FG’s Fresh Borrowing: “Nigeria Is Being Run Like Ponzi Scheme” –  Atiku Abubakar

By Ayodele Oni

Former Vice President, Atiku Abubakar, has cautioned the Federal Government not to sell Nigeria into debt slavery, going by spate of borrowing by President Bola Tinubu’s administration.

Reacting to the announcement by the Tinubu-led APC government to pursue fresh external and domestic loans, Atiku described it as “a reckless and dangerous move that threatens the future of Nigeria and generations yet unborn.”

He stated that “Despite national outrage, this administration is pushing ahead with plans to borrow $21.54 billion, €2.19 billion, and ¥15 billion — an equivalent of over $24 billion, which is more than 60% of Nigeria’s total foreign exchange reserves.

“This borrowing spree will raise our total public debt from ₦144.7 trillion to a crushing ₦183 trillion. This move comes while Nigeria’s debt burden is already at alarming levels.

“As of December 31, 2024, public debt stood at $94 billion (₦144.7 trillion).

Since President Tinubu assumed office in 2023, public debt has jumped by 65.6%.

“Under the APC-led administration since 2015, public debt has ballooned by 1,048%, from ₦12.6 trillion to ₦144.7 trillion. The debt-to-GDP ratio has exceeded 50%.

“The debt-service-to-revenue ratio is over 130%, meaning the government now spends more on repaying loans than it earns.

“This is not just unsustainable — it is immoral. The Tinubu administration is borrowing money not for development but to service existing loans, fueling a debt spiral that leaves nothing for infrastructure, education, healthcare, or jobs.

“This addiction to borrowing, entrenched under the APC-led administration and now accelerated by President Tinubu, has turned public finance into a Ponzi scheme — borrowing to pay debt, then borrowing again to pay interest.

“Nigeria is now caught in a vicious cycle that mortgages the future to pay for the past. We warn that this is economic sabotage in plain sight.

“We demand that this reckless borrowing plan be halted immediately. We call on lawmakers, civil society organizations, the media, and the international community to take urgent action to stop this looming catastrophe. Nigeria must not be sold into debt slavery.”