The Federal Government has assured Nigerians that President Bola Ahmed Tinubu’s $21.5 billion external borrowing request will not result in an unsustainable debt burden.
Speaking on behalf of the administration, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, emphasized that the loans are tied to critical infrastructure and development projects designed to stimulate long-term economic growth.
According to Edun, the borrowing plan is part of a broader economic strategy to reposition the Nigerian economy and attract foreign investment. He noted that the funds will be deployed to key sectors including power, transport, education, and healthcare, and that each project is backed by a clear and sustainable repayment framework.
“The Tinubu administration is focused on responsible fiscal management. This borrowing plan is a proactive step towards economic recovery, not a reckless accumulation of debt,” Edun stated.
Also commenting, Minister of Budget and Economic Planning, Atiku Bagudu, said the government is confident that the loans will yield high economic returns, adding that ongoing reforms—especially in tax and revenue collection—will enhance the country’s ability to meet its debt obligations.
The government further reassured that Nigeria’s debt-to-GDP ratio remains within acceptable global benchmarks, and that efforts to boost revenue and cut wasteful spending are already underway.