Tinubu cut foreign debt by $14bn, secured $2.36bn in W’Bank disbursements — IMPI counters Ndume
By Seun Ibiyemi
The Independent Media and Policy Initiative (IMPI) has rejected recent claims made by Senator Mohammed Ali Ndume, asserting that the Tinubu administration has not only handled Nigeria’s public debt with prudence but also reduced the country’s external debt by $14 billion within a single year.
Responding to Senator Ndume’s televised remarks—which questioned the federal government’s borrowing practices, especially the purported $9.45 billion in loans taken since June 2023—IMPI described the comments as misleading and politically charged.
Quoting verified data, IMPI stated that Nigeria’s total public debt dropped from $108.23 billion at the end of December 2023 to $94.23 billion by December 2024, reflecting a reduction of $14 billion. While the naira value of debt rose to N144.67 trillion due to currency depreciation, the decline in dollar terms was presented by IMPI as “a fiscal achievement not witnessed since 2006.”
Dr Omoniyi Akinsiju, Chairman of IMPI, underlined that the loans obtained by the federal government were largely concessional, long-term development loans from multilateral organisations—not high-interest commercial borrowings.
“These loans carry interest rates as low as one per cent, with repayment terms extending up to 40 years and multiple-year grace periods. Commercial banks do not provide such terms,” he said.
While Senator Ndume argued that the funds were allocated to “non-tangible” projects, IMPI pushed back, suggesting this interpretation fails to grasp the contemporary imperatives of development strategy.
“Investment in human capital—education, healthcare, social protection, and agricultural reform—is fundamental to building sustainable economic growth,” the group noted in its statement.
According to IMPI, the World Bank accounted for nearly 80 per cent of Nigeria’s multilateral loans in 2024. Total exposure increased modestly, rising from $21.15 billion in 2023 to $22.32 billion in 2024—a 5.5 per cent rise, rather than the $9.45 billion figure cited by the Senator. Meanwhile, Nigeria’s debt to the International Monetary Fund (IMF) dropped sharply by 67.6 per cent, falling from $2.47 billion to $800.23 million in the same timeframe.
Of the $4.25 billion in World Bank project approvals for 2024, IMPI explained that only $2.36 billion had been disbursed between 2023 and 2024.
“This is well below the $9.5 billion claim made by the Senator, and all disbursements are subject to oversight by the National Assembly,” Akinsiju clarified.
IMPI also rejected assertions that the loans lacked proper scrutiny, explaining that each World Bank loan is approved by Nigeria’s National Assembly after internal vetting from either the International Development Association (IDA) or the International Bank for Reconstruction and Development (IBRD).
In conclusion, the group described the Tinubu administration’s approach to borrowing as “strategic and reform-oriented,” commending its efforts to secure long-term funding for critical reforms while also managing to reduce Nigeria’s debt obligations in dollar terms.
“This administration is not merely accumulating debt—it is laying the groundwork for Nigeria’s future,” Akinsiju said. “We call on public officials to engage constructively with accurate data, rather than undermine public policy with incorrect assertions.”
For investors, business leaders, and development institutions, IMPI’s report paints a portrait of a government committed to fiscal discipline, structural reform, and long-term economic stability.
