During the Sub-National Debt Management Performance Assessment Methodology (SN DeMPA) training in Abuja, Mr. Emefiele emphasized the need for increased transparency and debt management capabilities at the state level. He acknowledged that progress has been made since 2007, including the establishment of Debt Management Units (DMUs) in all state governments and the Federal Capital Territory (FCT). However, challenges persist in borrowing management, debt recording, public financial management reform, and building debt management capacity.

Mr. Emefiele, represented by Dr. Mahmoud Hassan, the Director of Monetary Policy and a member of the Technical Committee of the Board of Governors of the West African Institute for Financial and Economic Management (WAIFEM), highlighted the incomplete legal, regulatory, and procedural frameworks for state borrowing. Insufficient capacity within state institutions hampers the effectiveness and efficiency of public debt management. He also emphasized the urgent need for sound debt management practices and increased capacity among subnational government agencies, given the growing size and risk exposure of state debt portfolios.

As of July 2019, only seven out of the 36 states had completed subnational debt management performance assessments (DeMPAs), highlighting the importance of addressing these issues. Mr. Emefiele emphasized that debt sustainability and transparency in debt processes have become global concerns, with countries becoming increasingly stringent in ensuring repayment capacity. While acknowledging the necessity of borrowing to bridge financing gaps in budgets, he emphasized the importance of managing resources and utilizing debts effectively. He stressed the need for cost-benefit analysis and transparent institutional frameworks at the state level.

Dr. Baba Musa, the Director-General (D-G) of WAIFEM, added that both national and subnational debts should be structured to facilitate easy analysis. He highlighted the significance of an organizational structure conducive to debt portfolio analysis, a clear legal framework, debt management objectives, authorization to borrow and issue loan guarantees, strategy development, accountability, reporting, and skilled staff capable of undertaking risk analysis. Dr. Musa also emphasized that debt management is a separate public policy area with its own objectives, focusing on raising necessary funds, achieving risk and cost objectives, developing the domestic debt market, and executing strategies.

The training, jointly organized by the CBN, WAIFEM, and the World Bank, aimed to address these challenges and promote transparent and effective debt management practices among state governments.

It said the non-performance of some stakeholders is adversely impeding the effective performance of the scheme.

The FCT Minister, Alhaji Muhammad Musa Bello, stated this in his address on Thursday while declaring open the 2022 NYSC National Governing Board Meeting with the 36 chairmen of the NYSC State Governing Boards, including FCT, held in Abuja.

He said NYSC is a strategic national institution that has continued to remain relevant by harnessing the potential of corps members for national development.

The Minister, who was represented by the Chairman, NYSC FCT Governing Board, and Mandate Secretary, Hajia Hadiza Muhammed Kabir, commended the performances of successive batches of corps members during national assignments like elections, immunization against polio, hepatitis, meningitis, population, and housing census among others.

He added the Federal Capital Territory Administration would continue to perform its statutory roles for NYSC.

“My administration has approved the construction of a new Permanent Orientation Camp in Kwali, while a new Secretariat Complex is also underway in pursuance of this administration’s determination to ease the operations of the Scheme in the FCT.

“I have also issued a directive against the prevalent challenge of Corps Members within the FCT so reduce the prevalent challenge of Corps rejection which is of a great challenge to the Management of the Scheme.

“May I reiterate that NYSC Scheme is the responsibility of governments at all levels and must not be in the care of only one,” the FCT Minister said.

Alhaji Bello stated further that one of the key responsibilities of all tiers of government is to ensure that youths are enabled with veritable platforms to contribute their quota to national development while also preparing them for future leadership roles.Alhaji Bello stated further that one of the key responsibilities of all tiers of government is to ensure that youths are enabled with veritable platforms to contribute their quota to national development while also preparing them for future leadership roles.

He added that NYSC provides the platform and should therefore be supported by all concerned stakeholders to achieve its mandate. He urged participants at the meeting to evolve strategic ideas that will elicit improved stakeholders’ performance in discharging their constitutional roles to the Scheme.