Obi Reacts to Anambra Debt Controversy, Rejects $123.77m Liability Claim

Presidential candidate of the Nigeria Democratic Congress (NDC) and former Anambra State Governor, Peter Obi, has rejected claims that his administration left the state with $123.77 million in external debt, describing the figure as a combination of different development-financing categories.

Obi made the clarification in a statement on Friday, following a renewed controversy between him and the Anambra State Government over the financial obligations associated with projects implemented during his tenure as governor.

The Anambra State Government had said eight external financing facilities linked to projects undertaken during Obi’s administration had a combined contracted value of $123.77 million, with $92.35 million still outstanding as of June 2026.

But Obi said the figures should not be presented as loans personally obtained by him or as a conventional debt he left behind when he handed over power in March 2014.

According to him, the government had conflated three different figures: the total amount approved for multiyear development programmes, the amount actually drawn by Anambra and the balance outstanding when he left office.

He said the facilities were primarily World Bank and International Fund for Agricultural Development (IFAD) development programmes negotiated by the Federal Government and made available to participating states through subsidiary arrangements.

“The government has combined these distinct categories, added them together, and described the resulting US$123.77 million as ‘loans left by Peter Obi.’ That is an incorrect application of public-sector accounting,” Obi said. 

Obi further maintained that he did not approach any financial institution to borrow money or issue a bond on behalf of Anambra State throughout his eight years in office.

He recalled that the then Director-General of the Debt Management Office, Abraham Nwankwo, had described him at his farewell ceremony as the only state governor during Nwankwo’s 10-year tenure who had not approached the DMO for a loan facility.

The former governor also said he left office without unpaid salaries, gratuities or pensions, and without outstanding obligations to contractors or suppliers whose completed jobs had been verified and certified.

Obi questioned the figures attributed to Anambra’s external debt, citing DMO records which he said showed the state’s external debt at about $18 million when he assumed office in March 2006, about $30 million when he left office in March 2014, and approximately $45.15 million as of December 31, 2014.

He consequently challenged the state government to explain how the $123.77 million figure could be described as debt inherited from his administration when the state's recorded external debt was about $30 million when he left office.

‘I left over $150m in funds’

Obi also said he left more than $150 million as the dollar component of investments belonging to Anambra State when he handed over power.

He claimed the funds were expected to generate approximately $10 million annually for the state and argued that, had the funds remained untouched, the income could have been used to service any outstanding development financing.

He said that, based on his calculations, the investment and accumulated income could have risen to about $335 million.

Obi said the controversy should instead be resolved by examining each facility according to its approval, effectiveness, actual drawdown and repayment record.

He added that his response was intended to clarify the issue rather than engage in a prolonged political exchange with Governor Chukwuma Soludo.

“I will neither engage nor trade words with anyone regarding my tenure in Anambra State,” Obi said, adding that his focus would now be on issues affecting Nigerians, which he said was the reason for his presidential ambition. 

The former governor also said he had no disagreement with Soludo and declared that he would not seek the office of governor again, even if the Constitution were amended.