IBADAN — The Oyo State House of Assembly’s approval of a N300 billion loan request from Governor Seyi Makinde has ignited a political firestorm, with opposition lawmakers, the APC, and civic groups raising alarm over the state’s rising debt profile.
The controversy was triggered by Hon. Ibraheem Shittu, APC lawmaker representing Saki West, who publicly disowned the loan approval, claiming it was perfected during an “emergency sitting” while the House was on recess.
“I was not among the lawmakers who approved a loan of 300 billion naira on August 19, 2025. The House is on a six-week recess, yet an emergency session was held without informing all members,” Shittu said, questioning why the state would borrow despite a reported 500% rise in federal allocations.
His objections have since drawn mixed reactions across political divides.
Assembly Fires Back: “Shittu Is Ignorant, Rarely Attends Plenaries”
The House, in a joint statement by Majority Leader Sanjo Adedoyin and Information Committee Chairman Waheed Akintayo, dismissed Shittu’s claims as “falsehood.”
According to the Assembly, the emergency plenary was properly communicated, and the loan comprises N149 billion to refinance an existing UBA facility and N151 billion for infrastructure and contractor financing.
“It is not only unfortunate but shameful that a serving member of the Assembly would resort to lies for cheap political relevance. Hon. Shittu rarely attends plenaries, budget presentations, oversight visits, or committee work. He has failed his constituents,” the statement read.
APC Raises Alarm: “Makinde Borrowed N610bn in 8 Months”
The state’s APC chapter, in a counter-statement by its spokesperson Wasiu Olawale Sadare, warned that the loan could collapse Oyo State before 2027.
“The fresh N300 billion loan was the third this year alone — after N200 billion in March and another N110 billion French Treasury loan in July, making N610 billion in just eight months. With over N180 billion in allocations and IGR already received in 2025, the people cannot feel the impact. This is a heist,” the APC said.
Government Defends Loan: “This Is Strategic Financing, Not Recklessness”
Governor Makinde’s media aide, Dr. Sulaimon Olanrewaju, defended the approval, insisting the facility was a blend of refinancing and project funding to accelerate growth.
“There is no N300 billion new loan. Refinancing replaces an old, expensive debt with better terms, while contractor financing ensures critical projects — from Circular Road to airport upgrades — are delivered on time. Makinde raised Oyo’s IGR from N20bn in 2018 to N70bn in 2025 without burdening citizens. That is transparency, not recklessness,” he argued.
Civil Society, APC Chieftain Add Their Voices
The Concerned Youth Movement (CYM) condemned the lawmakers for “mortgaging the future of unborn generations,” describing the loan approval as disrespectful to the electorate.
Meanwhile, APC chieftain Barr. AbdulWaheed Olatunde Lawal urged the party to rally behind Hon. Shittu, warning of threats to his safety. He called on the APC leadership to involve the police and DSS to prevent harassment or unlawful arrest of the lawmaker.
“The eyes of the public are on the APC. How we handle this matter will define our party’s true character in Oyo State,” Lawal said.
With the controversy deepening, Oyo’s financial future — and Governor Makinde’s legacy — may hinge on whether the N300 billion facility translates into visible development or adds to the state’s mounting debt burden.
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