Nigeria’s Debt Figures Misread, Says Finance Minister

The Federal Government has dismissed claims that the President Bola Ahmed Tinubu administration has borrowed close to ₦80 trillion, insisting that Nigeria’s public debt profile has been exaggerated due to accounting adjustments and misinterpretation of official figures.

The Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, made the clarification on Monday while briefing the Senate Committee on Finance. Responding to concerns raised by Senator Adamu Aliero (Kebbi Central), Oyedele said reports suggesting the administration borrowed nearly ₦80 trillion in addition to the ₦75 trillion debt it inherited were inaccurate.
According to the minister, Nigeria’s public debt stood at about ₦75 trillion when the Tinubu administration assumed office. He explained that the depreciation of the naira required the foreign currency component of the debt to be revalued, adding more than ₦40 trillion to the reported debt stock without representing fresh borrowing.
Oyedele further stated that the securitisation of about ₦33 trillion in Ways and Means advances inherited from the previous administration, and approved by the National Assembly, was also reflected in the debt profile. He stressed that this was not new borrowing but the formal recognition of existing obligations.
He noted that the failure to properly explain these accounting adjustments created the false impression that the current administration had accumulated massive new debt.
“The actual amount this administration has borrowed is nowhere near what many people believe. Even in domestic borrowing, a significant portion is used to refinance existing debt. As old loans mature, new ones are raised to refinance them, and that should not be mistaken for fresh borrowing,” Oyedele said.
The minister added that the Tinubu administration has maintained a responsible borrowing policy, explaining that loans are primarily being used to finance infrastructure projects rather than recurrent expenditure. He reiterated the government’s commitment to debt sustainability, stressing that every naira or dollar borrowed must generate greater economic value than the amount obtained.