Foreign Debt: Eminent Nigerians Warn World Bank, Others To Stop Granting Loans To FG

By Tosin Olatokunbo

Ebitu Ukiwe, a former military vice president under the military regime of General Ibrahim Babangida and other prominent Nigerians, have warned international institutions to stop further lending to the federal government.

According to the figures provided by the Debt Management Office, DMO Nigeria’s total debt portfolio has rallied to over N33 trillion or $86.3 billion as at December 2020.

A larger part of the loan was obtained under the administration of President Muhammadu Buhari, with many Nigerians criticising the debt appetite of the current government, which insists that the loans are being used to bridge infrastructure gap in the country.

The minister of finance, Zainab Ahmed said in Abuja, recently that the federal government will borrow more when the need arises.

The situation, obviously, did not go down well with these prominent Nigerians, which also includes former Governor of Plateau State, Jonah Jang, renowned historian and Second Republic Senator, Banji Akintoye; former President-General of Ohanaeze Ndigbo, Chief Nnia Nwodo; respected varsity don, Prof. Yusuf Turaki and 124 others, who warned international development partners, such as the the IMF, United Nations, European Union, United States of America, the People’s Republic of China and others to stop granting further loan to the Buhari administration.

In a four-paragraph statement, the prominent Nigerians under the aegis of Nigerian Indigenous Nationalities Alliance for Self-Determination, NINAS, said the loans are being used to fund disputed projects.

The four paragraph statement read “Again, we remind the international community that Nigeria is now a disputed project.

This was articulated in our press conference of December 16, 2020, when we declared Constitutional Force Majeure.

“Subsequent activities as articulated at the press conferences of March 17, 2021 and April 17, 2021 emphasise that Nigeria remains a disputed project. Knowing this and lending to a disputed project can only be considered negligence.

“For the avoidance of doubt, the indigenous nations will not, and cannot be expected to repay such loans or allow their assets to be used as collateral to offset the loans,” NINAS said.

Meanwhile, the federal government, said recently that it was looking at other sources to raise funds for the railway projects across the country, after a general outbursts against Chinese loans.