Your Borrowing Plans Reckless, Perilous, Mortgage Future of Nigerians, Atiku Carpets Tinubu
Former Vice-President Atiku Abubakar has implored President Bola Tinubu to suspend his borrowing strategy, denouncing the initiative as “reckless and perilous.”
In a post on the platform X on Thursday, Abubakar lambasted the federal government’s intentions to seek both external and domestic loans, cautioning that such measures jeopardize the nation’s future and the prospects of generations yet unborn.
On May 27, Tinubu addressed the national assembly, seeking authorization for an external borrowing scheme amounting to over $21.5 billion.
The president further requested legislative approval to issue government bonds valued at N757.9 billion to address outstanding pension liabilities under the contributory pension scheme (CPS).
Responding to these developments, the former vice-president asserted that the proposed amount equates to over 60 percent of Nigeria’s total foreign exchange reserves and would escalate the nation’s public debt from N144.7 trillion to N183 trillion.
“This borrowing frenzy will elevate our total public debt from ₦144.7 trillion to a formidable ₦183 trillion. This comes at a time when Nigeria’s debt burden is already at distressing levels,” Abubakar stated.
“As of December 31, 2024, public debt stood at $94 billion (₦144.7 trillion).
“Since President @officialABAT assumed office in 2023, public debt has surged by 65.6%. Under the APC-led administration since 2015, public debt has inflated by 1,048%, from ₦12.6 trillion to ₦144.7 trillion.
“The debt-to-GDP ratio has surpassed 50%. The debt-service-to-revenue ratio exceeds 130%, indicating that the government now expends more on loan repayment than it earns. This situation is not merely unsustainable — it is unethical.
“The Tinubu administration is borrowing funds not for development but to service existing loans, thereby propelling a debt spiral that leaves no resources for infrastructure, education, healthcare, or employment,” Atiku said.
The politician remarked that the incessant borrowing has transformed public finance into a Ponzi scheme — borrowing to repay debt and borrowing anew to cover interest.
“Nigeria is now ensnared in a vicious cycle that mortgages the future to address past obligations,” he continued, adding, “We caution that this constitutes economic sabotage in plain view. We demand the immediate cessation of this reckless borrowing plan.”
Abubakar urged lawmakers, civil society groups, the media, and the international community to take swift action to avert “this impending disaster,” emphasizing that Nigeria must not be consigned to “debt bondage.”
The finance ministry had asserted that the borrowing scheme would not result in an “automatic” increase in debt.
