PDP faction challenges FG to explain benefits of N159.35tn debt

The Tanimu Turaki-led faction of Nigeria's Peoples Democratic Party (PDP) has called on the Federal Government to explain the benefits of the country's massive debt, which has reached N159.35 trillion as of March 31, 2026. The faction argues that Nigeria's rising debt under President Bola Tinubu's All Progressives Congress (APC)-led government has become a major concern, particularly in tackling issues like insecurity, unemployment, and infrastructure problems.

The PDP's Interim National Working Committee (INWC) expressed its apprehension over the continued reliance on loans despite the country's weak revenue base. They questioned the instinct to look for another loan whenever government spending seems to outrun available revenue, suggesting that borrowing should not be the default solution for funding projects.

The party acknowledged that borrowing is not inherently wrong, but highlighted the need for transparency regarding how the borrowed funds are being utilized. They emphasized that money spent servicing debts cannot be used for essential public needs such as roads, schools, hospitals, security, and job creation. The PDP stressed that the government should provide clear details on which projects are being financed, their costs, completion timelines, and expected economic returns.

Furthermore, the faction criticized the government's plans for additional foreign borrowing, including a proposed $21.5 billion borrowing program in 2025 and a later National Assembly approval for a $2.85 billion foreign loan. They argued that refinancing existing debts should not automatically be seen as a sign of financial mismanagement, but warned against the practice of continuously borrowing to repay previous debts, which could potentially become a cycle of borrowing to keep the debt machine running.

The PDP urged the Federal Government and National Assembly to provide detailed information on the purpose, cost, and measurable benefits of major loans. They emphasized that the Nigerian people deserve more than assurances that the loans are necessary; they deserve concrete evidence that the funds are being used effectively to address the country's pressing challenges.