The Buhari Administration has extended more than N1.9 Trillion to State Governments, to enable them meet their salary and pension obligations, especially in the face of dwindling oil revenues over the last two years.

The support has come in the form of the following:
o Budget Support Facility (Total of N606.55 billion extended to the States as of May 2018; in exchange for reforms in budgeting, IGR, debt management, overheads, etc.

o Paris Club Refunds

o Infrastructure Loans

o Loan Restructuring for Facilities with Commercial Banks: In 2015, the DMO restructured Commercial Bank loans with a total value of N575.516 billion for 23 States to reduce the debt service burden on the states.
In exchange for their loans to State Governments, the banks were issued 20-year FGN Bonds at a yield of 14.83% per annum. The Restructuring Exercise benefited the States through:

Reduction in the monthly debt service burden of States from between 55% to 97% for various States;
Interest rate savings for the States ranging from 3% to 9% per annum; Longer repayment period for the loans now converted into Bonds; and, Freeing up of needed cash to run the machinery of Government.