The African Democratic Congress has accused the administration of President Bola Ahmed Tinubu of operating what it described as a “Ponzi economy” following plans by the Federal Government to secure another 1.25 billion dollar loan from the World Bank despite Nigeria’s growing debt burden estimated at about N159.28 trillion.
In a statement released on Thursday, the party’s National Publicity Secretary, Bolaji Abdullahi, said the continuous borrowing by the government had failed to improve the living conditions of ordinary Nigerians. He argued that while debt keeps rising, citizens are facing worsening economic hardship, soaring inflation, rising food prices, unemployment, and widespread business closures.
According to the ADC, the current administration has continued to rely heavily on loans to service old debts and cover fiscal challenges without achieving meaningful economic progress. The party questioned why Nigerians were becoming poorer despite repeated borrowing by the government every few months.
The opposition party also expressed concern over the country’s debt servicing obligations projected for 2026. Abdullahi noted that President Tinubu had earlier disclosed that Nigeria could spend over 15 trillion naira on debt servicing alone next year. He warned that resources meant for roads, healthcare, education, electricity, agriculture, and job creation could instead be used to repay creditors.
The ADC further criticised the economic reforms introduced under the current administration, including fuel subsidy removal, naira devaluation, and increased electricity tariffs. According to the party, Nigerians were promised temporary hardship followed by economic recovery, but living conditions have continued to deteriorate nearly two years after the policies were introduced.
The party also accused the National Assembly of failing to properly scrutinize government borrowing requests before approval. It warned that continued accumulation of debt could mortgage the future of unborn generations while ordinary Nigerians continue to suffer from inflation, hunger, unemployment, and declining standards of living.
The Federal Government has yet to officially respond to the latest criticism from the opposition party.
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