Former presidential candidate of the Labour Party, Peter Obi, has expressed strong concern over reports that the Federal Government is planning to borrow about ₦20 trillion to fund the 2026 budget, describing the move as reckless and economically dangerous.
In a statement on Friday, Obi said Nigerians woke up to yet another troubling indication of the government’s growing dependence on debt, despite already spending nearly half of national revenue on debt servicing alone. He noted that the country’s borrowing requirement has risen by more than 72 percent, even as citizens battle worsening economic hardship, insecurity, and unemployment.
Obi questioned the transparency of the government’s fiscal management, especially regarding revenue performance in 2025.
Where is the revenue from 2025?” Obi queried.
“How can we be discussing trillions in new borrowing for 2026 when we are still implementing the 2024 budget? This clearly suggests that the 2025 budget remains untouched and unimplemented.”
He recalled that Nigerians were told that the government had surpassed its 2025 revenue targets as far back as August, yet the administration is still proposing what he described as “uncontrolled and unexplained borrowing.”
According to him, the continued reliance on loans without channeling them into productive sectors amounts to “fiscal rascality” that mortgages the nation’s future.
Obi stressed that nations do not achieve prosperity by excessive borrowing or consumption, but through production, value creation, and the development of strong institutions that ensure accountability.
We cannot tell Nigerians that revenue is increasing while simultaneously increasing borrowing to ridiculous historic levels,” he said.
“Governance must be built on transparency, not propaganda.”
He warned that the country cannot progress on a foundation of misleading financial claims, rising debt, shrinking productivity, and persistent economic hardship.
Obi reiterated his long-held position that “Nigeria cannot borrow its way into prosperity,” insisting that the country must embrace a production-driven economy and prudent management of public resources.
He concluded by reaffirming his optimism for the future:
Our nation must move forward. A New Nigeria is possible.”
