…as Aiyedatiwa slashes N61bn off debts, leading in fiscal recovery

• State’s domestic debt dropped by 82.6% in one year -DMO
• ‘Salaries, gratuities, contracts get top priority’

By Adedotun Ajayi

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Less than a year after taking the reins of leadership, Governor Lucky Aiyedatiwa has repositioned Ondo State on the path of financial recovery, setting a new standard in economic discipline and public sector management.

The governor’s approach, which prioritises fiscal responsibility and prudent governance, has not only led to the massive reduction of the state’s domestic debt burden but also revived stakeholders’ trust in government and catalysed renewed interest among investors.

This is contained in a statement issued by the Chief Press Secretary to the Governor, Prince Ebenezer Adeniyan, on Saturday.

According to the statement, the latest data released by the Debt Management Office (DMO) ranks Ondo State as the most financially disciplined sub-national government in Nigeria.

The state, reportedly slashed its domestic debt by 82.6 per cent — from N74 billion in 2023 to N12 billion in 2024 — within a short period under Aiyedatiwa’s leadership.

The statement said, “Data from the Debt Management Office (DMO) on states’ debt comparison between 2023 and 2024 showed Ondo State at the top in reducing domestic debt in one year.

“The record shows that Ondo State, under Governor Aiyedatiwa, reduced its domestic debt from N74billion in 2023 to N12billion in 2024, a difference of N61billion and a percentage of 82.6.

” Governor Aiyedatiwa’s administration accomplished this by implementing sweeping cost-control measures without halting public services or sacrificing workers’ welfare.”

Beyond the figures, experts point to the deliberate policy direction that made this feat possible.

Upon assuming office in December 2023, Aiyedatiwa embarked on a series of bold economic reforms. Top on the agenda was the clearing of unpaid salaries, pensions, gratuities and contractors’ arrears inherited from past administrations.

These measures, though tough, were carefully implemented without disrupting essential services or compromising workers’ welfare.

“In the first quarter of 2024, Ondo State recorded a N55.1 billion reduction in domestic debt — representing 77 per cent of its total debt as at December 2023 — moving from N71.5 billion to N16.4 billion. This placed the state just behind Jigawa in Q1’s national ranking, further cementing its new reputation for fiscal integrity,” the statement stated.

Analysts believe the financial reengineering efforts have stabilised the state’s economy, with ripple effects already being felt across key sectors.

The administration’s ability to drastically reduce debt while maintaining service delivery and labour harmony has earned it accolades from economic watchers and policy analysts alike. Residents also attest to improved public trust and administrative efficiency.

The achievement was described as a product of strategic thinking and firm leadership.

“Governor Aiyedatiwa has proven that with transparency and dedication, it is possible to restore confidence in governance. Ondo State is now a symbol of what fiscal responsibility looks like,” it added.