CALABAR — The Cross River State Representative on the Board of the Niger Delta Development Commission, NDDC, Rt. Hon. Orok O. Duke, has said the state’s domestic debt has declined by about N71.7bn since the beginning of Governor Bassey Edet Otu’s administration, alongside an increase in internally generated revenue.
Duke said the figures indicated a shift towards greater fiscal discipline under the Otu administration, which he described as a government confronting inherited liabilities while seeking to strengthen the state’s revenue base.
According to figures published by the Cross River State Government, the state’s domestic debt fell from approximately N204.05bn in June 2023 to N132.30bn by March 2026, representing a reduction of about N71.7bn. Cross River State News
Duke said the reduction was particularly significant because the administration inherited substantial financial obligations and had to contend with limited fiscal resources.
He attributed the development to the administration’s decision to prioritise the repayment of inherited obligations while resisting what he described as the temptation to finance government activities through additional borrowing.
The NDDC board member said the fiscal strategy was not merely about reducing the amount owed by the state, but about creating greater room for government to deploy resources towards development.
He said retiring existing obligations could progressively reduce the pressure of debt servicing on government revenue and provide greater fiscal space for infrastructure, education, healthcare, agriculture and other productive sectors.
Duke also pointed to growth in the state’s internally generated revenue as another indication of a changing fiscal position.
Figures cited by the Cross River State Government showed that the state’s IGR increased from about N21.1bn in 2022 to N31.56bn in 2023, while state fiscal records subsequently put independent revenue at about N46.3bn in 2024. Cross River State News
More recent figures released by the state government showed that Cross River’s IGR had risen to about N46bn by December 2024, compared with N22bn in December 2022. The government attributed the increase to tax automation, improved collection processes and expansion of the state’s revenue base. Cross River State News
The state government also said Cross River recorded N63.36bn in revenue against N48.01bn in expenditure in the first quarter of 2026, resulting in a reported balance of N15.35bn. Cross River State News
Duke said the combination of declining domestic debt and increasing internally generated revenue provided a basis for describing Governor Otu as a “restorer of hope” in the state’s economic management.
He said the administration’s fiscal approach was gradually moving Cross River away from a situation in which accumulated liabilities constrained the government’s ability to plan and invest.
However, the reduction in domestic debt does not mean that the state’s debt burden has been completely eliminated.
The state government’s recent account acknowledged that Cross River still had substantial foreign-denominated obligations, estimated at about $223m at the end of 2025. Cross River State News.
The state’s budget documents have also continued to provide for significant debt-service expenditure. Its 2025 budget implementation report, for instance, recorded expenditure on public debt charges, including domestic and foreign interest and principal repayments. Cross River State Government+1
Duke’s assessment therefore places the debt reduction within a broader fiscal strategy aimed at improving the state’s capacity to generate revenue and meet its obligations while creating room for development spending.
He said the emerging fiscal position could also strengthen the state’s ability to pursue investment in sectors such as agriculture, tourism, infrastructure and other areas identified by the administration as drivers of economic growth.
The NDDC representative said the ultimate significance of debt reduction would depend on whether improved fiscal capacity translated into sustained investment, productive economic activity and better services for residents.
The development comes as the Otu administration continues to emphasise greater financial independence for the state. In September 2026, the Cross River State Government said IGR was now covering about 30 per cent of its fiscal obligations, citing improvements in revenue collection and tax administration. Cross River State News
Duke said the figures should be viewed as part of an ongoing process rather than evidence that all of Cross River’s fiscal challenges had been resolved.
He maintained that reducing inherited liabilities while strengthening internally generated revenue remained necessary to create a more sustainable financial foundation for the state.
The figures, he added, showed that fiscal consolidation and revenue mobilisation could be pursued simultaneously as Cross River sought to improve its economic position.
