The Anambra State government has released a document showing the approval of N363.381m as the second tranche of salary arrears to workers, pensioners, and next of kin of the defunct Anambra State Water Corporation and the Anambra State Environmental Protection Agency. The document, dated May 24, 2025, was signed by the then Head of Service, Dame Theodora Okwy Igwegbe, and addressed to Governor Chukwuma Soludo. This development is part of the ongoing debt controversy surrounding Nigeria Democratic Congress presidential candidate, Peter Obi.

Peter Obi had insisted on Arise TV's Prime Time program that he left Anambra State without unpaid salaries, gratuities, or pensions. However, the Anambra State New Media Office countered that Obi left unpaid debts, citing the release of the document as evidence. The office posted on X, highlighting that the Soludo administration paid the first tranche of state workers' entitlements, which Obi allegedly left unpaid during his eight years as governor.

The document sought approval for the release of N363,381,000 for the payment of the second tranche of salary arrears under an out-of-court settlement between the state government and the Amalgamated Union of Public Corporations, Civil Service, Technical and Recreational Services Employees. The payment was part of the terms of settlement reached on February 6, 2024, concerning arrears owed to workers, pensioners, and next of kin of the defunct Water Corporation and ANSEPA.

Peter Obi had denied allegations that about $123.77 million in external loans associated with projects during his tenure as Anambra governor remained outstanding. Obi argued that the figure conflated approved facilities, actual drawdowns, and outstanding balances. He claimed that he did not approach any financial institution to borrow money or issue a bond on behalf of Anambra State during his tenure.

Obi cited a statement attributed to the former Director-General of the Debt Management Office (DMO), Abraham Nwankwo, who described him as the only governor during Nwankwo's 10-year tenure who had not approached him for a loan facility. Obi maintained that he left office on March 17, 2014, without unpaid salaries, gratuities, or pensions, and without outstanding payments to contractors or suppliers whose completed works had been verified and certified.

The Anambra Government had maintained that eight external loan facilities associated with projects during Obi's tenure had a combined contracted value of about $123.77 million, with $92.35 million outstanding as of June 30, 2026. The state attributed the figures to records from the DMO. Obi questioned how the $123.77 million figure could represent the debt he allegedly left behind, citing DMO figures which put Anambra's external debt at about $18 million when he assumed office in March 2006.

Obi reiterated his claim that he left more than $150 million as the dollar component of his investment in Anambra State when he left office. He argued that even if the state's claim of a $123 million debt were accepted, the income from the funds he said he left behind would have been sufficient over the years to settle the obligation. The debt controversy between Obi and the Anambra State government continues to deepen.

Key points

  • The Anambra State government released a document showing the approval of N363.381m as the second tranche of salary arrears to workers, pensioners, and next of kin of the defunct Anambra State Water Corporation and the Anambra State Environmental Protection Agency.
  • Peter Obi denied allegations that about $123.77 million in external loans associated with projects during his tenure as Anambra governor remained outstanding.
  • Obi claimed that he left more than $150 million as the dollar component of his investment in Anambra State when he left office.

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SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.