How Much More Debt Can Nigeria Carry?

By Dr. Chiogo Constance Ikokwu

President Bola Tinubu’s request for approval to borrow $20.52 billion and €1.045 billion raises urgent questions about Nigeria’s debt burden and the future we are mortgaging for the next generation.

Nigeria’s external debt rose from $43.16 billion in June 2023 to $54.52 billion in June 2026 an increase of $11.36 billion, or 26.3%. Total public debt also rose from ₦87.38 trillion to ₦166.79 trillion over the same period, an increase of approximately 90.9%.

Adding the latest loan request and previously approved but undrawn financing suggests potential external debt exposure of about $81.96 billion, assuming no overlap and that all the financing is eventually drawn. This is an illustrative estimate, not official debt outstanding.

The government says the new loans will fund critical development projects. But Nigerians deserve to know precisely what these loans will deliver. Which roads have been completed? Which hospitals are operational?

Which power projects have increased electricity supply? Where are the measurable benefits for businesses and households struggling with the cost of living?

If government revenues are increasing, why does the need for additional borrowing remain so substantial? And why seek more loans when lawmakers have raised concerns about inadequate capital releases to ministries, departments and agencies under previous budgets?

Before approving further borrowing, the President and the National Assembly must demand full transparency. Government should publish a project-by-project register of external loans since May 2023, detailing the amounts borrowed and disbursed, loan terms, project locations, implementation status and independently verified outcomes.

Nigerians also deserve a clear assessment of future debt-service obligations and the risks posed by exchange-rate movements.

Borrowing can support national development, but only when investments deliver measurable benefits and repayment remains sustainable. The question is not simply how much Nigeria can borrow, but what Nigerians are getting in return.

The National Assembly must subject these requests to rigorous scrutiny and ensure that the public receives clear answers before the country assumes further obligations.

Let’s build the Nigeria we want together, a Nigeria that works.

Signed
Dr. Chiogo Constance Ikokwu is the
Spokesperson, NDC National Presidential Campaign Council