The Anambra State Government says deductions are being made from its monthly Federation Account Allocation Committee (FAAC) revenue to service loans it says were obtained during the administration of former Governor Peter Obi.

The Commissioner for Information and Value Reorientation, Law Mefor, disclosed this on Friday while speaking on a television programme as the dispute over the state’s financial position under Obi continues.Mefor said the loans were among eight external facilities obtained during Obi’s tenure and guaranteed by the Federal Government.

He stressed that the guarantees did not turn the facilities into grants, adding that the state remained responsible for repayment. The Anambra Government has put the value of the facilities at about 123.7 million dollars, with an outstanding balance of about N127.4 billion as of June 30, 2026, based on figures it attributed to the Debt Management Office.

He said the facilities were obtained to finance development projects and maintained that state governments had the option of participating in the lending programmes.

Mefor cited the Chukwuma Soludo administration’s decision not to participate in the World Bank-backed Nigeria CARES programme as an example of such a choice.

The latest claim follows an earlier disclosure by the state Commissioner for Finance, Izuchukwu Okafor, that Anambra was still servicing loans inherited from previous administrations, including those of Obi and former Governor Willie Obiano.

Okafor said the Soludo administration had not obtained any commercial bank loan since assuming office and that some repayments were deducted directly from the state’s federal allocation.

Obi has consistently denied leaving Anambra with outstanding debts or unpaid salaries, pensions, gratuities and contractor obligations when he left office in 2014.

He has challenged the state government to provide evidence to support its claims and said he would abandon his 2027 presidential campaign if it could establish that he left the state in debt.

The disagreement has now centred on the interpretation of the state’s loan records, with the Anambra Government maintaining that outstanding obligations from loans contracted during previous administrations are still being repaid, while Obi disputes the characterisation of his financial record.