Tinubu Responds To Concerns Over Nigeria’s New Loans

President Bola Tinubu has defended his application for fresh loans from banks and international organizations.

He contended that the use of the money was more important than the manner in which the nation borrowed.

“The real question is not how much we borrow, but what we build, what value we create and what future we leave behind,” Tinubu said according to his spokesperson, Bayo Onanuga.

In the essay titled “From reforms to delivery: Our infrastructure investment and growth strategy,” Tinubu identified the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and the modernisation of key commercial ports in Lagos as major projects expected to strengthen Nigeria’s productive capacity.

“These, alongside investments in healthcare, education and vocational training, would connect economic regions, reduce logistics costs, unlock agricultural and industrial potential and attract private investment.

“The Lagos-Calabar Coastal Highway is expected to cut logistics costs along its corridor by 15 to 20 per cent and could add up to two per cent to Nigeria’s GDP through expanded trade, tourism and industrial activity.

“It is also projected to generate about 100,000 direct jobs in construction and engineering, alongside more than 150,000 indirect jobs in logistics, materials and related services.

“We are not simply building highways. We are opening economic corridors, connecting markets, unlocking industries and reshaping Nigeria’s economic geography,” the President said.

He linked the investments to the administration’s ambition to build a $1 trillion economy by 2030. “We cannot build a USD 1 trillion economy with infrastructure designed for an economy a fraction of that size,” Tinubu stated.

The President said economic reforms introduced in May 2023 had helped restore macroeconomic stability, strengthen public finances and improve Nigeria’s standing in international financial markets.

“Real Gross Domestic Product growth reached 4.43 per cent in the second quarter of 2026, while headline inflation fell to 14.63 per cent in September from 20.98 per cent a year earlier. Gross external reserves rose to $55.1 billion as of 9 October 2026, including about $46 billion in net reserves, and the tax-to-GDP ratio increased to 12.5 per cent from seven per cent.

“The decisions taken since 2023 were difficult but necessary,” he said.

Tinubu said improving economic indicators and growing international investor confidence are creating opportunities for Nigeria to attract long-term investment.

“Confidence has a price; our cost of borrowing is going down, and the country risk premium has drastically decreased,” he said.

He cited positive assessments by international credit rating agencies as evidence of improved confidence.

“These are not political endorsements; they are independent assessments by global rating agencies, index providers, regulators and investors, recognising stronger external reserves, improved macroeconomic management and greater financial credibility,” Tinubu said.

My question for Mr President is this: Must Nigeria always borrow? With the many resources the country has, can’t we make better use of what we already have to fund our needs and build a stronger economy?