The African Democratic Congress (ADC) has criticised the Federal Government over Nigeria’s rising debt profile, accusing the administration of President Bola Ahmed Tinubu of operating what it described as a “Ponzi economy” driven by continuous borrowing.
The opposition party reacted following the Federal Government’s move to seek an additional $1.25 billion loan from the World Bank, weeks after the National Assembly approved fresh external borrowing requests worth billions of dollars.
In a statement issued by the party’s National Publicity Secretary, Bolaji Abdullahi, the ADC described Nigeria’s debt burden as alarming and warned that increasing dependence on loans was worsening hardship for citizens.
According to the party, Nigeria’s total public debt has risen to about ₦159.28 trillion, while inflation, unemployment, insecurity and the cost of living continue to increase nationwide.
“At this point, Nigerians must ask a simple question: if this government keeps borrowing trillions of naira every few months, why are Nigerians getting poorer, and why is life getting harder for the majority?” Abdullahi said.
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The ADC argued that despite repeated borrowing, many Nigerians continue to face rising food prices, higher electricity tariffs, a weak naira, business closures and widespread unemployment.
“This is why the ADC says the Tinubu administration is running a Ponzi economy, where new loans are constantly being taken to service old debts and cover fiscal failures, while ordinary Nigerians are left to carry the burden,” the statement added.
The party also raised concerns over debt servicing costs, noting that the Federal Government projects spending about $11.6 billion, estimated at over ₦15 trillion, on debt servicing in 2026 alone.
According to the ADC, funds that should have been invested in infrastructure, healthcare, education, agriculture, electricity and security are instead being channelled into servicing debts.
The party further accused the government of failing to translate borrowed funds into tangible improvements in citizens’ lives.
“A serious government borrows to build industries, stabilise power, create jobs, expand exports, improve transportation and grow the economy in ways that citizens can actually feel,” the statement said.
The ADC also criticised the National Assembly of Nigeria, alleging that lawmakers had failed to subject borrowing requests to proper scrutiny.
“The National Assembly, which should serve as checks on executive excesses, has been reduced to a mere rubber stamp,” the party stated.
Data from the Debt Management Office (DMO) has shown a steady rise in Nigeria’s public debt in recent years, driven by domestic and external borrowings, exchange rate depreciation and widening fiscal deficits.
The ADC warned that continued borrowing without visible economic gains could worsen Nigeria’s fiscal situation and deepen hardship among citizens.
