The 2023 presidential candidate of the Labour Party (LP), Peter Obi, has raised serious concerns over the ongoing series of borrowings by the federal government under the leadership of President Bola Tinubu.
Demanding transparency, Obi criticized both the administration and the National Assembly for their lack of scrutiny in approving loans without specific details of their purpose.
Expressing regret over the continuous surge in borrowings without accompanying explanations, Obi drew parallels between the current administration and the borrowing trends observed during ex-President Muhammadu Buhari’s tenure. He argued that the government, under Tinubu, is neglecting rational economic management, diverting public funds towards lavish lifestyles for politicians, leaving ordinary Nigerians to bear the brunt.
Taking to the X platform on Tuesday, Obi emphasized the urgent need for accountability and transparency, urging the government to cease its path of excessive and unexplained borrowings, which, according to him, are driving Nigerians into economic woes.
Obi pointedly addressed the recent approvals by the National Assembly, highlighting the N22.7 trillion Ways and Means borrowing approved just days before the end of Buhari’s tenure. He expressed concern over the flagrant violation of the CBN Act, with lending to the government skyrocketing by 2700% in seven years.
The former Anambra State Governor shed light on the approval of an additional N7.3 trillion securitization of existing ways and means facility by the Tinubu administration. Furthermore, Obi revealed the president’s request to borrow $7.8 billion and €100 million, all transpiring within the span of seven months without detailed explanations.
Obi stressed the necessity for specific details on the purpose of these borrowings, asserting that the continuous securitization of Ways and Means borrowing from the CBN is against the law. He highlighted the potential danger of accumulating debts without transparent and productive utilization.
Expressing concerns over the lack of scrutiny on these borrowings, Obi questioned the administration’s commitment to public accountability. He called for an immediate halt to the trend of excessive borrowing and profligate spending on nonessential projects, emphasizing the need for a shift towards rational economic management to prevent a looming economic crisis.
In conclusion, Obi cautioned against the unsustainable pattern of accumulating debts for nonessential projects, urging the nation to address fundamental issues of economic management beyond political affiliations. His appeal underscores the risk of economic turbulence if the current trend persists, emphasizing the need for responsible fiscal policies to alleviate the burden on the already distressed populace.
