Oyo governor under fire for ₦93.4bn borrowing in 3 months

DDM News

(DDM) — Governor Seyi Makinde of Oyo State has come under heavy criticism following revelations that his administration borrowed ₦93.4 billion within just three months, almost twice the state’s internally generated revenue (IGR) for the first half of 2025.

The figure was obtained from the Oyo State budget performance document for the second quarter of 2025, reviewed by DDM.

According to the report, the entire ₦93.4 billion was sourced from domestic lenders between April and June this year.

In contrast, there was no record of borrowing in the first quarter of 2025, spanning January to March.

Official records show that Oyo State’s IGR from January to June stood at ₦47.4 billion.

This means the second quarter borrowing is nearly double what the state could generate in six months.

In the same period, the government spent ₦18.6 billion servicing public debt.

DDM also reports that amid the increased borrowing, Governor Makinde’s cabinet approved a controversial ₦63.4 billion for the renovation of Government House facilities in Ibadan.

Commissioner for Information and Orientation, Dotun Oyelade, defended the project, stating that the Government House had become an embarrassment to the state.

He added that for over six years, both the Governor and his deputy had opted to live in their private homes due to the poor state of the official residences.

Critics, however, argue that the renovation is ill-timed and insensitive, especially in a state battling significant infrastructural and human development challenges.

A comparison of the state’s 2025 budget shows that the entire allocation for the Ministry of Health is ₦59.4 billion.

This means more is being spent on renovating government buildings than on healthcare for millions of residents.

Further breakdown reveals that the ₦63.4 billion could drill 12,680 boreholes across the state, based on the state’s own ₦5 million per borehole estimate.

Similarly, the state budgeted ₦2 million per toilet, implying that the same amount could fund 31,700 toilet facilities for communities in need.

For health centres, Oyo earmarked ₦822 million to rehabilitate 20 centres, meaning the Government House budget could rehabilitate 1,540 centres if redirected.

Data from the National Bureau of Statistics further highlights the urgency of Oyo’s social needs.

Currently, 57% of households in the state lack access to clean drinking water.

Additionally, 79% do not have access to basic sanitation facilities, placing Oyo among the states with the worst development indicators in the country.

Analysts say the decision to borrow heavily and commit vast sums to elite projects like the Government House signals a disconnect from the realities of ordinary citizens.

They warn that without urgent course correction, the state may face deeper debt crises and worsening human development outcomes.

Many are now calling on Governor Makinde to reassess his fiscal priorities and commit to inclusive development.

As Oyo’s debt rises and its people face water, sanitation, and healthcare challenges, observers say leadership choices in the coming months will define the legacy of the administration.

DDM will continue to monitor the situation as reactions pour in from civil society, opposition figures, and concerned residents.

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