By JKNewsMedia
THE 19 NORTHERN states have reduced their domestic debt stock by 42.06 per cent, falling from ₦1.98 trillion to ₦1.14 trillion, according to the Federal Ministry of Budget and Economic Planning.
The decline was attributed to the economic reforms implemented by the administration of President Bola Ahmed Tinubu.
This was disclosed by the Minister of Budget and Economic Planning, Abubakar Bagudu, during a presentation to the Sir Ahmadu Bello Memorial Foundation at a two-day interactive session on government-citizen engagement held in Kaduna.
The session, themed Assessing Electoral Promises: Fostering Government-Citizen Engagement for National Unity, was attended by over 60 Northern political appointees, including Secretary to the Government of the Federation, Senator George Akume, and several ministers and governors from the region.
The minister explained that the debt burden of the 36 states and the Federal Capital Territory also dropped by 33.4 per cent, from ₦5.8 trillion to ₦3.8 trillion, under the current administration.
He attributed the improvement to what he described as “tangible benefits of macro-fiscal reforms” driven by Tinubu’s Renewed Hope Agenda.
“These results demonstrate the tangible benefits of macro-fiscal reforms. The Renewed Hope Agenda is delivering real value to citizens through improved subnational fiscal capacity,” he also noted.
The Tinubu administration at the centre remains committed to fiscal transparency, equitable distribution, and continued collaboration with states and LGAs,” Bagudu said.
Furthermore, he noted that Northern Nigeria had made more significant fiscal progress under the current administration, with states in the region benefitting from a substantial rise in federal revenue allocation and a simultaneous reduction in debt obligations.
According to Bagudu, the president’s fiscal reforms, including the elimination of the petrol subsidy, have expanded the Federation Account, which in turn allowed for higher statutory revenue disbursements to state and local governments.
He also disclosed that statutory and VAT allocations to subnational governments, excluding electronic money transfer levies, foreign exchange gains, and other augmentations, rose sharply from ₦458.81 billion in May 2023 to ₦991.81 billion by June 2025. This represented a ₦533 billion increase or 116.17 per cent.
“By ending the fuel subsidy, President Tinubu made a hard but necessary call, liberating trillions of naira to expand federal allocations by over 340 per cent. States now have the means to invest in their future,” the minister said.
Bagudu provided examples of how specific states in the North had benefitted from the new fiscal regime. Gombe State, he noted, saw its monthly allocation rise from ₦6.69 billion in May 2023 to ₦24.91 billion in 2025, an increase of 272.35 per cent.
Kaduna State’s allocation rose from ₦11.94 billion to ₦42.01 billion, marking a 251.84 per cent jump.
Regional analysis of the increases showed a 145 per cent rise in revenue for North Central states, 149 per cent for North-East states, and 143 per cent for those in the North-West.
“These show how removing subsidies and enhancing revenue-sharing mechanisms have directly benefited State Governments, enabling them to fund their development priorities,” Bagudu stated.
He explained that domestic debts of subnational governments also dropped due to the influx of additional revenues into the Federation Account, which provided state governments with stronger fiscal positions.
Highlighting key federal projects in the North, Bagudu listed major infrastructure initiatives such as the Sokoto-Badagry Superhighway, dualisation of the Kano-Maiduguri Road, Sokoto-Gusau-Funtua-Zaria Highway, Abuja-Keffi-Makurdi Road, Ilorin-Jebba-Minna Road, Abuja-Lokoja Road, Kano-Katsina Road dualisation, Abuja-Kaduna-Kano Expressway, and several others.
He also referenced the ongoing Kaduna-Kano Railway, Light Rail Projects in Kaduna, Kano and the FCT, as well as the AKK Gas Pipeline, emphasising that these infrastructure developments are critical for unlocking regional economic growth.
On healthcare, Bagudu said the Tinubu administration had revitalised 1,003 primary healthcare centres in two years and constructed 10 upgraded medical warehouses in the Northern region. Federal medical centres and teaching hospitals in Katsina, Bauchi, Yobe, Borno, Zaria, Adamawa, Kebbi, Taraba, and Kano also received significant upgrades.
He highlighted achievements under the MAMII programme, including 13.1 million antenatal visits, 4.2 million safe deliveries, 4,000 free Caesarean sections, and nutritional support to six million women.
“This is not charity. It is health justice delivered with intent,” he stated.
Bagudu concluded that Tinubu’s administration was committed to equitable governance across all regions, stressing that Renewed Hope legacy projects had been evenly distributed nationwide.
The two-day event in Kaduna assessed how far the administration had fulfilled the electoral promises made during the 2023 campaign, with particular attention to the Northern region’s development priorities.
