The first quarter includes January, February, and March 2025.

A SaharaReporters' review of the Bauchi State budget performance document for the first quarter of 2025 shows that a total of N26.1billion was borrowed by the state government under Governor Bala Muhammed.

The first quarter includes January, February, and March 2025.

This means, on average, the Bauchi State Government borrowed N8.7 billion each month.

Of the total N26.1 billion borrowed, N17.1 billion came from domestic sources, while N9 billion was secured from international lenders.

This development comes despite the fact that only N4.9 billion was generated internally by the state during the first quarter of the 2025 fiscal year.

By implication, the state borrowed more than five times what it earned in the first three months of the year.

As of December 2024, Bauchi State ranked fifth among states with the highest domestic debt portfolio, with a domestic debt of N143 billion.

This development occurred even as debt servicing consumed N11.2 billion within the first quarter of the 2025 fiscal year.

The inadequacy of revenue—which likely forced the state government to borrow N26.1 billion in just three months—did not, however, prevent it from spending N793 million on “honorarium and sitting allowances” during the same period.
While the state spent N11.2 billion on debt servicing in Q1 2025, the purchase of fixed assets—including office furniture and fittings, health/medical equipment, agricultural equipment, and water facilities—cost only N4.5 billion.

Construction and provision of public schools accounted for just N1.162 billion, while the construction and provision of infrastructure stood at N3.9 billion—both less than the amount spent on debt servicing in the same quarter.

Further review of the state’s debt portfolio, released by the Debt Management Office, showed that Bauchi State’s external debt rose from $185.2 million in June 2024 to $186.8 million by December 2024.

This increase comes amid growing calls for state governments to reduce their reliance on loans as a revenue source.

Despite its rising debt profile, the 2025 budget approved for Bauchi State includes several controversial allocations.

The House of Assembly has earmarked N132 million for the purchase of 32 chairs and 32 tables, with each item priced at N2 million. This has raised concerns about financial mismanagement, especially in light of the state’s economic challenges.

The budget also includes N440 million for 20 motor vehicles designated for principal officers—equivalent to N22 million per vehicle. Additionally, two 32-seater Toyota buses are expected to cost the state N118 million—N59 million each.

Another N16.8 million is allocated for seven laptop computers, averaging N2.4 million per unit. In the offices of the Speaker and Deputy Speaker, N10 million has been set aside for a single photocopier, while N132 million is budgeted for six scanners, putting the cost per scanner at N22 million.