Why seek a $7.7bn loan when your tenure is ending soon? – Atiku tackle Tinubu, ask Senate to reject borrowing

Former Vice-President Atiku Abubakar has criticised President Bola Tinubu’s request for Senate approval to borrow an additional $7.7 billion, equivalent to approximately ₦10.79 trillion, to partially finance the 2026 budget deficit.

Atiku argued that the proposed borrowing would place an additional financial burden on Nigerians and urged the National Assembly to subject the request to rigorous scrutiny before taking a decision.

In a statement issued on his behalf by Phrank Shaibu, Director of Strategic Communication of the African Democratic Congress (ADC) Presidential Campaign Council, the former vice-president questioned the frequency of the administration’s borrowing requests.

He also argued that with Tinubu’s tenure approaching its end, the President should not commit the country and future administrations to additional foreign debt without adequate disclosure.

“What is the problem with this government? Why is President Tinubu making borrowing requests on behalf of Nigeria week in, week out? Barely days after an external borrowing proposal of $20.52 billion and €1.045 billion was presented to the National Assembly, another request for $7.7 billion is now before the Senate. Nigerians cannot be expected to treat this relentless borrowing as routine paperwork,” Atiku said.

He maintained that every new foreign loan would eventually become a repayment obligation for Nigerians, accusing the administration of relying on borrowing instead of sound economic management.

According to him, the latest request raises questions about the specific projects the funds would finance, their individual costs, repayment schedules, interest rates and other borrowing conditions.

Atiku noted that the President’s letter indicated that the final loan terms would depend on market conditions at the time the borrowing is priced.

He therefore urged the Senate to demand a comprehensive list of projects, detailed funding allocations, proposed loan terms and a credible repayment plan before considering approval.

“The Senate must scrutinise this proposal line by line. It must demand a full project list, clear funding allocations, the proposed loan terms and a credible repayment plan before considering approval. No government should receive a blank cheque to contract foreign debt in the name of budget implementation,” he said.

The ADC chieftain also called on international financial institutions and lenders to suspend further lending to the Tinubu administration until it provides transparent borrowing terms, a credible repayment plan and evidence of the benefits of previous loans.

Atiku further criticised the administration’s economic policies, arguing that despite the removal of petroleum subsidy, the government had continued to accumulate substantial debt while Nigerians grapple with rising living costs.

He also questioned the impact of the borrowings on infrastructure development and social welfare, alleging that public infrastructure remained inadequate and social intervention programmes had failed to provide sufficient relief to citizens.

“What is Tinubu using his loans to finance specifically? Nigerians are hungry and angry. Public infrastructure are limited; social welfare intervention is none existent. Yet Nigeria is owing massively under Tinubu,” he said.

Atiku urged the National Assembly to remember its responsibility to Nigerians and ensure that the proposed borrowing was subjected to proper accountability.

“Nigeria cannot borrow its way out of every budget shortfall. The National Assembly must remember that it is accountable to Nigerians, not merely to the executive. Before approving another trillion-naira burden, it must make the government answer the questions Nigerians are asking,” he added.

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