Questions over Nigeria’s rising public debt took centre stage at the Senate on Monday as the Federal Government sought to clarify claims that the Tinubu administration had borrowed about ₦80 trillion in three years. Finance Minister and Coordinating Minister for the Economy, Mr. Taiwo Oyedele, told lawmakers that the widely circulated figure does not reflect the government’s actual borrowing.
Appearing before the Senate Committee on Finance, the minister explained that a significant portion of the increase in Nigeria’s debt stock resulted from accounting adjustments rather than fresh loans. He was responding to concerns raised by Senator Adamu Aliero, who questioned reports that the current administration had accumulated trillions of naira in additional debt after inheriting a public debt profile of about ₦75 trillion.
According to Oyedele, the depreciation of the naira following economic reforms required the country’s foreign-denominated debt to be revalued in local currency, adding more than ₦40 trillion to the reported debt stock. He said this increase reflected changes in exchange rates and accounting valuations rather than new borrowing by the government.
The minister also pointed to the securitisation of Ways and Means advances approved by the National Assembly, explaining that the process added about ₦33 trillion to the official debt profile. He said the amount represented existing obligations accumulated under the previous administration and should not be interpreted as loans obtained by the current government.
Oyedele maintained that borrowing under the Tinubu administration has been guided by debt sustainability principles. He told the committee that much of the government’s domestic borrowing has been used to refinance maturing obligations rather than expand the country’s debt burden, while new loans have been directed primarily towards infrastructure projects.
Despite the explanations, some senators shifted attention to concerns over budget implementation. Senate Chief Whip Tahir Monguno and Senator Aliero questioned the pace of executing the capital component of the 2026 budget, arguing that delayed implementation could undermine planned development projects and public confidence in government spending.
Responding to the concerns, Chairman of the Senate Committee on Finance, Senator Sani Musa, assured lawmakers that progress on capital expenditure would become more visible. He disclosed that discussions with the economic management team also focused on improving budget execution through reforms that align spending with available revenue.
The Senate engagement highlighted the growing demand for greater transparency in the management of Nigeria’s public finances. As lawmakers continue oversight of government borrowing and budget implementation, the Finance Ministry says clearer public communication on debt figures and fiscal reforms will remain essential to ensuring that economic data is properly understood and accurately interpreted.
