Former Vice President Atiku Abubakar has strongly criticised President Bola Tinubu’s proposal to secure $24 billion in external and domestic loans, describing it as reckless, unsustainable, and a threat to Nigeria’s economic future.
In a statement on Wednesday in Abuja, Atiku called the borrowing spree 'economic sabotage in plain sight,' warning that it would deepen Nigeria’s debt crisis.
The proposed loans include $21.54 billion, €2.19 billion, and ¥15 billion, which would increase Nigeria’s total public debt from ₦144.7 trillion to a staggering ₦183 trillion, over 60% of the country’s foreign exchange reserves.
Atiku stated, “This move comes while Nigeria’s debt burden is already at alarming levels. As of December 31, 2024, public debt stood at $94 billion (₦144.7 trillion). Since President Tinubu assumed office in 2023, public debt has jumped by 65.6%.”
He also highlighted that under the APC-led government since 2015, Nigeria’s debt has surged by 1,048%, from ₦12.6 trillion to ₦144.7 trillion.
He pointed to critical economic indicators, noting that Nigeria’s debt-to-GDP ratio has exceeded 50%, while the debt-service-to-revenue ratio stands at over 130%.
“This is not just unsustainable, it is immoral. The Tinubu administration is borrowing money not for development but to service existing loans, fueling a debt spiral that leaves nothing for infrastructure, education, healthcare, or jobs,” Atiku declared.
The former vice president accused the government of turning public finance into a 'Ponzi scheme,' where the country borrows to pay debt and then borrows again to pay interest.
“Nigeria is now caught in a vicious cycle that mortgages the future to pay for the past,” he warned.
Atiku called for immediate action to halt the borrowing plan, urging lawmakers, civil society organisations, the media, and the international community to intervene.
“We demand that this reckless borrowing plan be halted immediately. Nigeria must not be sold into debt slavery,” he said.
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