Former Vice President Atiku Abubakar has issued a stern warning to President Bola Ahmed Tinubu's administration regarding its controversial plan to secure over $34 billion in fresh loans. Atiku described the proposed borrowing spree as ‘reckless’ and cautioned that it risks plunging Nigeria into a deeper economic crisis, exacerbating the country’s already precarious financial situation.
In a detailed statement released on Thursday via his X (formerly Twitter) handle, Atiku strongly criticised the borrowing proposal, which involves a complex mix of currencies: $21.54 billion, €2.19 billion, and ¥15 billion. He argued that these new loans would significantly worsen Nigeria’s already alarming debt burden and threaten the nation’s financial stability, undermining any prospects for sustainable economic growth.
“This borrowing spree will raise our total public debt from ₦144.7 trillion to a crushing ₦183 trillion,” Atiku emphasized. He also highlighted that the loans represent over 60% of Nigeria’s entire foreign exchange reserves, painting a grim picture of the country's fiscal health and raising concerns about the government's ability to manage such debt responsibly.
Drawing on official government data, Atiku pointed out that Nigeria’s public debt had already soared to $94 billion (₦144.7 trillion) by the end of 2024, reflecting a worrying upward trajectory in borrowing over recent years.
Atiku further underscored that under President Tinubu’s leadership since 2023, public debt has surged by more than 65%, while cumulatively, public debt has ballooned by over 1,000% since the All Progressives Congress (APC) first came to power in 2015. This stark statistic draws attention to the rapid growth of Nigeria’s debt in less than a decade, raising questions about fiscal management and economic policy priorities.
“Since President Tinubu assumed office in 2023, public debt has jumped by 65.6%. Under the APC-led administration since 2015, public debt has ballooned by 1,048%, from ₦12.6 trillion to ₦144.7 trillion,” Atiku lamented, stressing the unsustainable nature of this rapid debt accumulation.
In his unreserved critique, Atiku described the government’s borrowing pattern as not only unsustainable but also unethical, accusing the administration of borrowing not to fund critical development projects, but merely to service existing loans. He argued this debt spiral leaves little to no resources for vital sectors such as infrastructure, education, healthcare, and job creation, effectively stifling Nigeria’s developmental prospects.
“This is not just unsustainable — it is immoral,” Atiku stated firmly. “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.”
He went on to liken the government’s debt management strategy to a “Ponzi scheme,” warning that the current trajectory amounts to economic sabotage that mortgages Nigeria’s future generations to pay off mounting debts accrued today.
Atiku warned that Nigeria is now trapped in a debt cycle that jeopardizes the country’s economic sovereignty, calling for urgent and decisive action to prevent further financial deterioration.
Sounding a grave alarm, the former Vice President implored all stakeholders—including lawmakers, civil society organisations, the media, and the international community—to resist the administration’s borrowing plan and intervene before the country falls into irreversible economic hardship.
“We demand that this reckless borrowing plan be halted immediately,” Atiku urged. “We call on lawmakers, civil society organisations, the media, and the international community to take urgent action to stop this looming catastrophe. Nigeria must not be sold into debt slavery.”
This strongly-worded statement arrives as President Tinubu marks two years in office, a period marked by growing public debate and concern over his economic policies, fiscal management, and Nigeria’s overall financial direction amid mounting national and international scrutiny.