ADC Accuses Tinubu of Fiscal Recklessness Over N1.15 Trillion Loan Request
The African Democratic Congress (ADC) has publicly criticized President Bola Tinubu’s administration for seeking a fresh N1.15 trillion domestic loan. The party argues that the request signals a troubling pattern of policy inconsistency and an unsustainable appetite for debt, especially given the government’s ambitious promises and the country’s current economic pressures.
What the Loan Means for Nigeria’s Debt Trajectory
Experts note that adding another substantial borrowing burden could worsen the country’s debt service profile, crowding out essential spending on health, education, and critical infrastructure. The ADC contends that without a transparent plan showing measurable outcomes from prior borrowing, new debt only compounds uncertainty for Nigerian households and investors.
Policy Inconsistency and Fiscal Risk
The ADC argues that the government’s borrowing drive appears inconsistent with earlier macroeconomic statements and reforms. NICHE observers have long called for a credible long-term debt strategy, including clear milestones for revenue enhancement, internal controls, and transparent disclosures on how borrowed funds are allocated and repaid. The party urges a pause on further debt until a robust, public debt-management framework is established.
What Nigerians Should Demand
Citizens deserve a coherent narrative on debt: what projects will the N1.15 trillion finance, what timeframes are involved, and how will the loan’s impact be measured? The ADC recommends the administration publish a detailed debt sustainability analysis, project-by-project impact assessments, and independent audits of past loans to restore public trust.
Impact on Everyday Nigerians
Debt comes with costs that typically ripple through the economy via higher taxes, HICP (inflation) pressures, or reduced social spending. The ADC cautions that without improved governance, ordinary Nigerians may bear the brunt as the government borrows to finance recurrent expenditures or credit-intensive schemes without tangible, timely results.
What the Opposition Is Asking For
Beyond critique, the ADC is calling for concrete steps: a transparent debt-management plan, a clear timetable for repayment, and strengthened oversight to prevent leakages and corruption in project delivery. The party also urges reforms to boost domestic revenue, diversify the economy, and reduce dependence on foreign exchange shocks that complicate debt service obligations.
Broader Economic Context
Nigeria’s public debt profile has grown in recent years, fueled by both domestic and external borrowings. Critics warn that if borrowing continues unchecked, it could erode investor confidence and complicate monetary policy. Advocates for prudent borrowing argue that well-targeted investments in infrastructure and productivity can justify higher debt levels—if paired with rigorous governance and measurable outcomes.
Next Steps for the Tinubu Administration
To defuse growing concerns, the Tinubu administration could release a comprehensive debt strategy, including: (1) project prioritization criteria, (2) a transparent mechanism for tracking fund disbursements, (3) independent performance audits of funded projects, and (4) a fiscal rule that anchors borrowing to specific growth and revenue targets. The ADC’s stance underscores the demand for accountability and fiscal discipline in a challenging economic environment.
Conclusion: Public Confidence and Responsible Budgeting
As Nigeria navigates a delicate balance between development needs and debt sustainability, the calls from ADC reflect a broader demand for responsible budgeting. Transparent debt management and tangible returns on investment are essential to rebuilding public trust and ensuring that every naira borrowed contributes to long-term economic resilience.
