PRESIDENT TINUBU:
"Today, I'm standing before you I can brag that Nigeria is not borrowing a dime from a local bank. We have met our revenue target for the whole year, we met it in August, non-oil o. If the non-oil revenue is doing well, then we have no fear of whatever Trump is doing."
Since Bola Ahmed Tinubu became president in May 2023, Nigeria has borrowed tens of trillions of naira through a combination of domestic bonds, external loans from institutions like the World Bank, and securitized advances. While the exact total is a moving target due to new loan requests, currency fluctuations, and ongoing disbursements, analysts have tracked a rapid rise in the country's total public debt. The national debt has surged from N87.38 trillion in June 2023 to nearly N145 trillion by the end of 2024.
Key borrowing by Tinubu's administration
External borrowing
World Bank loans: A series of loans have been secured for various projects.
2023: $750 million for power, $500 million for women's empowerment, and $800 million for social safety nets.
2024: $2.25 billion for economic stabilization and $1.57 billion for health, education, and power.
2025: $632 million for nutrition and education.
Afrexim Bank loan: $3 billion was secured in August 2023 by the Nigerian National Petroleum Company (NNPC) to stabilize the naira.
Approved 2025–2026 borrowing plan: In July 2025, the Senate approved an external borrowing plan that includes:
$21.5 billion in loans
€2.2 billion in loans
¥15 billion in loans
Purpose: These external loans are intended to fund infrastructure projects, including railways, the Lagos-Calabar highway, and critical sectors like agriculture, health, education, and security.
Domestic borrowing
First year (June 2023 to May 2024): The federal government borrowed N20.09 trillion domestically by issuing FGN Bonds and Treasury Bills.
Ways and Means Advances: N7.3 trillion in central bank advances was securitized and converted into long-term debt in December 2023.
Domestic bonds for pensions: In May 2025, the president requested approval to issue N757.98 billion in bonds to settle outstanding pension liabilities.
Impact on Nigeria's debt profile
Rapid increase: The DMO confirms that total public debt surged from N87.38 trillion in June 2023 to N144.67 trillion by December 2024. This rapid accumulation has drawn criticism from citizens and opposition figures like Peter Obi, who question its sustainability.
Growing debt-to-revenue ratio: As borrowing accelerates, a higher portion of the government's revenue is spent on debt servicing, leaving less for essential services and capital projects.
Potential for further increase: The recent approval of the 2025–2026 borrowing plan, which includes billions in new external debt, suggests that the country's debt profile will continue to grow.
Counterpoint on borrowing
In September 2025, President Tinubu claimed that Nigeria would no longer need to borrow domestically, stating that his government had already met its 2025 revenue target.
He attributed this success primarily to the non-oil sector and a stabilized economy. However, this statement refers to domestic borrowing and follows the already substantial loan amounts approved earlier in the year.
BY JAIYEOLA AJASA.
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