Peter Obi has taken issue with President Bola Tinubu’s recent justification of government borrowing, contending that directing loans toward consumption instead of production undermines Nigeria’s long-term economic health.
He characterized the approach as not just a chronic problem, but a destructive condition that could erode the nation’s fiscal foundation.
Obi noted that borrowing is not inherently harmful when applied to capital projects that yield returns, build infrastructure, and drive job creation.
However, he warned that financing recurrent spending and consumption with debt saddles future administrations with obligations that deliver no growth or productivity gains.
He called on the federal government to exercise strict fiscal discipline and ensure transparency in debt utilization.
According to Obi, sustainable development depends on aligning borrowing with strategic investments that expand revenue, strengthen industries, and secure economic stability for coming generations.
