By Hosanna Eseose
The Federal Government has dismissed claims that President Bola Ahmed Tinubu’s administration has borrowed between N75 trillion and N80 trillion, insisting that the sharp increase in Nigeria’s public debt is largely the result of naira depreciation, inherited liabilities and accounting adjustments rather than fresh loans.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed this on Monday during an economic review session organised by the Senate Committee on Finance.
Oyedele explained that comparisons between Nigeria’s debt stock at the beginning of the Tinubu administration and the current figure have created a misleading impression that the government embarked on massive borrowing.
“When this administration came into office, public debt was around N75 trillion. Many people simply compare the number before and the number now and conclude that this government has borrowed so much. That is not correct,” he said.
According to him, over N40 trillion was added to the country’s debt profile following the depreciation of the naira, which led to the revaluation of Nigeria’s foreign currency-denominated obligations.
He also said another N33 trillion was recorded after the National Assembly approved the securitisation of the Central Bank of Nigeria’s Ways and Means advances inherited from the previous administration.
Oyedele further explained that borrowing approvals granted by the National Assembly should not be mistaken for funds already accessed by the government, noting that approved loans are often reported before actual disbursement.
He added that intervention programmes such as the Nigerian Education Loan Fund (NELFUND) were aimed at expanding access to education while easing financial pressure on Nigerian families.
During the session, Senator Tahir Monguno criticised the slow pace of budget implementation despite improved revenue generation by government agencies. He argued that stronger revenue performance should translate into faster execution of capital projects.
Monguno noted that a significant portion of the 2025 capital budget was rolled over into 2026, describing the failure to fully implement an Appropriation Act as a violation of the law.
He also questioned why about N1.7 trillion was reportedly retained after approximately N3.7 trillion accrued to the Federation Account.
Similarly, Senator Adamu Aliero claimed that while former President Muhammadu Buhari borrowed about N75 trillion, the Tinubu administration had also borrowed between N75 trillion and N80 trillion, expressing dissatisfaction with the level of budget implementation.
Responding, Oyedele said he was not familiar with the specific figures cited but maintained that allocations from the Federation Account Allocation Committee (FAAC) under the current administration had not fallen below N2 trillion.
Chairman of the Senate Committee on Finance, Senator Mohammed Sani Musa, said the success of the government’s economic reforms would ultimately be judged by their impact on the welfare of Nigerians.
He called for greater coordination between fiscal and monetary authorities and disclosed that the National Assembly was considering adjustments to the government’s payment process to speed up disbursements while maintaining accountability.
Musa also clarified that concerns over payment batch numbers stemmed from misunderstandings, stressing that the payment system remained functional but required improvements.