A recent document has surfaced indicating that the loan obligations of Osun State, under the leadership of Governor Ademola Adeleke, have escalated to N10.5 billion within just 19 months. This revelation has sparked significant debate and concern among stakeholders regarding the financial management and fiscal policies of the state government.
The document highlights a series of loans purportedly taken by the state government, which some sources claim were necessary to finance ongoing development projects and infrastructure improvements across Osun State. Critics argue that the rising debt levels could have long-term implications for the state's financial stability and economic growth.
In response to these claims, Governor Adeleke's administration has categorically denied any wrongdoing. The state’s Information Commissioner, Oluomo Kolapo Alimi, reiterated that since assuming office in November 2022, the governor has not approved any new loans. He emphasized that all ongoing projects are funded through federal allocations and internally generated revenues, not through new borrowing.
Alimi stated, “The administration is committed to a frugal approach in managing state resources while ensuring that essential projects continue to benefit our citizens. Any allegations suggesting otherwise are unfounded and misleading.” He further clarified that many of the projects referenced in the report were part of existing agreements with international partners like the World Bank, which were inherited from previous administrations.
The controversy surrounding Osun State's financial management raises important questions about transparency and accountability in governance. As stakeholders seek clarity on the state's fiscal policies, it is crucial for the Adeleke administration to provide comprehensive information regarding its financial strategies and commitments to sustainable development.