Peter Obi has raised concerns over Nigeria’s rising debt servicing costs, saying the country must ensure borrowed funds are used for projects that improve the economy and people’s lives.
In a post shared on X, the former Anambra State governor reacted to comments by Bola Ahmed Tinubu during his foreign trip, where the president said Nigeria is expected to spend about $11.6 billion on debt servicing. Obi said the figure should concern Nigerians who care about the country’s future and economic direction.
Obi said borrowing is not a problem on its own if the money is used wisely. He pointed to countries like Japan, United Kingdom, and United States, saying their loans often support sectors that build long-term growth.
He wrote, “There is nothing inherently wrong with borrowing when it is guided by prudence and directed toward productive investment.”
Obi argued that Nigeria’s case is different, saying much of the country’s borrowing has gone into spending that has not produced enough visible development or economic returns.
He also claimed a large share of the debt now being serviced was taken under the current administration, adding that fresh external and domestic borrowing has continued.
Obi said debt repayments now appear to be taking a bigger share of public spending than areas such as healthcare, education, and support for poor Nigerians. He warned that if borrowed funds are not turned into real economic growth, debt could become a long-term burden on the country.
He ended the message with his familiar line: “A New Nigeria is Possible.”
Ademide Adebayo
