President Bola Tinubu has defended his administration’s borrowing from international institutions and financial markets, arguing that loans should be assessed by the infrastructure they deliver, the economic value they create and their long-term benefits to Nigerians.
In an essay titled “From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy”, the President said the Federal Government was shifting public borrowing away from short-term fiscal pressures towards investments capable of expanding productivity, creating jobs and strengthening the economy.
“The real question is not how much we borrow, but what we build, what value we create and what future we leave behind,” Tinubu wrote.
He identified the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and the modernisation of key commercial ports in Lagos as major projects expected to strengthen Nigeria’s productive capacity.
According to him, the projects, alongside investments in healthcare, education and vocational training, would connect economic regions, reduce logistics costs, unlock agricultural and industrial potential, and attract private investment.
Tinubu said the Lagos-Calabar Coastal Highway was expected to reduce logistics costs along its corridor by 15 to 20 per cent and could contribute up to two per cent to Nigeria’s gross domestic product through increased trade, tourism and industrial activity.
He added that the project was projected to generate about 100,000 direct jobs in construction and engineering, alongside more than 150,000 indirect jobs in logistics, materials and related services.
“We are not simply building highways. We are opening economic corridors, connecting markets, unlocking industries and reshaping Nigeria’s economic geography,” he said.
The President maintained that achieving the administration’s ambition of building a $1 trillion economy by 2030 would require sustained investment in infrastructure to support higher productivity, industrialisation and trade.
“We cannot build a USD 1 trillion economy with infrastructure designed for an economy a fraction of that size,” he added.
Tinubu said the economic reforms introduced by his administration since May 2023 had helped restore macroeconomic stability, strengthen public finances and improve Nigeria’s standing in international financial markets.
Citing economic indicators, he said real GDP growth reached 4.43 per cent in the second quarter of 2026, while headline inflation declined to 14.63 per cent in September from 20.98 per cent a year earlier.
He also said gross external reserves rose to $55.1 billion as of 9 October 2026, including about $46 billion in net reserves, while the tax-to-GDP ratio increased to 12.5 per cent from seven per cent.
The President attributed the reported improvements to measures including the removal of the petrol subsidy, exchange rate unification, tax reforms and coordinated efforts to tackle inflation.
“The decisions taken since 2023 were difficult but necessary,” he said.
Tinubu argued that the changes had strengthened Nigeria’s capacity to attract investment and finance projects capable of supporting long-term economic growth.
“Confidence has a price; our cost of borrowing is going down, and the country risk premium has drastically decreased,” he said.
He also cited assessments by international credit rating agencies as evidence of improved confidence in the Nigerian economy.
“These are not political endorsements; they are independent assessments by global rating agencies, index providers, regulators and investors, recognising stronger external reserves, improved macroeconomic management and greater financial credibility,” he said.
According to Tinubu, the improved standing could help Nigeria attract more institutional investors, secure longer-term financing and reduce borrowing costs.
The President said his administration was pursuing longer-term financing arrangements that would better match the repayment periods of loans with the lifespan of the infrastructure assets being developed.
He said such arrangements were intended to reduce refinancing pressures and secure more competitive funding for productive investments.
Tinubu maintained that Nigeria must convert renewed international confidence into capital expenditure, completed projects and lasting economic benefits for citizens.
He stressed that the success of the government’s borrowing strategy should not be measured by the amount of financing secured but by the delivery of infrastructure and its effect on living standards.
“Securing financing is not the achievement. Completing the project, delivering value and improving the lives of Nigerians is the achievement,” he said.
The President identified five priorities for the next phase of the Federal Executive Council’s economic strategy.
They include improving food affordability and stabilising energy prices; harmonising budgets and strengthening fiscal discipline; completing high-impact projects and investing in critical infrastructure; improving the economic policy framework and regulatory efficiency; and providing targeted household support alongside investment in human development.
He said the priorities were intended to ensure that economic reforms translated into tangible improvements in people’s lives.
Tinubu reiterated that achieving a $1 trillion economy by 2030 would require sustained investment, higher productivity, industrialisation and expanded trade.
He added that responsible borrowing must be accompanied by transparent implementation, timely completion of projects and investments that create lasting opportunities for future generations.
The President said the administration’s economic programme would ultimately be judged by its ability to attract investment, generate employment, deliver infrastructure and improve living standards across the country.
