Delta State Is Most Indebted In Niger Delta With N378B

With a debt profile of N378,878,236,830.75, Delta State is the most indebted of the six states of the South-South geopolitical zone. The zone also hosts the major oil bearing states in the country, including Delta, Rivers, Bayelsa, Akwa Ibom, and Edo States. Rivers State follows with a debt profile of N225,505,011,356.83.
These figures contained in June 2022 release by the Debt-Management Office DMO, is generated from the signed off domestic debt data from the 36 states and the Federal Capital Territory, FCT.
Leading the pack nationwide is Lagos State with a domestic debt profile of N797,305,312,602.52. Other states in the South-South are Bayelsa State N150,430,380,961, Cross River N176,086,197,586.13 Edo State N112,118,158,473.68 and Akwa Ibom N203,951,611,822.07.
The total national domestic debt released by the DMO stands at N42.8 trillion.
These figures rarely take up consideration in public discussion about how the finances of states in the region are managed. However, the dwindling economic fortunes of the country, which manifest in growing poverty in homes across the region has compelled more persons to take more than a passing interest in finances of the state. Israel Dimkpa, who runs a poultry and fairly large plantain farm outside Port Harcourt noted that, ‘Rising debt is a cause for concern to us as business persons. It means that monies that should be deployed to pressing issues like support to the business sector, will end up going to service debts. I’m personally concerned also, as these huge monies quoted have not translated to creating employment opportunities among the youth’
A large percentage of the states debt is based in borrowing to facilitate capital projects. Delta State and Rivers have recently embarked on the commissioning of massive projects. Delta State has a new secretariat among others commissioned, while Governor Nyesom Wike has invited several political friends including opposition political figures to commission some of the 12 road and bridge projects that have left citizens of the state wondering the place as part of human capital development in the governance mix.
In addition to high debt profile of some of the states, a growing unemployment rate among the youths, paints a baleful picture of the quality of governance in these states.
Rivers State has witnessed a steady rise in its unemployment profile, with its current unemployment figure at 4.182%. Akwa Ibom State is next at 36.56%, while Bayelsa State is third at 30.36%