The Oyo State Government has dismissed claims by the All Progressives Congress (APC) that Governor Seyi Makinde’s administration recently secured a ₦300 billion “fresh loan,” describing the allegation as false, misleading, and a sign of “ignorance and absentee lawmaking.”
In a statement issued on Thursday, the government clarified that what the Oyo State House of Assembly approved was a financing arrangement consisting of ₦149 billion for loan refinancing and ₦151 billion for infrastructure investment and contractor financing.
The government stressed that loan refinancing does not amount to fresh borrowing but rather a responsible financial strategy to reduce repayment burdens by replacing costlier debts with facilities on better terms. It added that contractor financing was designed to fund ongoing and new projects without stifling government cash flow.
“It is mischievous for the APC to call this a new loan. Refinancing is not new borrowing. It is prudent financial management. Contractor financing ensures projects are completed on time without choking the government,” the statement read.
The government also took a swipe at the APC lawmaker who reportedly raised the allegation, accusing him of “habitually shunning plenary sessions” and misinforming the public out of desperation.
According to the statement, the lawmaker’s claim that Oyo State’s allocation from the Federation Account Allocation Committee (FAAC) rose by 500 per cent was not only false but also showed “poor understanding of basic arithmetic.” The government clarified that the increase was about 75 per cent, not 500 per cent.
The Makinde administration further contrasted its record with the APC’s eight years in power, during which it alleged Oyo was reduced to a “civil service state” with unpaid salaries, abandoned projects, and huge debts.
“Today, Oyo’s Internally Generated Revenue (IGR) has grown from ₦20 billion annually in 2018 under the APC to over ₦70 billion in 2025 — without burdening citizens with new taxes,” the statement said.
It added that the new financing arrangement would accelerate development through legacy projects such as the Phase 2 of the 110km Rashidi Ladoja Circular Road, the Samuel Ladoke Akintola Airport upgrade, and the construction of feeder roads across all zones of the state.
While accusing the APC of hypocrisy and reckless propaganda, the state government emphasized that its financial policies had been commended by international development partners, including the World Bank.
Governor Seyi Makinde, the statement concluded, remains committed to transparency, accountability, and investments that will make Oyo State “self-sustaining, competitive, and prosperous.”
