Concerns are mounting across the country over Nigeria’s growing debt profile amid revelations of extensive external and domestic borrowings undertaken by the administration of President Bola Ahmed Tinubu since 2023.
According to publicly circulated figures compiled from official loan approvals and development financing arrangements, Nigeria has accumulated trillions of naira in additional debt within less than three years, with critics questioning both the scale of the borrowing and the transparency surrounding the projects being financed.
Reports indicate that Nigeria secured approximately $9.65 billion in loans from the World Bank between 2023 and 2025 alone. The loans were reportedly tied to sectors including renewable energy, education, healthcare, nutrition, rural infrastructure, climate resilience, broadband expansion, social intervention programmes, and support for vulnerable households.
Additional financing was also obtained from institutions such as the African Development Bank, Deutsche Bank, and First Abu Dhabi Bank, alongside large-scale domestic borrowing through bonds, treasury bills, and Central Bank Ways and Means advances.
Economic observers note that while borrowing for infrastructure, healthcare, education, agriculture, and social development is common among developing economies, concerns are growing over the sustainability of Nigeria’s rising debt obligations and the visible impact of the loans on citizens’ living conditions.
Critics have particularly questioned repeated borrowings for the power sector despite persistent electricity challenges nationwide, as well as loans taken to cushion the effects of fuel subsidy removal introduced by the current administration.
Available figures suggest that Nigeria’s total public debt rose from about N87 trillion at the end of the administration of former President Muhammadu Buhari in 2023 to approximately N159 trillion by December 2025, with projections indicating further increases should newly approved borrowing plans be fully drawn down.
Debt servicing obligations have also continued to rise sharply, with analysts warning that a significant percentage of government revenue is now being used to repay existing loans rather than fund critical public services and infrastructure.
However, financial experts argue that the core issue may not necessarily be borrowing itself, but whether the loans are being efficiently utilised, transparently managed, and translated into measurable improvements in power supply, healthcare delivery, education, roads, food production, and economic growth.
The development has intensified public debate over fiscal management, accountability, and Nigeria’s long-term economic stability as citizens continue to grapple with inflation, rising living costs, and declining purchasing power.
