Yemi Obafemi
Former Vice President Atiku Abubakar has described the latest loan request by the administration of President Bola Ahmed Tinubu, as a “reckless and dangerous move” that threatens Nigeria’s economic stability and the future of its citizens.
In a statement on his X handle on Thursday, Atiku criticized the federal government’s plan to secure fresh external and domestic loans totaling over $24 billion. The proposed borrowings — $21.54 billion, €2.19 billion, and ¥15 billion — represent more than 60% of Nigeria’s current foreign exchange reserves and would raise the country’s total public debt from ₦144.7 trillion to a staggering ₦183 trillion.
“This borrowing spree is not just unsustainable — it is immoral,” Atiku said. “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.”
Citing data as of December 31, 2024, Atiku noted that Nigeria’s public debt stood at $94 billion (₦144.7 trillion), already at what many economists consider unsustainable levels. Since Tinubu assumed office in 2023, he said, public debt has increased by 65.6%. Under the All Progressives Congress (APC)-led administration since 2015, debt has reportedly surged by 1,048%, growing from ₦12.6 trillion to its current level.
Atiku further warned that the country’s debt-to-GDP ratio has now exceeded 50%, while the debt-service-to-revenue ratio stands at over 130%, indicating the government spends significantly more on loan repayments than it generates in revenue.
“This addiction to borrowing, entrenched under the APC-led administration and now accelerated by President Tinubu, has turned public finance into a Ponzi scheme — borrowing to pay debt, then borrowing again to pay interest,” Atiku stated. “Nigeria is now caught in a vicious cycle that mortgages the future to pay for the past.”
Calling the loan plan “economic sabotage in plain sight,” the former vice president urged immediate action to halt the borrowing.
He called on lawmakers, civil society organizations, the media, and the international community to intervene before Nigeria is plunged further into what he termed “debt slavery.”
“We warn that this is economic sabotage in plain sight.
“We demand that this reckless borrowing plan be halted immediately. We call on lawmakers, civil society organizations, the media, and the international community to take urgent action to stop this looming catastrophe.
“Nigeria must not be sold into debt slavery,” the statement added.
