In a surprise emergency session, the Benue State House of Assembly on Friday approved Governor Hyacinth Alia’s request to obtain a ₦100 billion term loan, a move that has drawn fierce criticism from the state’s Peoples Democratic Party (PDP).
The loan approval came after Speaker Alfred Emberga read a letter from the Secretary to the State Government, outlining plans to use the funds for major infrastructure projects.
Among the stated purposes are; renovation and equipping of 23 general hospitals, Construction of science-specialist schools across the state, Completion of ongoing roads, bridges, and electrification works as well as establishment of skills acquisition centres and smart schools.
Others are; Upgrades for tertiary institutions and the Benue State University of Agriculture, Ihugh (IHUGH), Additional works across arterial corridors in Makurdi, Gboko and Otukpo.
The borrowing is structured as a 48‑month loan, with repayment expected from federal promissory notes and allocations via FAAC/IGR.
The PDP, through its Benue State Publicity Secretary, Tim Nyor, publicly denounced the approval as “reckless and insensitive” given the fragile economic conditions faced by citizens.
The party called for a reversal, urging the assembly to act as a check on the executive rather than a rubber stamp.
They questioned the timing, transparency, and implied fiscal risk of adding such a heavy debt burden to the state’s books without clear accountability mechanisms.
In response to mounting scrutiny, a spokesman for Governor Alia had earlier affirmed that his administration has not taken any new loans since assuming office in May 2023.
The government points out that spending on external loan servicing, reported at ₦4.53 billion between June 2023 and June 2024, was for obligations inherited from previous administrations, not fresh borrowings.
