By Seun ibiyemi
The Debt Management Office (DMO) has called on the Nigerian media to exercise restraint in reporting the country’s debt situation, stressing the need for accuracy and verification before publication.
In a statement released on Thursday in Abuja, the DMO dismissed recent reports quoting the West Africa Association of Public Accounts Committees (WAAPAC) as ranking Nigeria among the biggest borrowers in West Africa alongside Côte d’Ivoire and Senegal.
The office described such claims as “false and misleading,” clarifying that WAAPAC’s presentation only provided a broad assessment of debt patterns, challenges and possible remedies across the subregion, rather than singling out Nigeria.
According to the DMO, the rise in debt across West African countries is largely linked to borrowing for development initiatives and measures taken in response to global shocks such as the COVID-19 pandemic.
The office further explained that Nigeria’s total public debt encompasses both domestic and external obligations of the Federal Government, the 36 states and the Federal Capital Territory.
Development Economist, Professor Ken Ife, remarked that borrowing should be strictly tied to developmental projects rather than recurrent spending. “There is nothing wrong with borrowing, but the question is, where do we employ this borrowing?” he asked, calling for stronger compliance with the Fiscal Responsibility Act.
Financial analyst, Professor Uche Uwaleke, also weighed in, attributing Nigeria’s rising debt to weak domestic revenue mobilisation and overreliance on oil receipts. He observed that while borrowing remains necessary to close the infrastructure gap, the current debt-service ratio is unsustainable.
“The implication is huge opportunity cost, as critical sectors like education and health are deprived of needed funding,” Uwaleke warned.