The presidential candidate of the Labour Party in the 2023 General Election, Peter Obi, is expressing his worries about Nigeria’s debt profile.
In a Tuesday post on X, Obi said the N97.3 trillion debt was high while decrying the annual spending of more than N7 trillion on debt servicing.
"I remain concerned about our borrowings, considering their galloping situation over the years and its concomitant effects on the economy,” the Anambra State former governor wrote.
“More worrisome is the fact that there has been no corresponding visible usage or investments as required by the law, to show their impact on the nation.
"At the end of the second quarter, Q2, of 2023, our debt stood at N87.9 trillion, which was very disturbing to us, because we were at a loss on what we did with the huge debt, especially the over N30 trillion ways and means borrowed by the last administration, which for me, would have been the end of borrowing without any visible and corresponding investment that will benefit the nation.
"Even more worrisome is that between the end of the third quarter, Q3, and the end of the fourth quarter, Q4, of 2023, about N10 trillion was added to our debt profile, which has now taken our debts to N97.3 trillion, again, without any corresponding visible and verifiable utilization of such debts, to the and best of my knowledge, is the highest ever borrowed in one quarter.
"Last year, 2023, our total debt servicing for domestic debts stood at N4.4 trillion, and that of external debt servicing was $3.5 billion, which is about N7.9 trillion. In effect, approximately N10 trillion is now set aside to service unproductive debts.”
Obi said he dreams of a Nigeria where resources would be accounted for and used productively.
