The African Democratic Congress has accused President Bola Tinubu’s administration of running what it calls a “Ponzi economy” after the Federal Government sought a fresh S1.25 billion loan from the World Bank, even as Nigeria’s public debt has climbed to about N159.28 trillion.
Party leaders said the government is borrowing endlessly to service existing debts rather than investing in infrastructure or improving citizens’ welfare. They warned that new loans are being used to pay off old ones, leaving Nigerians to bear the brunt of inflation, unemployment, and rising food prices.
Tinubu’s government projects S11.6 billion, or about N15 trillion, will be spent on debt servicing in 2026 alone. In less than three years, Nigeria’s debt has surged past N159 trillion, nearly doubling the figures left behind by Muhammadu Buhari. Under Buhari, debt rose from about N12 trillion in 2015 to N77 trillion by mid-2023, driven largely by borrowing for infrastructure and budget support. By contrast, Goodluck Jonathan’s administration ended in 2015 with external debt around S9.7 billion and domestic debt at N8.9 trillion, far lower than current levels.
The ADC said families are cutting down on meals as inflation erodes purchasing power, manufacturers and small businesses are struggling under high costs, and public services are suffering as funds are diverted to debt servicing instead of healthcare, education, and job creation. The party also accused the National Assembly of rubber-stamping loan requests without adequate scrutiny, warning that Nigeria risks sliding deeper into debt dependency.
