The House of Representatives has thrown its full weight behind President Bola Tinubu’s borrowing plans, with Speaker Abbas Tajudeen describing strategic borrowing as essential for Nigeria’s infrastructure and economic growth. The clarification comes amid what the Speaker termed “misleading” reports about the legislature’s position on national debt.
Speaking at the 8th Annual African Network of Parliamentary Budget Offices Conference in Abuja, Abbas addressed recent comments he made about Nigeria’s debt-to-GDP ratio exceeding the statutory 40% limit. He emphasized that the House’s concern was never about opposing borrowing, but about ensuring its responsible implementation.
“Recently, a speech delivered by the House leader at the West Africa Parliamentary Conference was horrendously and mischievously reported out of context. We should state clearly that this interpretation is both inaccurate and misleading,” Abbas stated.
The Speaker outlined the House’s firm position, stating: “The House and indeed the National Assembly have consistently affirmed that in the face of present developmental needs, strategic and responsible borrowing is an essential fiscal tool. Like every modern economy, Nigeria must sometimes leverage credit to finance critical infrastructure, stimulate growth and protect vulnerable populations.”
Abbas highlighted that all borrowing under Tinubu’s administration would be “targeted, transparent and sustainable,” with funds directed toward revenue-generating sectors like power, transport, and agriculture rather than consumption.
The Speaker also revealed staggering financial losses, noting that “Africa collectively loses over $587 billion annually due to corruption, illicit financial flows, and inefficiencies,” with Nigeria losing an estimated $18 billion yearly to financial crimes.
Conference Chairperson Professor Dumisani Jantjies acknowledged Nigeria’s recent economic progress, including growth reaching 3.4% in 2024 – the highest in a decade – but cautioned that inflation and poverty remain serious concerns. He emphasized the critical role of Parliamentary Budget Offices in ensuring fiscal transparency and alignment with Africa’s development goals.
The event, hosted by the National Assembly Budget and Research Office, brought together budget experts from across Africa to discuss strengthening fiscal oversight mechanisms continent-wide.
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