“IMF-Debt-Free” ~ A Smoke Screen: Nigeria Borrowing More, Seeing Less.

By George Omagbemi Sylvester | Published by SaharaWeeklyNG.com

When jokers on stage tell you they have no debt, look in their pockets first!

The Nigerian government today pushes the “IMF-Debt-Free” narrative with all the confidence of a stage magician who expects applause while hiding his sleeves full of tricks. Meanwhile, the numbers tell a far different story. Nigeria has become one of the largest debtors to the World Bank’s IDA (International Development Association) and borrowing continues to climb, often with little clarity on what is being borrowed for or how the debt will be repaid.

If I go die and tell you that someone is shouting “DEBT-FREE” while owing over US$18.2 billion to IDA as of June 30, 2025; yes, that’s Nigeria’s position, confirmed.

Under the Tinubu administration, exposure to World Bank/IDA loans rose from US$14.3 billion in mid-2023 to US$16.5 billion by mid-2024, a 14.4% increase.

This is not mere borrowing; this is a debt spiral. What is Mr President doing about this? So far, the response is murky at best:

The Facts: What We Know. World Bank IDA Debt Exposures: As of 30 June 2024, Nigeria owed roughly US$16.5 billion to IDA.

This put Nigeria as the 3rd largest debtor to IDA, behind Bangladesh and Pakistan.

External Debt Rising:
Nigeria’s external debt stock is increasing, both via multilateral sources (e.g. World Bank, IDA) and bilateral/multilateral loans. The exact terms, the projects financed, and the repayments are often opaque.

Total Public Debt:
As of early 2024, total public debt (external + domestic) was already huge: the Debt Management Office (DMO) reported public debt at N121.67 trillion (approx. US$ values depending on exchange) in Q1 2024. Domestic debt and external debt both contribute heavily.

Borrowing for Recurrent Obligation, Not Always Capital Projects:
There are concerns that many of the loans end up servicing recurrent expenditures or simply funding budget deficits, rather than in long-term infrastructure, education, health etc., which can generate returns. Citizens see little tangible improvement in basic services. This raises repayment risks. (Critiques by opposition figures like Peter Obi highlight this.)

What They Say They Are Doing (And Why It Does not Add Up)
Claim: Nigeria is “debt-free” or “IMF-debt-free.”
Reality: Nigerian governments repeatedly emphasise that they have repaid some IMF obligations (for example, COVID related funds) but being “IMF-debt-free” doesn’t equal being debt free, especially when borrowing from World Bank, bilateral creditors, multilateral lenders etc continues. For example, SaharaWeeklyNG.com confirms Nigeria repaid US$3.4 billion owed to the IMF for COVID financing. That’s good; but the bigger debts remain.

Claim: Borrowing is targeted, prudent and for necessary reforms.
Reality: While some funds are approved for health, education, power, irrigation etc. (World Bank approvals like US$1.57 billion for such sectors have been reported), the scale of the debt service, the rising amount and the lack of visible impact on living standards, infrastructure and basic public goods suggests something is very wrong with oversight, prioritization or execution.

Claim: Accountability mechanisms exist.
Reality: There is often insufficient disclosure of what exactly loans are used for, how contractors are selected, what time frames are, whether projects get completed or whether citizens actually benefit. When citizens ask questions, the answers are often vague. Comedian Gordon would joke that “they borrow money like they are shopping on Black Friday, but nobody sees the shopping bags.” Edo Pikin might say “this kind borrowing na tax for unborn children.” These are jokes, but they sting because they carry truth.

Expert Voices: What the Scholars & Economists Warn. Dr. Ngozi Okonjo-Iweala (WTO Director-General, former Finance Minister) has repeatedly warned about the risk of rising debt profiles in Nigeria and states. She has said:

“Watch your debt profiles and keep careful control of expenditures. You must share with your state citizens how much FAAC allocation you receive each month, how much IGR you collect and how you spend it.”

Also:
“There should be full transparency on debt, especially those owed by state enterprises.”

Joseph Stiglitz has warned more broadly (regarding Africa) that:

“The difficulty of coordination between diverse creditors (makes debt restructuring more difficult. We have no framework for debt restructuring across sovereigns) too little debt restructuring, too late.”

Dambisa Moyo (economist, author of Dead Aid) has long argued that constant dependence on external loans or aid without demanding accountability leads to debt burdens that undermine economic sovereignty and sustainable growth. Her critiques remain relevant.

Why the “Debt-Free” Narrative Is Dangerous
Misleading the Public: Telling citizens the country is debt free or reducing emphasis on debt obligations while borrowing more fosters complacency. People believe the crisis is over or being handled, when in fact the structure of public debt is becoming more fragile.

Interest & Exchange Rate Risks: Much external debt is denominated in foreign currencies. With naira depreciation, servicing becomes more expensive in local currency. Inflation erodes purchasing power. When citizens see high inflation, energy shortages, failing hospitals etc., these are often downstream symptoms of macro mismanagement tied in part to heavy debt servicing.

Crowding Out Development Spending: When a large portion of government revenue goes to servicing debt rather than investing in health, education, infrastructure, or security, the country cannot improve its human development indicators. Citizens may be worse off than before.

Future Generational Burden: Borrowing without clear repayment plans or investment in productive assets passes the burden to future Nigerians. The debt becomes intergenerational.

What Mr. President Should Be Doing Instead. Full Transparency: Publish all loan agreements, including terms, interest rates, grace periods, repayment schedules. Make accessible by citizens, civil society, experts. Let the budget debates include “where this money is going” lines.

Prioritise Productive Borrowing: Loans should flow mainly into projects with high returns (roads, power, education) not recurrent (salary) demands, subsidies without reform or conditioning foreign debts for vanity projects.

Debt Audits & Independent Oversight: Set up independent audits of existing debt; let an institution (parliament, civil society, or an auditor) verify that funds are used, projects completed and that terms are not predatory.

Build Domestic Resource Mobilisation: Increase tax collection efficiency, reduce leakages, broaden the tax base, improve non-oil revenue. Less dependency on external debt.

Negotiate Better Terms: When borrowing is necessary, aim for concessional terms, long grace periods, low interest rates and ensure borrowing does not push debt service beyond manageable percentages of revenue.

Public Education & Accountability: Citizens must know what borrowing means. Civil society, comedians, satirists (yes, I Go Dye, Gordons, Edo Pikin) have a role: mock the hypocrisy, demand answers.

The Verdict:
Nigeria cannot continue pretending that “IMF-Debt-Free” is the badge of economic sobriety while amassing tens of billions in debt to other multilateral lenders, bilaterals and external creditors. Borrowing is not evil; RECKLESS, OPAQUE and UNJUSTIFIED BORROWING is what must be CONDEMNED.

If I go die and tell you, we must treat debt like we treat fire: when it’s small, manage it. When it becomes a blaze, stop pretending it’s smoke. When we have approval for more loans, we must insist on seeing exactly what is being borrowed into.

In 2027, Nigerians must demand that our government stops theatrics, opens its books and addresses the debt monster before it devours hope. As Edo Pikin might say: “no more borrowing masquerading as development,” and as Gordons would crack: “if you no fit carry your pocket, how you wan carry suitcase?”

-As Nollywood stars show support for their own.

Nollylwood star actress , Jaiye Kuti has officially unveiled her pet project.

The Terravilla Estate located at Arogunmasa compound, Afara Village near Kori Oja, Obafemi Owode LGA, Mowe, Ogun State was officially opened on Monday 8th, September, 2025.

With the slogan ” own your space, and tell your story ” . The project which was first launched during the birthday celebration of the Nollywood star was well attended by some of her friends in film industry. Among those who graced the event are , Foluke Daramola salako, Bimbo Oshin, Doyin Kukoyi,, Leye Fabusoro.amongst others

Jaiye Kuti was full of admiration to her colleagues , family and friends who witnessed the epoch event
She spoke after the event.

“First of all I want to give glory to Almighty God for the succes of this great project, and for making it happened. And then to my husband. Mr Lanre Kuti for pushing me to this level. I also want to say a big thank you to High Chief Muraina Olasile, Bashorun Agba Akin of Yoruba land, Mowe. I want to thank my family and friends, all my staffs, the administrative staff of TerraHives Properties, Jaylex Production, to all my fans globally and my well wishers. I also want to say a big thank you to Mr Idowu Kuti , he is the first person to bought a land from me, he is my brother in-law. I am thanking him specially because I know he is going to bring in people that will still buy land”

She also spoke about the Estate
“It is only 5 minutes to Nestle, 30 minutes to the airport, 15 minutes to Magodo, and it’s 15 minutes to Abeokuta, while it’s just 35 minutes to Ibadan. The actual price goes for #25m per acre, but for promo it’s #20m. While for 600sqm it’s #5millon, but it goes for 3.5 million for the promo, for 300sqm that goes for #3 million will put it down for #2million for promo, and this promo runs just for a month, which means the promo will close by next month ” she explained

Accounting to Jaiye Kuti, it is TerraHives property limited that present, Terravilla Estate which is their first estate
” Yes it is our first Estate”
With this big project Jaiye Kuti became has joined the group of Nollywood super stars who owns their own estate . And having been an ambassador to many companies and even to land estate , it’s a welcome development for Jaiye Kuti to ventured into this noble business

Business Tycoon Oluwasegun Rolland Elusoji Cries Out Over Alleged Threats to Life Amid High-Stakes Legal War with Adeseye Joseph Famojuro

In a dramatic turn in an ongoing legal showdown, prominent entrepreneur Oluwasegun Rolland Elusoji has gone public with chilling threats against his life and that of his family, allegedly linked to his legal battles with influential figure Otunba Adeseye Joseph Famojuro.

Elusoji revealed that the threats began on August 26, 2025, when Famojuro reportedly called some of his associates, vowing to “finish me” and make him “disappear from this earth.” Famojuro allegedly taunted Elusoji, warning that he “does not know who he is” and promising to destroy his reputation nationwide.

The intimidation escalated two days later when Famojuro reportedly contacted Elusoji’s sister, reiterating threats against the family, including his elderly parents. “These threats have left my entire family living in fear, and we are genuinely concerned for our safety,” Elusoji said.

Elusoji claims that Famojuro’s campaign of terror has extended to people close to him, with repeated references to prior incidents involving an associate known as Auxiliary, signaling a dangerous pattern of intimidation.

Sources close to the matter reveal that the threats coincide with a heated legal battle between Elusoji and Famojuro, raising concerns that the intimidation may be a deliberate attempt to influence the outcome of the case. Legal experts warn that such actions constitute serious criminal offenses under Nigerian law—including intimidation, harassment, and threats to life—and could worsen Famojuro’s legal position if proven.

“Since then, he has been contacting individuals close to me, threatening them as well,” Elusoji explained. “He has repeatedly stated that he will make me disappear from this earth and further warned me to ‘go and ask what he did to Auxiliary.’ These threats have placed my family and me in constant fear. At present, the Nigerian Police Force appears so compromised that urgent matters like this are not treated with the seriousness they deserve, simply because he is in a position of power.” The Issue of Alhaji Mukaila Lamidi, a known Auxiliary, is quite a different case, as no one knows what transpired between them in Oyo state park issues, but the Elusoji Court case is both in the USA and Nigeria. So comparing both is not sensible at all.

“This is more than just a legal battle,” Elusoji continued. “It has become a fight for our very survival. We are appealing to IGP Kayode Egbetokun and all relevant authorities to take urgent action before it is too late.” This Adeseye has failed to show up in the Court case in the USA and Nigeria. So why go ahead to declare someone wanted or resort to a threat to the life of his loved Ones?

The allegations have sparked outrage among human rights advocates, who are calling for immediate protection for Elusoji and his family. Critics are questioning whether law enforcement can act impartially, given the alleged perpetrator’s influence. Who is afraid of Adeseye? Is it the police or EFCC? Is it because he is Governor Makinde’s ally, or is he the Governor?

Observers warn that the case could set a precedent for how citizens are treated when threatened by powerful individuals, stressing the urgent need for transparency, accountability, and protection of life—irrespective of status or influence.

As the legal battle rages on, the nation watches closely, with many calling for swift action to ensure that justice prevails and that no one is above the law.