TINUBU DEFENDS FRESH LOANS AS NLC, OPPOSITION DEMAND ACCOUNTABILITY

President Bola Tinubu has defended his administration’s plan to secure fresh external loans, arguing that borrowing is necessary to finance critical infrastructure and support Nigeria’s ambition of becoming a $1 trillion economy by 2030.

The President’s defence comes amid growing criticism from the Nigeria Labour Congress (NLC) and opposition figures, who have questioned the justification for additional borrowing despite claims of increased government revenue following the removal of the petrol subsidy.

In an essay titled “From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy,” Tinubu argued that the success of borrowing should be measured by the economic value generated rather than the amount accumulated as debt.

The President identified the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and modernisation of major commercial ports as key projects expected to strengthen the country's productive capacity.

He maintained that investments in infrastructure would reduce transportation costs, improve trade, create employment opportunities and attract private sector investment.

However, NLC President Joe Ajaero questioned the need for further external loans, arguing that the government should explain why additional borrowing was necessary despite increased revenue from the removal of petrol subsidy and higher crude oil prices.

Ajaero also urged Nigerians and relevant institutions to demand accountability, stressing that the National Assembly had the authority to reject borrowing requests it considered unjustified.

Similarly, opposition figures have demanded detailed information on the proposed loans, including project costs, repayment schedules, interest rates and implementation timelines.

Paul Ibe, media aide to former Vice-President Atiku Abubakar, called for transparency over the proposed financing, insisting that describing loans as investments did not remove the government's obligation to repay them with interest.

The National Democratic Congress also expressed concern over Nigeria's rising debt profile, demanding a comprehensive register of external loans obtained since May 2023 and details of the projects financed.

Meanwhile, Vice-President Kashim Shettima urged the Federal Government to pay greater attention to public concerns over economic reforms, emphasising that transparency, credible evidence and improved living conditions were essential to building public confidence.

The debate has intensified pressure on the government to demonstrate that fresh borrowing will translate into completed projects, economic growth and tangible improvements in Nigerians' lives.