By Ayodele Oni
Speaker of the House of Representatives Tajudeen Abbas, has charged Africa to rethink dependence on external finance and negotiate fairer terms of borrowing if countries in the continent are to grow stronger.
According to him, “We must channel more energy into mobilising domestic resources, fostering intra-African trade, and creating financial instruments that serve the continent’s own development priorities.
The Speaker noted that public debt, if well utilised, can engender growth and development in any country.
“Only then can we move from vulnerability to resilience, and from dependency to true economic sovereignty.”
The Speaker stated this while delivering keynote address in Abuja on Monday at the opening of the 11th Annual Conference and General Assembly of the West Africa Association of Public Accounts Committees (WAAPAC).
He was represented at the event by the Leader of the House, Prof. Julius Ihonvbere.
The Public Accounts Committee of the House, with the support of WAAPAC and international development partners, organised the event with the theme ‘Strengthening Parliamentary Oversight of Public Debt: The Role of Finance and Public Accounts Committees.’
A statement by the Special Adviser on Media and Publicity to the Speaker, Musa Abdullahi Krishi, remarked that the call was not to reject borrowing outright, but reflected a responsible approach to debt management—one that ensures that borrowing translates into real value.
He said Nigeria could leverage responsible borrowing for sustainable development as demonstrated by the Tinubu administration.
“Indeed, public debt, when managed prudently, can be a tool for growth and prosperity. Yet, when left unchecked, it becomes a burden that erodes economic stability and threatens the welfare of future generations.”
Tajudeen, pointed out that President Bola Ahmed Tinubu, is working assiduously to address Nigeria’s public debt through a non-oil revenue drive.
He stressed the need for stronger oversight, transparent borrowing practices, and a collective resolve to ensure that tangible economic and social returns match every naira borrowed.”
He added, “When we examine the sources of Africa’s external financing, it becomes clear that the weight of debt on our continent is shaped by whom we borrow from and on what terms.
“Today, Western private lenders hold about 35 percent of Africa’s government debt through banks, asset managers, and oil traders.
“Multilateral institutions, such as the World Bank and the IMF, account for another 39 percent, while bilateral loans from other governments comprise 13 percent. Chinese creditors, despite much of the public debate, hold only 12 percent.
“To place this in sharper focus, in 2019, bondholders alone represented 27 percent of Africa’s external debt, making them the single largest creditor group, ahead of China at 13 percent.”
He added that the high cost of commercial loans, coupled with the burden of repayment in foreign currencies, leaves many African economies vulnerable to market shocks.
“This narrows fiscal space, constrains domestic policy choices, and slows the pace of sustainable development,” he said.
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