…Says FG has not borrowed anything near N80trillion being bandied
…As Senators lament non-implementation of 2026 budget
By A Special Correspondent
The Federal Government of Nigeria declared Monday that the Nation’s debt profile is exaggerated as monies borrowed under President Bola Ahmed Tinubu within the last three years, are nowhere near the N80trillion being bandied by public commentators and erroneously reported by journalists.
Minister of Finance and Coordinating Minister for the Economy, Mr. Taiwo Oyedele made the clarification in his submissions on the State of the Nation’s Economy to the Senate Committee on Finance .
Responding to question asked by Senator Adamu Aliero (Kebbi Central) on alleged N80trillion debt profile incurred by the present administration in addition to N75trillion inherited, the Finance Minister said the President Bola Ahmed Tinubu led government did not borrow money near quoted the figure .
The entire debt profile, according to him, is exaggerated through multiple reportage by media and accounting misadjustment by those over calculating it.
He said: When this administration came into office, public debt was around ₦75 trillion. Many people simply compare that figure with today’s debt stock and conclude that this government has borrowed massively.
“However, it is important to note that, following the reforms and the depreciation of the naira, the foreign currency component of our public debt had to be revalued because Nigeria reports its debt in naira. That accounting adjustment alone added more than ₦40 trillion to the public debt figure.
“Another important factor is the securitization of the Ways and Means advances from the previous administration, which the National Assembly approved. About ₦33 trillion was added to the public debt through that process. It was not new borrowing; it was simply bringing previously existing obligations onto the official debt books.
“These factors have not always been properly explained, which is why the reported public debt appears much larger.
“The actual amount this administration has borrowed is nowhere near what many people believe. Even for domestic borrowing, much of it is refinancing. Debt that was borrowed previously matures, and government raises new debt to refinance it. That is not new borrowing”, he said.
He added that President Tinubu led administration has been very responsible in its borrowing which are strictly for infrastructure and not for anything consumptive.
“This administration has been very responsible in its borrowing. We understand the concerns of Nigerians and of the distinguished senators, but we remain fully committed to debt sustainability.
“We see debt as leverage. Every naira and every dollar borrowed should generate more value than the amount borrowed,” he said.
He was however tackled by some members of the committee , particularly the Whip of the Senate, Senator Tahir Monguno ( Borno North) and Senator Adamu Aliero on non implementation of the capital component of 2026 budget , which according to Monguno, constitutes an impeachable offence .
But the Chairman of the committee, Senator Sani Musa (Niger East), bailed the Minister out by assuring his colleagues that implementation of the capital components of the 2026 budget would soon be felt by all and sundry.
Sani Musa at the end of closed door session the committee had with the Minister and other members of the economic team, said they collaborated to make budget management flow with revenue.
“Performance and priority based budgeting system is being looked at, to replace the envelope system and also reverting back to old system of payments for contractors,” he said.
