FG Don Pass 2025 Borrowing Target By 55.6%

Di Debt Management Office (DMO) talk say as of March 31, 2024, Nigeria domestic and external debts don reach N121.67 trillion ($91.46 billion), increase by N24.33 trillion from N97.34 trillion ($108.23 billion) wey e dey December 2023. Reports say di FG dey addicted to loans like drug addicts wey no fit stop, and di habit dey get worse every year. What Dr Ngozi Okonjo-Iweala persuade Obasanjo make e do for 2004, to pay off Nigeria external loans, bin so strange to government leaders say one late former Governor call am “stupid”. Since then, no President or Governor don try am again even wen chance dey. Between 2010 to 2013, Nigeria golden again, oil boom 1970s level, yet borrowing no dey priority. But since Obasanjo borrow $2.8 billion as Military Head of State, Nigeria debt start grow till e reach $36 billion. Yar’Adua and Jonathan time, even wen crude price reach $110 per barrel, government and governors still dey borrow instead of save. Ministers and commissioners of finance never fit make di leaders understand. Reducing FG or state debt don become impossible mindset.

From 2015, situation don worsen. Buhari add grandchildren to di list of perpetual debtors. At di rate FG dey acquire more loans, great grandchildren fit also enter debt trap. Nobody fit tell wen di crunch go come, and leaders wey dey borrow and spend dey like addicts wey believe another loan go solve everything. Nigeria recently launch $2.35bn Eurobond wey oversubscribed 400% because interest rate dey 9.25% to 10.375%, almost double markets wey dey 6% per annum. Majority investors na rich people wey dey seek tax dodge and high returns, but Nigeria still get repay capital plus high interest in 6–10 years. Given di Tinubu government love for loans, FG alone no fit stop di borrowing, and National Assembly no ready to intervene. Di IMF or US fit one day step in to stop di trend. Di million-dollar question remain, Where di money dey?