religious leaders, prominent citizens of the states, members of the Kaduna Elders Forum, top government functionaries, labour union leaders, civil society groups, among others, Sani lamented the crippling effect of the huge debts he inherited from the El-Rufai administration, saying it will be difficult for him to pay salaries of workers without borrowing.
“I stand before you today as your Governor to report on my stewardship thus far,” the governor said.
He told the stakeholders that, “Despite the huge debt burden of $587 million, N85 billion and N115 billion contractual labilities sadly inherited from the previous administration, we remain resolute in steering Kaduna state towards progress and sustainable development. We have conducted a thorough assessment of our situation and are sharpening our focus accordingly. It gladdened my heart to inform you that, despite the huge inherited debt on the state, till date, we have not borrowed a single kobo”.
He explained that, Kaduna state only receives N3.6 billion from federal allocation after a deduction of N7.2 billion for debt servicing.
“What we received from the federal allocation in Kaduna this month was N3.6 billion out of over N10 billion. The sum of N7.5 billion was deducted from our allocation to service debts. We cannot pay salaries without borrowing. Our salary bill is N5.2 billion. We will have to borrow N2 billion to be able to pay salaries.”
He said he had approached President Bola Tinubu for assistance and the President has promised to help.
“I have taken our cry to the President over these deductions. The President told me that the debt of $556 million is a World Bank debt and there is nothing he can do about it.
“He however promised to see how he could help us. Some of my governor colleagues have also promised to approach the President to assist Kaduna. In the next three months we will be collecting N3.6 billion from the federal allocation”, the governor said.
Besides the written text he read at the meeting, the governor took time to explain details of the challenges faced by his administration in Hausa language.
He said he swore with the Quran to be accountable to the people by telling them what he met, how much the state is owing and how much is spent on debt payments.
He disclosed that as a result of the financial difficulties, salaries and allowances of government officials and other appointees, including himself and his deputy were drastically slashed upon assumption of office on May 29, 2023.
“I told them (appointees) that we will not buy cars for them because we have no money to buy cars.
“We did not purchase cars for all the commissioners, including the deputy governor, myself and every other appointee. We adopted all these measures because we don’t have the money”, he said.
“I was made to understand that the deduction from our allocation will last for six years because the value of the dollar to the naira is high… the dollar was N460 (when the loan was taken), now the official rate of the dollar is N1,300’’, he noted.
Sani said everyday people bring papers for payments of contracts to the commissioner of Budget and Planning, adding some people were even abusing him for failing to complete the projects that were initiated.
According to him, “If I am to complete (the projects), I must pay N115 billion. We don’t have the money, that is the truth. What I am facing is payment of salaries.
“Even if we get some small money, I will use it to construct roads in rural areas so that our rural farmers will have roads to take their farm produce to the market”.
He said recent statistics had shown that 76 per cent of people in rural communities in Kaduna state are poor, stressing that his administration is determined to improve the living condition of rural communities.
“A construction company came to meet me, they asked me to pay them N40 billion, I asked them where do I see N40 billion? If I get N40 billion I will spend it on roads in rural areas,” he said.
The governor expressed disappointment that despite his appeal to contractors who have not been paid, especially the big companies, to be patient and continue working, they have packed their equipment and left the sites.
“I pleaded with them not to go, because they were still working in Zaria and Kaduna. In April 2023, before we came on board, they were paid N20 billion. That loan was taken from our IGR account, it was taken and given to Zenith Bank. Zenith bank deducts between N600 million and N700 million every month from our account”, Sani said.
He maintained that whatever maybe, at the end of the day, a decision must be taken.
According to him ,“those who ran away with our money, must be ordered to come and finish their work or be arrested
“Go to Zaria and Kafanchan, I was in Kafanchan for a programme, we drove with the governor of Bayelsa state, everywhere we drove was dusty. Why will you collect money in April, 2023 and you packed your things and left. Is that how contract is executed?”
Reasons for the strained relationship between Sani and El-Rufai appear speculative. Some attributed it to disagreement over alleged overbearing influence by ElRufai in the appointments of commissioners and other aides to the governor. Others said the sour relationship is caused by scheming ahead of 2027 poll and the governor’s reported romance with El-Rufai’s political rivals, especially in the Presidency. The governor’s outburst last Friday at a Town Hall meeting tagged, “The State of Kaduna State”, therefore did not come as a surprise to many. Analysts say the Town Hall meeting, was not just about informing stakeholders about the heavy debt burden that is hampering the activities of the current administration, but to mobilise support for impending political supremacy fight between Sani and El-Rufai.