Nigeria’s Debt Hits Critical Level, Lawmakers Urged to Check Reckless Borrowing

The Speaker of the House of Representatives, Abbas Tajudeen, has raised alarm over Nigeria’s rising public debt, warning that it has breached the statutory limit and threatens the country’s fiscal stability.

Speaking at the 11th Annual Conference and General Assembly of the West Africa Association of Public Accounts Committees (WAAPAC) in Abuja on Monday, Abbas said Nigeria’s total debt reached N149.39 trillion (about US$97 billion) in the first quarter of 2025, up from N121.7 trillion in 2024. The country’s debt-to-GDP ratio now stands at 52 percent, surpassing the 40 percent ceiling set by law.

“This sharp rise in public debt is a clear signal of strain on our fiscal sustainability. If unchecked, it could limit resources for critical sectors like healthcare, education, and infrastructure,” he said.

Abbas urged for stronger oversight, transparent borrowing, and reforms to ensure that loans yield tangible economic and social benefits. He warned that many African nations already spend more on debt servicing than on essential services and stressed that Nigeria must avoid a similar fate.

The Speaker announced plans to establish a West African Parliamentary Debt Oversight Framework under WAAPAC to harmonise debt reporting, set transparency standards, and equip parliaments with data for effective scrutiny. He also highlighted a regional capacity-building programme to strengthen debt sustainability analysis and fiscal risk assessment.

Abbas emphasised that borrowing should prioritise projects that create jobs, reduce poverty, and boost economic growth, while reckless borrowing for consumption or corruption must be rejected. He reaffirmed the House’s commitment to accountability under its Open Parliament policy, ensuring public hearings for major borrowing proposals and simplified debt reports for citizens.