Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
The Presidency has defended Nigeria’s rising debt profile, insisting that the country still has strong borrowing capacity and has not accumulated debt at the level of nations such as Egypt, South Africa and Senegal. Presidential spokesman, Bayo Onanuga, stated this on Tuesday, May 26, 2026, in a post on X (formerly Twitter) while reacting to growing public concerns over the administration’s borrowing pattern under President Bola Ahmed Tinubu.
Onanuga dismissed the alarm being raised about the nation’s rising debt as “unwarranted” and “symptomatic of economic and financial ignorance.” He insisted that Nigeria remains creditworthy and can still obtain more loans to finance infrastructure projects across the country. “Nigeria has not over borrowed compared to countries like Egypt, South Africa and West African country of Senegal,” Onanuga wrote. “Nigeria is credit worthy and can still take more loans to finance infrastructure.” His remarks followed a post by an X user identified as Akinwumi, who compared Nigeria’s debt‑to‑GDP ratio with those of Egypt and South Africa. The user argued that Nigeria’s debt burden remains significantly lower than that of its peers, and that loans used for infrastructure such as roads, electricity, transport, internet expansion, railway modernisation, port reforms, agriculture and energy projects should be viewed as long‑term investments capable of driving economic growth.
The online debate was triggered by the following comparison: Egypt’s total debt was estimated at over $400 billion against a GDP of about $390 billion, placing its debt‑to‑GDP ratio above 100 percent. South Africa was said to have a debt stock of about $580 billion with a GDP estimated at $420 billion, resulting in a ratio of roughly 135 percent. In contrast, Nigeria’s total public debt was put at about $110 billion with a GDP of around $340 billion, giving it a debt‑to‑GDP ratio of approximately 35 percent. Onanuga endorsed this comparative data, arguing that those who continue to label Nigeria the “loan capital of the world” are ignoring basic economic facts.
The presidential aide’s comments came against the backdrop of mounting public concern over the Tinubu administration’s continued borrowing. Data released by the Debt Management Office in April 2026 showed that the country’s total public debt rose to N159.28 trillion as of December 31, 2025. Critics, including opposition figures and civil society groups, have warned that rising debt servicing costs, combined with persistent inflation and the weakening value of the naira, could place the country under severe fiscal pressure in the coming years. Some have accused the government of borrowing more in three years than the previous administration did in eight.
Nevertheless, the government has argued that borrowing remains a necessary tool for funding critical sectors such as power, transportation, agriculture, and social interventions. The Tinubu administration has pursued multiple borrowing plans, both locally and internationally, including funding requests from the World Bank and the African Development Bank, alongside increased issuance of domestic bonds and treasury bills. Proponents of the strategy maintain that productive borrowing, when channelled into infrastructure that boosts economic productivity, is essential for long‑term national development.
As the debate over Nigeria’s fiscal strategy continues, the federal government has made it clear that it sees no need to curb its borrowing appetite. The President’s spokesman has drawn a clear line between informed economic discourse and what he described as ignorance, while the administration continues to push for more loans to bridge infrastructure gaps and stabilise key sectors. Whether the public will accept this distinction remains to be seen, but for now, the Presidency is betting that numbers—and the promise of development—will eventually silence the critics.
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