Politics

Nigeria Can’t Continue In Path Of Rising Debts – Experts Tackle Tinubu

Published

3 years ago

January 17, 2023

Economic experts have said Nigeria cannot continue on the path of indebtedness amid incompetence and inefficiency.

The economic analysts were reacting to the All Progressives Congress, APC, presidential candidate, Bola Ahmed Tinubu’s recent comment on Nigeria’s 2023 appropriation bill.

Recall that Tinubu remarked in his interaction with business stakeholders, in Lagos, that budget deficits are not necessarily bad.

However, Nigeria’s rising debt profile has been a source of apprehension for many economists and ordinary Nigerians.

Certainly, for a country struggling on all fronts, a N77 trillion debt if the National Assembly approves President Muhammadu Buhari’s 23.7 trillion Ways and Means advance, according to the Debt Management Office, DMO recent statement, should raise dust.

With the country’s dwindling revenue portfolio and overbearing debt repayment burden, the fear continues to escalate.

In perspective, a breakdown of this year’s appropriation bill with N21.51 trillion expenditures and expected revenue of N9.73 trillion, shows that a whooping N6.31 trillion representing over 70 per cent of its aggregated revenue would be gulped by debt servicing and shooting up the country’s budget deficit to N10.78 trillion.

In plain economics, Nigeria’s debt situation does not look good.

Reacting to the development in a chat with DAILY POST, a financial inclusion/wealth management expert, Mr Idakolo Gbolade said budget deficit financing cannot translate to economic growth in Nigeria.

He stated that the budget deficit is causing Nigeria double digit inflation and depreciation of naira.

He added that historically, the budget deficit has not been productive because some of the projects financed by it are not economically viable. He cited Nigeria railway currently crippled by insecurity as an example.

“Budget deficit financing cannot translate to economic growth in Nigeria because deficit financing has led to double digit inflation with the country also battling chronic food inflation.

“The deficit financing has consistently weakened the Naira and has led rating agencies to downgrade Nigeria’s credit rating, thereby affecting flow of investment opportunities and ability of the private sector to source funding from foreign institutions.

“The deficits spending by Nigeria cannot be said to be totally productive because some of the infrastructural projects financed by the government are not commercially viable projects that can repay the loans used to fund them.

“A major example is the railways which have been rendered unproductive by insecurity that has affected their operations.

“Continuous deficit spending by the government would leave the government unable to undertake key social and infrastructural projects in the long run”.

Also, an Accounting and Financial Development don at Lead City University, Ibadan, Prof Godwin Oyedokun said Nigeria is having budget deficits owing to inefficiency and incompetence.

He said it was not good for a country to use a larger part of her income (revenue) on debt serving, as it is the case of Nigeria.

Also, he disclosed that the country’s budget deficit on recurrent expenditure would only plunge her unborn generation into debt trap.

He said the budget deficit becomes laudable if it is meant to finance capital expenditures.

“Yes, the budget deficit is not bad at all. My stand has always remained that the country shouldn’t use a larger part of her income to pay debt, that is where the problem comes. Another problem is how sincere are the government deficits in terms of budget? We are having a deficit where recurrent expenditure is not lower than the capital expenditures. It means we are going into debt to make a certain class of Nigerians to be wealthy. It won’t be an issue if most people in the economy are productive. You pay a salary for a job for twenty people instead of two people.

“We are deficiting on inefficiency and incompetence. Such will not develop the economy. If the budget deficit is on capital expenditures, this will bring about future cash flow into the economy. If the Central Bank of Nigeria’s 23 trillion ways and means is added, Nigeria’s debt profile would hit N77 trillion, this means that generations yet unborn will be using their income to pay the debt of their fathers who decided not to take governance seriously,” he lamented.

Politics

PDP Issues Certificate Of Expulsion To Wike, Fayose, Anyanwu, Others

Published

1 day ago

December 3, 2025

Editor

The Peoples Democratic Party (PDP) said it has issued certificate of expulsion from the party to the Minister of the Federal Capital Territory, Nyesom Wike, and other 10 members earlier expelled from the party.

The party National Chairman, Tanimu Turaki, disclosed this while speaking with newsmen after the PDP National Working Committee (NWC) meeting in Abuja on Tuesday.

The other members, according to him, include the embattled National Secretary, Sen. Samuel Anyanwu, the Legal Adviser, Kamarudeen Ajibade, former Governor of Ekiti State, Ayodele Fayose.

They also included Sen. Mao Ohuabunwa, Austin Nwachukwu, Abraham Amah Nnanna, George Turna and Chief Dan Orbih, expelled during the party National convention in Lagos.

Turaki said that the original copies of the certificate had been dispatched to the owners through a courier service to serve as proof that they were expelled from the PDP.

“We have taken note of the fact that Nigerian law frowns on dual membership of political parties, and so we have sought to make it easy for them.

“Now that they are no longer members of our party, and now that the National Convention, which is the highest decision-making organ of our party, has expelled them, we have decided to issue them certificates of expulsion.

“So, when they go to register with other political parties in Nigeria, they will show these certificates as proof that they are no longer members of the PDP.

“By that, those parties will not accuse them of trying to belong to more than one political party,” he said.

He called on the Independent National Electoral Commission (INEC) and security agencies, including the Nigeria Police, the Department of State Services, and other government agencies, to take note.

“Very soon, members of the society will be informed via proper disclaimers that any person henceforth who decides to do business with them, any or all of them, does so at his or her own risk.

“They are no longer members of the PDP. They have been expelled,” he added.

He added that the NWC also reviewed some of the cases filed against the party and lawsuits instituted by the party, particularly the one that related to the “unlawful and illegal” closure of the party’s national Secretariat, the Legacy House, and the Wadata Plaza.

“The brief we received from our lawyers is that we are on sound ground, and that very soon, the law will take its course,” he said.

Turaki said the NWC was prepared to be saddled with the responsibility of performing its functions as the leading opposition party in Nigeria.

“We are going to provide a credible alternative to Nigerians. We are going to provide credible leadership to Nigerians by the special grace of God from 2027,” he said.

Politics

Adebayo Adedamola Wins Osun PDP Governorship Primary

Published

3 days ago

December 2, 2025

Editor

Adebayo Olugbenga Adedamola, popularly known as FRYO, has emerged as the Peoples Democratic Party, PDP, candidate for the August 8, 2026 governorship election in Osun State.

The primary election took place in Osogbo on Tuesday amid heavy security presence.

Announcing the result, chairman of the primary election committee, Humphrey Abba, stated that Adebayo secured 919 votes out of 957 accredited ballots, giving him a clear victory in the contest.

Explaining that there were 20 void votes following the withdrawal of one of the candidates, believed to be Governor Ademola Adeleke, Abba added, “The candidate that got the remaining votes is Adebayo Adedamola with 919 votes and he stands elected and returned.”

DAILY POST reports that despite announcing his resignation from the party, Adeleke’s name appeared on the ballot paper for the PDP governorship primary.

Party officials said the exercise was conducted in accordance with established guidelines, with accredited delegates participating in the voting process.

Adeleke announced his resignation in a letter dated November 4, 2025, and addressed to the PDP leadership at his ward.

On Monday, Osun PDP chairman, Sunday Bisi, had announced that the governorship primary slated for Tuesday, December 2, 2025, has been postponed due to leadership crisis at the national level.

But a faction of the party went ahead with the exercise in Osogbo on Tuesday.

Politics

Gov Adeleke Resigns From PDP

Published

3 days ago

December 2, 2025

Editor

Osun State Governor, Ademola Adeleke, has resigned from the Peoples Democratic Party (PDP) ahead of the 2026 gubernatorial primaries of the party.

Adeleke’s resignation letter, dated November 4, 2025, sighted by Tribune Online was addressed to the PDP ward chairman for Ward 2, Sagba Abogunde, Ede, Osun State.

According to the letter, the governor’s resignation was based on “the current crisis of the national leadership of the People’s Democratic Party (PDP).”

According to the letter, titled: “Resignation of my membership of the People’s Democratic Party (PDP)’ read, “Due to the current crisis of the national leadership of the People’s Democratic Party (PDP), I hereby resign my Membership of the People’s Democratic Party with immediate effect.

“I thank the People’s Democratic Party for the opportunities given to me for my elections as a Senator (Represented Osun West) and as Governor of Osun State under the People’s Democratic Party.”