By Ada Samson, Abuja
The Presidential Candidate of the Labour Party in the 2023 general election, Peter Obi, has raised fresh concerns over Nigeria’s escalating debt profile, which now stands at a staggering N187 trillion following the recent approval of additional loans by the National Assembly.
In a statement on his X (formerly Twitter) handle, Obi described the borrowing trend as “reckless, unsustainable, and lacking accountability,” warning that the country’s debt could surpass N200 trillion by the end of 2025.
“On July 22, 2025, the Nigerian Senate approved an additional $21 billion, €2.2 billion, and ¥15 billion in external borrowing for the 2025–2026 fiscal cycle, alongside a N750.98 billion domestic bond issuance and a €65 million grant,” Obi stated. “With an existing public debt of about N149.39 trillion as of Q1 2025, these new loans—worth approximately N37.2 trillion—push our total debt to about N187 trillion. At this rate, we may hit N200 trillion before December.”
Expressing alarm over the economic implications, Obi noted that Nigeria’s debt now accounts for 70% of its pre-rebased GDP (N269.2 trillion or $180 billion) and 50.16% of the rebased GDP (N372.8 trillion or $243.7 billion)—the highest debt-to-GDP ratio in the nation’s history. “This is not just a fiscal crisis; it is a generational burden,” he declared. “We are accumulating exponential levels of debt with little or nothing to show for it in critical sectors like education, healthcare, power, and security.”
Despite increased government spending, Obi lamented that Nigeria continues to rank poorly in human development indices. “Education remains underfunded, healthcare is inaccessible to millions, and insecurity has worsened, with over 10,217 Nigerians killed and 672 villages sacked between May 2023 and May 2025,” he said.
“Meanwhile, security spending rose from N2.98 trillion in 2023 to N4.91 trillion in 2025, yet violence persists. Our infrastructure is in decay—135,000km of Nigeria’s 195,000km road network remains unpaved and unusable. The power sector is a national embarrassment, supplying less than 5,000MW for over 200 million people.”
Obi also highlighted the deepening poverty crisis, citing reports that “133 million Nigerians (63%) are multidimensionally poor” and condemning the “652 child deaths from malnutrition in Northern Nigeria” as reported by Médecins Sans Frontières (Doctors Without Borders). “A country blessed with enormous resources should not have citizens going to bed hungry,” he said. “The root cause is leadership failure.”
While acknowledging that borrowing can be beneficial if tied to productive investments, Obi accused the government of “mortgaging Nigeria’s future without transparency or measurable impact.” “Borrowing is not inherently bad, but this pattern of reckless debt accumulation is economic sabotage,” he argued. “Where is the accountability? Where are the projects? Why are poverty and unemployment rising despite trillions in loans?”
Calling for urgent reforms, Obi demanded a return to “prudent economic management,” including “cutting wasteful governance costs, blocking leakages, and investing in human capital.” “We must stop this fiscal indiscipline,” he insisted. “Every kobo borrowed must deliver tangible results. Nigeria cannot continue on this path without condemning future generations to perpetual debt slavery.”
Concluding with a rallying cry for change, Obi affirmed, “A new Nigeria is possible—one where leadership is responsible, development is people-centered, and public funds work for the people. We must act now before it’s too late.”
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