By Bellow Sani l May 21, 2026
The administration of Nigerian President Bola Ahmed Tinubu has defended its growing borrowing strategy, insisting that loans are necessary to address the country’s infrastructure deficit and stimulate economic growth amid ongoing fiscal pressures.
Speaking on the government’s economic direction, presidential aide and economist Tope Fasua said Nigeria currently lacks sufficient financial resources to independently fund critical infrastructure projects needed to revive the economy. According to him, borrowing remains an unavoidable option for the administration as it seeks to expand roads, transport systems, power projects, and other development initiatives.
Fasua reportedly argued that infrastructure investment is central to economic recovery and long-term national growth, stressing that countries around the world often rely on debt financing to execute large-scale development projects. He maintained that the Tinubu administration’s borrowing plans are designed to stimulate productivity, improve connectivity, and attract investment into key sectors of the Nigerian economy.
The remarks come amid growing public concern over Nigeria’s rising debt profile and worsening economic hardship. Citizens across the country have continued to grapple with soaring inflation, high food prices, unemployment, and the impact of recent economic reforms introduced under the Tinubu government. Analysts and opposition figures have repeatedly questioned whether continued borrowing could deepen Nigeria’s debt burden without delivering meaningful improvements to living conditions.
Recent reports indicate that the Nigerian Senate approved parts of President Tinubu’s external borrowing requests intended to fund major infrastructure projects, including highway construction and other national development programs.
Supporters of the administration argue that the borrowing strategy is necessary to close decades of infrastructure gaps that have hindered industrial growth and economic competitiveness. Critics, however, warn that increasing reliance on loans could expose the country to long-term fiscal risks, especially as debt servicing continues to consume a large portion of government revenue.
Nigeria has faced mounting economic challenges since the removal of fuel subsidies and currency reforms introduced by the Tinubu administration shortly after assuming office. While the government insists the policies are aimed at stabilizing the economy and attracting investment, many Nigerians say the reforms have worsened the cost-of-living crisis.