The Speaker of the House of Representatives, Rt. Hon. Tajudeen Abbas has declared that the House fully supports President Bola Tinubu’s borrowing strategy.
At the eighth Annual African Network of Parliamentary Budget Office Conference, Abbas described borrowing as crucial to Nigeria’s economic growth and poverty reduction.
He dismissed reports suggesting that the House opposed Tinubu’s borrowing plans, calling them ‘mischievous and misleading’.
‘Recently, a speech delivered by the House Leader at the West African Parliamentary Conference (WAPC) was erroneously and mischievously reported out of context, creating the false impression that the House of Representatives does not support the borrowing strategy of President Bola Ahmed Tinubu’s administration. We wish to state clearly that this interpretation is both inaccurate and misleading.
‘The 10th House and indeed the National Assembly have consistently affirmed that, in the face of pressing developmental needs, strategic and responsible borrowing is an essential fiscal tool.
‘Like every modern economy, Nigeria must sometimes leverage credit to finance critical infrastructure, stimulate growth, and protect vulnerable populations. What is important and what the President has assured is that all borrowing remains targeted, transparent, and sustainable, consistent with Nigeria’s Medium-Term Debt Strategy and guided by global best practices’, Abbas said.
The Speaker stressed that the National Assembly recognises the need to channel borrowed funds into critical infrastructure, power, transport, and agriculture to expand revenue-generating capacity.
He said: ‘Under President Tinubu’s leadership, borrowed funds are being channelled towards transformative projects that will expand revenue-generating capacity, such as power, transport, and agriculture, rather than for consumption. The House stands firmly behind the President’s vision of using judicious borrowing as a catalyst for growth and poverty reduction, while simultaneously strengthening oversight mechanisms.
‘In the face of pressing developmental needs, strategic and responsible borrowing is an essential fiscal tool. Like every modern economy, Nigeria must sometimes leverage credit to finance critical infrastructure, stimulate growth, and protect vulnerable populations’.
Abbas assured Nigerians that the borrowing plan is guided by prudence and global best practices, while noting that plugging leakages through corruption and illicit financial flows remained critical.
According to him, Nigeria loses about $18 billion annually to financial crimes, roughly 3.8% of GDP.
He maintained that responsible borrowing, coupled with strict oversight and anti-corruption reforms, would safeguard the country’s economic future.
