The Nigeria Democratic Congress (NDC) has publicly criticised President Bola Tinubu’s recent request for a fresh external loan of $7.7 billion, arguing that the move would exacerbate the country’s already high debt burden.
The loan, which the president has sought to finance new development projects, would be sourced from overseas lenders and would increase Nigeria’s external debt obligations. The NDC said that the request comes at a time when the country’s debt-to‑GDP ratio is already climbing.
In a statement, the NDC warned that taking on additional borrowing could undermine fiscal stability and limit the government’s ability to invest in critical public services. The party also highlighted concerns about the terms that foreign lenders often impose on large loans.
While the president has not yet confirmed whether the loan will be approved, the NDC’s critique reflects a broader debate among Nigerian politicians and economists about the sustainability of the country’s debt levels.
As Nigeria’s largest economy in Africa, the nation’s borrowing decisions are closely watched by international investors and development partners who monitor the country’s fiscal health and growth prospects.
<small>Source: Punch Nigeria — read the original story there.</small>