Tinubu’s Borrowing Strategic, Not Reckless – Presidency

The Presidency has defended Nigeria’s rising debt levels, emphasising that borrowing is a necessary and strategic tool for economic development rather than a sign of financial imprudence.

Special Adviser to President Tinubu on Media and Public Communication, Sunday Dare, responded on his official X account @SundayDareSD to criticisms from former senator Dino Melaye, who labelled the government’s borrowing as excessive and reckless.

Dare dismissed Melaye’s claims as uninformed “noise”, clarifying that the increase in Nigeria’s reported public debt of N149.39 trillion as of March 31, 2025, is mainly due to the depreciation of the naira, not new borrowing.

“When the currency depreciates, the naira value of existing external debt rises even without fresh loans,” he explained.

He highlighted that Nigeria’s debt-to-GDP ratio currently ranges between 40 and 45 per cent, which is moderate compared to South Africa’s 70 per cent and Ghana’s over 90 per cent.

Dare argued that the greater issue lies in improving government revenue generation rather than blaming borrowing levels.

“Debt is a legitimate instrument for financing growth and reforms. The key consideration is sustainability, not empty rhetoric. Unfortunately, Dino prefers theatrics over facts,” the presidential aide said.

Dare also noted progress in government revenue collection, which enhances Nigeria’s ability to meet its debt obligations.

According to him, the Tinubu administration is committed to the Renewed Hope Agenda reforms aimed at broadening the revenue base, sustaining investments, and maintaining debt sustainability.

“Until Dino understands the fundamentals of economics, his commentary will remain entertainment, not enlightenment,” he concluded.