The Presidency has defended Nigeria’s debt profile, stressing that borrowing is a legitimate tool for financing growth and reforms, not a sign of fiscal irresponsibility.
Special Adviser to the President on Media and Public Communications, Sunday Dare, clarified in response to remarks by former senator Dino Melaye, who raised concerns over recent government borrowing.
Dare dismissed Melaye’s comments as lacking depth and economic grounding.
“Barrister Dino Melaye has once again traded substance for spectacle. In his latest television appearance, he cast himself as Nigeria’s chief political entertainer, tossing around cheap jabs about borrowing from OPay and Moniepoint. Until he acquaints himself with basic economics, his commentary will remain what it has always been: entertainment, not enlightenment,” Dare said.
He explained that Nigeria’s debt-to-GDP ratio remains within a moderate 40–45%, well below South Africa’s 70% and Ghana’s 90% plus.
Attributing the rise in public debt — ₦149.39 trillion as of March 31, 2025 — to naira depreciation rather than reckless borrowing, Dare stressed that exchange rate adjustments automatically inflate the naira value of existing external debt.
“But here are the facts: Nigeria’s total public debt stood at ₦149.39 trillion as of March 31, 2025, according to the Debt Management Office. The jump from last year is not the result of reckless borrowing but largely the arithmetic of naira depreciation. When the currency adjusts, the naira value of existing external debt rises — whether or not new loans are taken,” Dare explained.
He further identified revenue mobilisation as Nigeria’s main challenge while noting that collections are improving, thereby strengthening the country’s ability to service obligations.
Reaffirming the government’s position, Dare added that the Tinubu administration remains committed to reforms that expand the revenue base, attract investment, and guarantee fiscal sustainability.
“Borrowing is a legitimate tool for financing growth and reforms. What matters is sustainability, not soundbites. Unfortunately, Dino prefers theatrics to truth,” Dare added.
The Presidency said Nigeria’s borrowing strategy under President Bola Ahmed Tinubu is guided by prudence and global best practices, positioning the country for sustainable growth.