A former presidential candidate, Peter Obi, has criticised Nigeria’s borrowing pattern, warning that debt used for consumption rather than production could harm the nation’s economy.
In a statement on Wednesday, Obi likened such borrowing to a “killer cancer,” arguing that loans not tied to measurable economic value, job creation, or improved living standards weaken the country’s future.
He explained that responsible economies borrow with clear repayment plans linked to productive investments, noting that Nigeria’s approach falls short. Citing the Fiscal Responsibility Act 2007, Obi said borrowing should include defined purposes and cost-benefit analysis, a standard he claims is often ignored.
Obi also raised concerns over rising debt servicing costs, warning they limit government spending on critical sectors and development.
He urged the administration of Bola Ahmed Tinubu to adopt a more transparent and accountable borrowing strategy that delivers tangible benefits for citizens.
Tags: Peter Obi, Bola Tinubu, Nigeria debt, borrowing policy, fiscal responsibility, economy, debt servicing, governance, Nigeria news
