Tinubu defends new loans, says debt should be judged by what it builds
President Bola Tinubu has responded to criticism of his government's borrowing plans, saying the real test of debt is what it produces rather than how large it is. His essay, titled 'From Reforms to Delivery', was released in Abuja on Thursday, 29 October 2026, and shared on X by his adviser on information and strategy, Bayo Onanuga.
What he said
Tinubu reportedly argued that the key question is not how much Nigeria borrows but what the country builds and leaves behind. He listed projects including the Lagos–Calabar Coastal Highway, the Sokoto–Badagry Superhighway, the Trans-Sahara Highway, upgrades to the electricity grid and the modernisation of ports in Lagos, as well as spending on health, education and skills. He said the coastal highway alone could cut logistics costs on the corridor by 15 to 20 per cent, add up to 2 per cent to GDP and create about 100,000 construction jobs.
The figures he cited
The President pointed to growth of 4.43 per cent in the second quarter, inflation of 14.63 per cent in September compared with about 21 per cent a year earlier, external reserves of about $55 billion and a tax-to-GDP ratio of 12.5 per cent. He credited the removal of the petrol subsidy, the unification of exchange rates and tax reforms. He said a $1 trillion economy by 2030 cannot run on infrastructure built for a much smaller economy, and named food affordability and energy prices among his priorities for the next phase.
The criticism
The essay follows the President's request to the Senate for approval to borrow about $20.5 billion and €1 billion. Atiku Abubakar, the ADC presidential candidate, said the request proved an earlier warning he gave, and has accused the government of piling up debt, which he says now stands at about ₦167 trillion. He has asked for details of how previous loans were spent.
What happens next
The Senate is yet to approve the new borrowing plan, and the debate over debt is expected to be a major theme of the 2027 campaign.
- Tinubu says loans should be judged by what they build.
- He cites inflation of 14.63% and reserves of about $55bn.
- Atiku says debt has climbed to about ₦167 trillion.
