The Federal Government has dismissed claims that the administration of President Bola Ahmed Tinubu borrowed nearly ₦80 trillion within its first three years in office.
In response to the claims, the government said the reported figure wrongly equates the increase in the country’s total public debt with fresh borrowing, insisting that a significant portion of the rise resulted from accounting adjustments and the sharp depreciation of the naira.
According to the government, the devaluation of the naira significantly increased the naira value of Nigeria’s existing external debts, which are largely denominated in foreign currencies.
It argued that this exchange-rate effect should not be mistaken for new borrowing.
The government further explained that changes in the country’s debt profile also reflect the recognition and restructuring of existing obligations, rather than the acquisition of entirely new loans.
While acknowledging that the Tinubu administration has obtained both domestic and external loans to finance government operations and development projects, the Federal Government maintained that the widely circulated figure exaggerates the amount of fresh borrowing undertaken since May 2023.
It reiterated that the increase in Nigeria’s total public debt should be viewed within the broader context of exchange-rate movements and debt accounting, rather than being presented solely as new borrowing by the current administration.
