Nigeria’s presidential candidate under the Nigeria Democratic Congress, Peter Obi, calls on Nigeria to emulate South Africa’s borrowing approach, arguing that borrowing is not inherently harmful but must be transparent and tied to measurable public benefits. In a post on his verified X account, Obi says accountability depends on citizens being able to clearly see what funds are borrowed, what they are used for, and the outcomes they generate. He cites South Africa’s handling of a recently secured $1 billion loan from the New Development Bank, describing it as an example where the purpose is defined, projects are identifiable, and expected benefits are measurable. Obi contrasts this with what he describes as Nigeria’s opaque use of public debt under the current administration, saying public debt has risen from about ₦87 trillion in 2023 to nearly ₦200 trillion, while Nigerians lack clear details on how borrowings improve sectors such as education, healthcare, power, security, and infrastructure. He argues loans should support productive investments that create economic value, jobs, and welfare improvements, and warns that without transparent, results-driven borrowing, the burdens may be transferred to future generations.
Peter Obi urges Nigeria to adopt South Africa’s transparent borrowing approach
Nigeria’s presidential candidate under the Nigeria Democratic Congress, Peter Obi, calls on Nigeria to emulate South Africa’s borrowing approach, arguing that borrowing is not inherently harmful but m...
- Peter Obi urges Nigeria to emulate South Africa’s borrowing patterns.
- He says borrowing itself is not the issue; transparency and accountability in how funds are used are.
- Obi points to South Africa’s $1 billion New Development Bank loan as an example with a clearly defined purpose and identifiable projects.
- He claims Nigeria’s public debt has grown sharply and that borrowing deployment lacks clear disclosure to citizens.
- Obi argues that loans must be tied to productive investments with measurable benefits for citizens.
By Henry Umoru Presidential candidate of the Nigeria Democratic Congress, NDC, ahead of the 2027 polls, Peter Obi has asked the Federal Government to, as a matter of urgency, tell the country how the nation’s mounting debt is being utilised, pointing to South Africa’s transparent handling of a recent $1 billion development loan as a […] The post Obi seeks transparency in Nigeria’s borrowing, cites S’Africa’s $1bn loan appeared first on Vanguard News.
7 hours agoThe Nigeria Democratic Congress, NDC, presidential candidate, Peter Obi, has charged Nigeria to emulate South Africa in its borrowing patterns. Obi gave the charge on Thursday in a post on his verified X handle, noting that borrowing itself is not a bad thing but the transparency is utilising the borrowed funds. The former Anambra State governor described the South African pattern as what accountable borrowing should look like, noting that the purpose is clear, the projects are identifiable, and the expected benefits to citizens are measurable. According to him, such investments directly improve living conditions, enhance productivity, and stimulate economic growth. “I have consistently maintained that borrowing, in itself, is not a bad thing. Every nation borrows. The critical issue is not the act of borrowing, but what the borrowed funds are used for and whether citizens can clearly see and measure the impact of such borrowing in their daily lives. “There is a lot to learn in the open and transparent manner in which South Africa handled its recently secured $1 billion loan from the New Development Bank, with a clearly defined purpose. “This is indeed what accountable borrowing should look like; the purpose is clear, the projects are identifiable, and the expected benefits to citizens are measurable. Such investments directly improve living conditions, enhance productivity, and stimulate economic growth. “In Nigeria, however, the opposite is the case: public debt has risen dramatically under the current administration, and its deployment is shrouded in secrecy from the people who will indeed pay back the loan. Today, our total public debt has increased from about ₦87 trillion in 2023 to nearly N200 trillion. “Yet, despite this unprecedented accumulation of debt, Nigerians are often left without a clear and detailed account of how these borrowings are being deployed to improve critical sectors such as education, healthcare, power, security, and infrastructure. “Borrowing must never become an end in itself. Every loan obtained in the name of the Nigerian people must be tied to specific, productive investments capable of generating economic value, creating jobs, reducing poverty, and improving the welfare of citizens. “Good governance demands transparency and accountability. The government must be able to clearly explain what was borrowed, where it was invested, and what measurable outcomes have been achieved. The ordinary Nigerian should be able to see and feel the benefits of every debt incurred on their behalf. “At a time when millions of Nigerians are struggling with rising costs of living, unemployment, insecurity, and declining purchasing power, fiscal discipline and prudent management of public resources are no longer optional; they are imperative. “Every borrowing decision should answer one simple question: How does this improve the life of the ordinary Nigerian? If that question cannot be convincingly answered, then we risk merely transferring today’s burdens to future generations,” he wrote.
15 hours agoThe Nigeria Democratic Congress, NDC, presidential candidate, Peter Obi, has charged Nigeria to emulate South Africa in its borrowing patterns. Obi gave the charge on Thursday in a post on his verified X handle, noting that borrowing itself is not a bad thing but the transparency is utilising the borrowed funds. The former Anambra State […] ‘Copy South Africa’ – Peter Obi decries Nigeria’s ‘unproductive’ borrowing
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