Former presidential candidate Peter Obi has raised concerns over Nigeria’s growing public debt profile, urging the Federal Government to provide a detailed account of how borrowed funds have been utilised as the country’s total debt approaches ₦200 trillion.
Obi, the 2027 presidential candidate of the Nigeria Democratic Congress (NDC), said the pace of debt accumulation under President Bola Tinubu’s administration raises important questions about fiscal discipline, transparency and the long-term sustainability of public finances.
In a statement posted on his X account on Tuesday, Obi argued that Nigeria’s debt stock has increased by more than ₦100 trillion in the past three years, a trend he said requires greater public scrutiny and accountability.
“President Bola Tinubu’s administration has engaged in remarkably imprudent borrowing, escalating Nigeria’s total debt to approximately ₦200 trillion. This represents an increase of over ₦100 trillion within a mere three years,” Obi said.
He contrasted the current debt trajectory with that of former President Muhammadu Buhari’s administration, noting that Nigeria accumulated about ₦49 trillion in debt over an eight-year period.
Obi expressed concern that the rapid increase in borrowing has not been matched by clear disclosures on how the funds have been deployed, particularly in areas capable of stimulating economic growth and improving infrastructure.
Citing figures from the Budget Office, he said the Federal Government borrowed ₦11.89 trillion between January and September 2025, exceeding its planned borrowing target of ₦10.34 trillion for the period.
According to him, surpassing approved borrowing limits should ordinarily trigger detailed explanations from relevant government agencies and stronger legislative oversight.
“Under a responsible and accountable government, such an overshoot would necessitate rigorous scrutiny and explanation from relevant governmental bodies. Regrettably, this is not the reality under the current administration,” he said.
Obi further argued that only ₦3.10 trillion of the funds borrowed during the period was channelled towards capital expenditure, despite a capital budget of ₦17.58 trillion. He said the disparity raises legitimate questions about how the remaining resources were utilised.
“The most disturbing aspect of the financial management fiasco under Bola Tinubu is that there is no explanation or information regarding how the balance was utilised or deployed,” Obi stated.
He called for greater transparency in public finance management, maintaining that Nigerians deserve a clear breakdown of borrowing decisions and expenditure priorities.
“The question that Nigerians are rightly asking and deserve an answer to is what happened to the balance?” he added.
Nigeria’s debt profile has come under increasing scrutiny since the implementation of major economic reforms by the Tinubu administration, including the removal of fuel subsidies and the liberalisation of the foreign exchange market. While the government has argued that the reforms are necessary to restore fiscal stability and attract investment, critics contend that rising debt levels could place additional pressure on public finances if not matched by strong economic growth and productive investments.
President Tinubu disclosed in May that Nigeria is expected to spend approximately $11.6 billion on debt servicing in 2026, underscoring the growing importance of debt management in the country’s economic agenda.
The latest comments from Obi are likely to intensify debate over the government’s borrowing strategy as policymakers, investors and development experts continue to assess the balance between financing critical infrastructure and maintaining fiscal sustainability.
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