Our Reporter
Nigeria’s economic future is once again in the spotlight, following fierce criticism from the African Democratic Congress (ADC) over the Tinubu administration’s latest foreign borrowing move. The National Assembly’s recent approval of an additional $21 billion in foreign loans has prompted the ADC to sound the alarm, accusing President Bola Ahmed Tinubu of leading the country into a full-blown debt trap.
In a statement released on Sunday by the party’s National Publicity Secretary, Mallam Bolaji Abdullahi, the ADC labelled the borrowing spree as “fiscal vandalism” and warned that Nigeria’s public debt could exceed ₦200 trillion by the end of 2025 — without visible improvements in infrastructure, public services, or economic productivity to justify it.
From Debt to Disaster?
The ADC’s statement reflects mounting concern in policy circles that Nigeria’s public finance trajectory is becoming increasingly unsustainable. While public borrowing is not new, the scale and pace under Tinubu are what critics find alarming.
“What Nigerians are witnessing, following the approval of a fresh $21bn in foreign loans, is nothing short of a calculated decision to mortgage the country’s future just to cover up the failures of today,” the ADC declared.
Drawing comparisons with the previous Buhari administration, the party noted that under Buhari, Nigeria borrowed an average of ₦4.7 trillion annually. Under Tinubu, this figure has skyrocketed to a staggering ₦49.8 trillion per year, largely due to currency devaluation and heavy foreign exposure.
“In just two years, this administration has borrowed more than 10 times what Buhari borrowed in the same timeframe,” the party noted. “At this rate, Nigeria’s total public debt will crash through ₦200 trillion before the end of the year. We are speeding toward a financial cliff, and those in charge seem to have no brakes.”
Exchange Rates Mask Real Borrowing Burden
Pro-Tinubu economists have argued that the loans remain modest in dollar terms — averaging $1.7 billion annually, compared to Buhari’s $4.15 billion. But the ADC strongly disputed this framing, citing the naira’s dramatic collapse under Tinubu’s economic reforms.
“With the naira now in free fall — again thanks to this administration’s poor policy choices — these same loans are costing the country far more,” the party stated.
When converted, the ADC said, Tinubu’s average foreign borrowing amounts to ₦25.5 trillion annually, compared to Buhari’s ₦2.2 trillion, due to the weaker currency and high-interest repayment schedules.
“No Tangible Gains” from Rising Debt
Despite soaring debts, the ADC argued that Nigerians are yet to see meaningful economic progress. Hospitals remain ill-equipped, the national grid struggles with persistent blackouts, and universities continue to battle underfunding.
“The debts have continued to mount, but infrastructures have remained poor… So what exactly are these loans used for?” the party queried.
It also slammed the National Assembly for what it described as “rubber stamp” behaviour, saying lawmakers had “continued to approve these loans without asking the hard questions, without demanding a plan, and without standing up for the Nigerian people.”
Mounting Pressure on Citizens
The ADC further warned of the social consequences of excessive borrowing, citing figures from the Association of Small Business Owners of Nigeria that highlight a shrinking access to credit and dwindling investor confidence.
“With over 60 per cent of our national income now used to service debt, the government is turning to ordinary Nigerian families and taxing them beyond their limits,” the party said.
It argued that rather than reducing debt exposure following the naira’s devaluation, the Tinubu administration had doubled down on external borrowing — a move it described as “irresponsible”.
Transparency and Reform Demanded
The ADC called for full disclosure of all loan agreements signed by the All Progressives Congress (APC) government since it came to power in 2015. It demanded that the Presidency reveal loan terms, interest rates, repayment schedules, and the ultimate beneficiaries of these funds.
“We also call on President Tinubu to put an end to this fiscal recklessness, and focus instead on meaningful reform, by investing wisely and spending responsibly,” the statement read. “The era of borrowing to cover policy failures must come to an end.”
At the time of filing this report, efforts to reach Tinubu’s Special Adviser on Information, Bayo Onanuga, and Policy Communication Adviser, Daniel Bwala, were unsuccessful.
Political Reverberations
This latest development adds to growing political tension over economic governance. While the Tinubu administration defends its borrowing as necessary to finance infrastructure and stabilise public finances, critics say the burden is being shifted onto an already strained populace, with no clear path to debt sustainability.
As the country hurtles toward a likely ₦200 trillion debt mark, questions of transparency, accountability, and long-term strategy are growing louder — and so is the opposition’s resolve to capitalise on perceived fiscal mismanagement.
