The African Democratic Congress (ADC) has criticised the Federal Government for its newly approved ₦1.15tn domestic borrowing, describing the move as reckless, contradictory, and indicative of what it called “dangerous fiscal mismanagement.” The rebuke came barely a day after the Senate granted President Bola Ahmed Tinubu’s request to raise additional funds from the domestic market to cover part of the 2025 budget shortfall.
In a statement issued by its National Publicity Secretary, Bolaji Abdullahi, the ADC said the government’s decision undermines its own repeated claims that Nigeria has surpassed its non-oil revenue targets for the year.
ADC Condemns Borrowing Amid Revenue Claims
The ADC argued that the new borrowing contradicts President Tinubu’s earlier declaration that Nigeria had generated ₦20.59tn in non-oil revenue within the first eight months of 2025. The ADC said that borrowing under such circumstances raises serious concerns about the administration’s transparency and fiscal discipline.
According to Abdullahi, the ₦1.15tn loan approval “exposes the contradictions and dangerous fiscal trajectory” of the administration. He described the situation as “economic policy schizophrenia,” alleging that while one arm of government boasts of revenue achievements, another continues to pursue fresh loans without restraint.
The party insisted that a government claiming record-breaking revenue performance should not be turning to loans, especially at a time when citizens are struggling with inflation and rising living costs. It warned that Nigerians are facing “economic suffocation,” not the statistical improvements reported by officials.
Rising Debt Concerns and Calls for Fiscal Discipline by ADC
The ADC also raised alarm over Nigeria’s accelerating debt profile, stating that if all of the President’s borrowing plans for 2025 are approved, the nation’s total public debt could rise by an additional ₦40.61tn to reach an estimated ₦193tn. The figures, the party said, were obtained from verified data released by the Debt Management Office.
In its statement, the ADC urged civil society organisations, international development partners, and citizens to demand immediate fiscal reforms. Among the key recommendations were: a freeze on all non-critical loans, the full publication of all 2025 revenue inflows and expenditure, and the introduction of a legally binding national debt ceiling to prevent further misuse of public funds.
The party also called on President Tinubu to “come clean” with Nigerians, insisting that his administration cannot continue to claim improved revenue while simultaneously borrowing more than any previous government in the country’s history.
Senate’s Position and Deficit-Financing Rationale
On Wednesday, the Senate approved the President’s request to raise the ₦1.15tn needed to cover the unfunded portion of the 2025 budget deficit. This approval followed the adoption of a report presented by the Senate Committee on Local and Foreign Debt, chaired by Senator Wamakko Magatarkada Aliyu.
According to the committee, the 2025 Appropriation Act sets total expenditure at ₦59.99tn, a ₦5.25tn increase from the earlier proposal of ₦54.74tn. The expansion created a deficit of ₦14.10tn, of which ₦12.95tn had already been approved for borrowing. The additional ₦1.15tn closes the remaining fiscal gap.
Supporters of the borrowing, including Senators Sani Musa, Adetokunbo Abiru, and Adams Oshiomhole, argued that the funds are necessary to maintain national fiscal stability and sustain critical infrastructure and social projects. However, critics maintain that the continued reliance on loans may erode economic resilience and push Nigeria toward unsustainable debt levels.
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