Peter Obi, the Labour Party’s presidential candidate in the 2023 general election, has called on the Federal Government to provide a comprehensive breakdown of how borrowed funds are being utilized. His statement comes in response to alarming figures that show a sharp rise in government borrowing by the end of the first quarter of 2024.
In a post shared on his verified X account on Monday, Obi expressed concern over the nation’s mounting debt, which had reached N121.86 trillion by the close of Q1. He cautioned that if the borrowing trend continues unchecked, Nigeria’s total debt could exceed N150 trillion by the year’s end.
Borrowing: A Tool for Progress or a Path to Crisis?
Obi emphasized that borrowing, when used responsibly, can drive significant economic growth. However, he warned that reckless borrowing without clear, productive application could deepen the nation’s financial woes.
“Borrowing in itself isn’t the problem. The issue lies in how the funds are utilized. Productive use can spur economic growth, while mismanagement leads to a vicious cycle of debt and economic stagnation,” Obi stated.
He called for a shift in focus toward using borrowed funds for developmental projects such as:
- Infrastructure Development
- Education
- Healthcare
- Entrepreneurship Support
“These areas, if prioritized, can yield long-term benefits for the economy and improve the quality of life for Nigerians,” Obi remarked.
Demand for Accountability and Transparency
Obi underscored the importance of transparency, citing legal provisions that mandate detailed explanations regarding the purpose, timing, and expected outcomes of borrowing.
“I respectfully request that the Federal Government ensures accountability for these massive borrowings. Our nation’s future is at stake, and it’s imperative to demonstrate how these funds are driving growth and improving citizens’ lives,” he urged.
The former governor of Anambra State also called on policymakers and stakeholders to adopt a cautious and prudent approach to debt management. He emphasized that transparency is essential, not only for the current generation but also for safeguarding the prospects of unborn generations.
A Vision for Sustainable Development
Obi concluded by reiterating that sustainable economic growth hinges on utilizing borrowed resources efficiently. He expressed hope that with improved governance and accountability, Nigeria could chart a path toward long-term prosperity and development for all its citizens.
“By prioritizing effective allocation of resources and promoting good governance, we can ensure a brighter future for generations to come,” he added.
This call for transparency resonates with many Nigerians who are increasingly concerned about the country’s growing debt burden and its implications for economic stability.
