Atiku slams Tinubu over borrowing

Unpacking the Fiscal Overreach

Former Vice President Atiku Abubakar has launched a scathing critique against President Bola Tinubu's administration, accusing it of profound fiscal mismanagement. The core of Atiku's argument stems from a report indicating that the Federal Government's borrowing in 2024 significantly exceeded the limit approved by the National Assembly. Specifically, the government reportedly borrowed an additional ₦4.79tn above the authorized ceiling, pushing total fresh borrowing to an alarming ₦12.62tn. This represents a 61.2 percent increase over the amount sanctioned by the legislature, raising serious questions about adherence to budgetary discipline and parliamentary oversight.

Adding to the concern, Atiku also highlighted an unexplained ₦3.19tn reportedly obtained as "budget support." He pointed out that there was no provision for such borrowing within the approved appropriation, suggesting a lack of transparency and potentially unauthorized financial maneuvers. These figures, according to Atiku, directly contradict the assurances given to Nigerians that painful economic reforms, such as the removal of fuel subsidies and increased taxation, would lead to reduced borrowing and a stabilization of the country's finances. Instead, he argues, the nation is witnessing the exact opposite, with an endless cycle of borrowing and a ballooning debt profile.

A Pattern of Mismanagement

Atiku Abubakar's criticism extends beyond just the borrowing figures, painting a picture of systemic financial mismanagement within the Tinubu administration. He described the excessive borrowing as part of a "disturbing pattern" characterized by "duplication, opacity and reckless fiscal management." The former Vice President accused the government of operating duplicated budgets, concealing substantial expenditures under the Service Wide Vote, and even creating what he termed "fake agencies." These allegations suggest a deliberate obfuscation of public spending, making it difficult to track funds and ensure accountability.

Furthermore, Atiku condemned the administration for approving extravagant spending on luxury vehicles while critical sectors like education, healthcare, security, and infrastructure remain severely underfunded. He lamented that Nigerians are being forced to service debts without seeing tangible benefits in these essential areas. This disconnect between borrowing and visible development fuels public frustration and raises questions about the efficacy and priorities of government spending. The opposition's stance is that despite a reported ₦7.98tn oil revenue windfall, the government's continued reckless borrowing indicates a fundamental "lack of discipline" rather than a lack of revenue.

The Looming Debt Crisis

The implications of Nigeria's rising debt profile and servicing obligations are a central concern for Atiku Abubakar. He highlighted a Budget Office report showing that debt servicing reached ₦12.36tn, exceeding budgetary projections by over 52 percent. This alarming trend suggests that an increasing portion of the national budget is being allocated to repaying existing debts, rather than investing in productive sectors or social welfare programs. Atiku warned that Nigeria is rapidly approaching a "dangerous fiscal position" where new borrowing is primarily used to service old debts, a scenario he starkly labeled "fiscal vandalism."

He emphasized that this is not genuine economic reform but a destructive cycle that jeopardizes the nation's future. Atiku called for a government committed to fiscal discipline, transparency, and prudent management of public resources. He proposed that an ADC-led administration would prioritize blocking financial leakages, eliminating waste, and directing public funds towards investments that stimulate economic growth and improve citizens' welfare. The former Vice President concluded by stating that the Nigerian people should not be forced to pay today's taxes to service yesterday's loans, leaving future generations with only debt, underscoring the long-term consequences of the current fiscal trajectory.