The Presidency has defended Nigeria’s borrowing profile, insisting that the country remains within sustainable debt limits and retains the capacity to access additional financing for critical infrastructure development.
Special Adviser to the President on Information and Strategy, Mr Bayo Onanuga, stated this in a post on his X handle while reacting to concerns over Nigeria’s rising debt profile, describing such criticisms against government borrowing as “unwarranted alarm” driven by “economic and financial ignorance”.
Onanuga asserted that Nigeria had not over-borrowed when compared with several African economies, emphasising that the nation remained creditworthy and strategically positioned to secure loans required to finance infrastructure and economic expansion.
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According to him, Egypt’s total debt stands at over $400 billion against a Gross Domestic Product (GDP) of about $390 billion, placing its debt-to-GDP ratio above 100 per cent.
He also noted that South Africa’s debt profile is estimated at about $580 billion with a GDP of approximately $420 billion, translating to a debt-to-GDP ratio of roughly 135 per cent.
Mr Onanuga further clarified that Nigeria’s total public debt is estimated at about $110 billion, while the country’s GDP is around $340 billion, placing its debt-to-GDP ratio at approximately 35 percent. The presidential aide maintained that the figures indicated Nigeria still maintains a relatively moderate debt position compared to some of Africa’s leading economies, insisting that responsible borrowing remains necessary to address infrastructure deficits and support long-term economic growth.
