Okpebholo Denies ₦100 Billion Loan Allegation
Inside Edo
Benin, Edo — The Edo State Government has strongly refuted claims by political opponents that Governor Senator Monday Okpebholo’s administration secured a ₦100 billion loan, describing the reports as deliberate misinformation aimed at undermining its governance.
In an official statement issued by Hon. Haruna Braimoh, Special Adviser on Public Affairs and Media to the Governor, the government emphasized that no such loan was obtained by the state. Instead, in June 2025, the administration served as a guarantor for a contractor financing facility to support critical infrastructure projects.
“The Edo State Government did not obtain a ₦100 billion loan,” the statement read, noting, “The State acted as a strategic financial guarantor for contractors executing key projects. The Governor sought and received approval from the Edo State House of Assembly as required by law.”
Under the arrangement, approved contractors access funding directly from financial institutions, with the state providing a guarantee to facilitate the process, as the contractors remain primarily responsible for project execution and repayment obligations.
The government does not receive or draw down the funds.
The statement stressed that portraying the guarantee as a direct loan to the state is inaccurate and irresponsible. It urged the public to verify information through official channels rather than politically motivated narratives.
The Okpebholo administration inherited a substantial debt burden of nearly ₦700 billion from the previous government. Despite this, it has prioritized repayments and fiscal responsibility.
Since taking office, the government has repaid over ₦30 billion in domestic debts and approximately $47 million in foreign obligations. These efforts, according to the statement, demonstrate a commitment to reducing the debt profile while advancing developmental projects without additional borrowing that would increase the state’s liabilities.
The administration called on political actors to engage in responsible discourse focused on facts and the collective interest of Edo people, reaffirming its dedication to transparency, accountability, and sustainable development.
The controversy stems from the Edo State House of Assembly’s approval of the ₦100 billion facility in June 2025, which opposition figures framed as a loan.
The government’s clarification highlights it as a structured financing mechanism to accelerate infrastructure without direct state borrowing.
Stakeholders have expressed mixed views, with some praising the move for enabling project execution amid fiscal constraints, while critics question the long-term implications of the guarantees.
Governor Okpebholo’s team maintains that this approach aligns with prudent economic management and supports ongoing infrastructure improvements across the state.
