ABUJA — The Speaker of the House of Representatives, Tajudeen Abbas, has warned that Nigeria’s rising debt profile, now at ₦149.39 trillion (about US$97 billion) in the first quarter of 2025, has breached statutory limits and threatens the nation’s fiscal sustainability.
Speaking at the 11th Annual Conference of the West Africa Association of Public Accounts Committees (WAAPAC) in Abuja, Abbas said Nigeria’s debt-to-GDP ratio has climbed to 52 percent, far above the legal ceiling of 40 percent. He cautioned that without urgent reforms, the country risks mortgaging the welfare of future generations.
Abbas stressed the need for stronger parliamentary oversight, transparent borrowing practices, and public accountability, noting that Africa’s total public debt hit US$1.8 trillion in 2022. He highlighted that Western private lenders hold 35 percent of Africa’s debt, multilateral institutions 39 percent, while Chinese creditors account for only 12 percent.
To address the crisis, Abbas announced plans for a West African Parliamentary Debt Oversight Framework under WAAPAC to harmonize debt reporting and build regional capacity. He also urged public hearings on major borrowing proposals and citizen access to simplified debt reports.
Finance Minister Wale Edun offered a more optimistic outlook, citing reforms such as subsidy removal and tax restructuring, which he said had boosted revenues and reduced Nigeria’s debt service-to-revenue ratio to about 60 percent in 2024.
Senate President Godswill Akpabio, represented at the event, emphasized that unchecked debt undermines future stability, underscoring the importance of stronger legislative oversight.
WAAPAC President Issouf Traore commended Nigeria for hosting the conference and praised President Bola Tinubu’s economic reforms.
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