Business
IMF-Debt-Free” ~ A Smoke Screen: Nigeria Borrowing More, Seeing Less
“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?”
Alpha Morgan to Host 19th Economic Review Webinar
In an economy shaped by constant shifts, the edge often belongs to those with the right information.
On Wednesday, February 25, 2026, Alpha Morgan Bank will host the 19th edition of its Economic Review Webinar, a high-level thought leadership session designed to equip businesses, investors, and individuals with timely financial and economic insight.
The session, which will hold live on Zoom at 10:00am WAT and will feature economist Bismarck Rewane, who will examine the key signals influencing Nigeria’s economic direction in 2026, including policy trends, market movements, and global developments shaping the local landscape.
With a consistent track record of delivering clarity in uncertain times, the Alpha Morgan Economic Review continues to provide practical context for decision-making in a dynamic environment.
Registration for the 19th Alpha Morgan Economic Review is free and can be completed via https://bit.ly/registeramerseries19
It is a bi-monthly platform that is open to the public and is held virtually.
Visit www.alphamorganbank to know more.
GTBank Launches Quick Airtime Loan at 2.95%
Guaranty Trust Bank Ltd (GTBank), the flagship banking franchise of GTCO Plc, Africa’s leading financial services group, today announced the launch of Quick Airtime Loan, an innovative digital solution that gives customers instant access to airtime when they run out of call credit and have limited funds in their bank accounts, ensuring customers can stay connected when it matters most.
In today’s always-on world, running out of airtime is more than a minor inconvenience. It can mean missed opportunities, disrupted plans, and lost connections, often at the very moment when funds are tight, and options are limited. Quick Airtime Loan was created to solve this problem, offering customers instant access to airtime on credit, directly from their bank. With Quick Airtime Loan, eligible GTBank customers can access from ₦100 and up to ₦10,000 by dialing *737*90#. Available across all major mobile networks in Nigeria, the service will soon expand to include data loans, further strengthening its proposition as a reliable on-demand platform.
For years, the airtime credit market has been dominated by Telcos, where charges for this service are at 15%. GTBank is now changing the narrative by offering a customer-centric, bank-led digital alternative priced at 2.95%. Built on transparency, convenience and affordability, Quick Airtime Loan has the potential to broaden access to airtime, deliver meaningful cost savings for millions of Nigerians, and redefine how financial services show up in everyday life, not just in banking moments.
Commenting on the product launch, Miriam Olusanya, Managing Director of Guaranty Trust Bank Ltd, said: “Quick Airtime Loan reflects GTBank’s continued focus on delivering digital solutions that are relevant, accessible, and built around real customer needs. The solution underscores the power of a connected financial ecosystem, combining GTBank’s digital reach and lending expertise with the capabilities of HabariPay to deliver a smooth, end-to-end experience. By leveraging unique strengths across the Group, we are able to accelerate innovation, strengthen execution, and deliver a more integrated customer experience across all our service channels.”
Importantly, Quick Airtime Loan highlights GTCO’s evolution as a fully diversified financial services group. Leveraging HabariPay’s Squad, the solution reinforces the Group’s ecosystem proposition by bringing together banking, payment technology, and digital channels to deliver intuitive, one-stop experiences for customers.
With this new product launch, Guaranty Trust Bank is extending its legacy of pioneering digital-first solutions that have redefined customer access to financial services across the industry, building on the proven strength of its widely adopted QuickCredit offering and the convenience of the Bank’s iconic *737# USSD Banking platform.
About Guaranty Trust Bank
Guaranty Trust Bank (GTBank) is the flagship banking franchise of GTCO Plc, a leading financial services group with a strong presence across Africa and the United Kingdom. The Bank is widely recognized for its leadership in digital banking, customer experience, and innovative financial solutions that deliver value to individuals, businesses, and communities.
About HabariPay
HabariPay is the payments fintech subsidiary of GTCO Plc, focused on enabling fast, secure, and accessible digital payments for individuals and businesses. By integrating payments and digital technology, HabariPay supports innovative services that make everyday financial interactions simpler and more seamless.
Enquiries:
GTCO
Group Corporate Communication
[email protected]
+234-1-2715227
www.gtcoplc.com
Business
BUA Group, AD Ports Group and MAIR Group Launch Strategic Plan for World-Class Sugar and Agro-Logistics Hub at Khalifa Port
BUA Group, AD Ports Group and MAIR Group Sign MoU to Explore Collaboration in Sugar Refining, Agro-Industrial Development, and Integrated Global Logistics Solutions
Abu Dhabi, UAE – Monday, 16th February 2026
BUA Group, AD Ports Group, and MAIR Group of Abu Dhabi today signed a strategic Memorandum of Understanding (MoU) to explore collaboration in sugar refining, agro-industrial development, and integrated global logistics solutions. The partnership aims to create a world-class platform that strengthens regional food security, supports industrial diversification, and reinforces Abu Dhabi’s position as a hub for trade and manufacturing.
The proposed collaboration will leverage BUA Group’s industrial and logistics expertise, Khalifa Port’s world-class infrastructure, and AD Ports Group’s operational experience. The initiative aligns with the objectives of the UAE Food Security Strategy 2051, which seeks to position the UAE as a global leader in sustainable food production and resilient supply chains. It also aligns with Nigeria’s food production- and export-oriented agricultural transformation agenda, focused on scaling domestic capacity, strengthening value addition, improving post-harvest logistics, and unlocking new markets for Nigerian produce across the Middle East, Asia, and beyond.
Photo Caption: L-R: Kabiru Rabiu, Group Executive Director, BUA Group; Cpt. Mohammed J. Al Shamisi, MD/Group CEO, AD Ports Group; Saif Al Mazrouei, CEO (Ports Cluster) AD Ports Group; Abdul Samad Rabiu, Founder/Executive Chairman, BUA Group; and Steve Green, Group CFO, MAIR Group
Through structured aggregation, processing, storage, and maritime export channels, the partnership is designed to reduce supply chain inefficiencies, enhance traceability and quality standards, and also create a predictable trade corridor between West Africa and the Gulf.
BUA Group—recognised as one of Africa’s largest and most diversified conglomerates, with major investments across sugar refining, food production, flour milling, cement manufacturing, and infrastructure- brings extensive industrial expertise and large-scale operational capability to the venture. MAIR Group will provide strategic support in developing integrated logistics and agro-industrial solutions, creating a seamless platform for production, storage, and distribution.
Abdul Samad Rabiu, Founder and Chairman of BUA Group, said:
“This MoU marks an important milestone in BUA’s international expansion and reflects our long-term vision of building globally competitive industrial platforms. Together with AD Ports Group and MAIR Group, we aim to develop sustainable food production and logistics solutions that strengthen regional supply chains and support the UAE’s Food Security Strategy 2051.”
He further added that, “This partnership represents not just a commercial arrangement but a strategic food corridor anchored on shared economic ambition, resilient infrastructure, and disciplined execution, reinforcing long-term food security objectives for both nations.”
A representative of MAIR Group added:
“This collaboration underscores our commitment to advancing strategic industries in Abu Dhabi and building integrated solutions that reinforce the UAE’s position as a global hub for trade, food security, and industrial excellence.”
A spokesperson from AD Ports Group commented:
“Our partnership with BUA Group and MAIR Group highlights Khalifa Port’s role as a catalyst for high-impact industrial investments. This initiative will enhance regional food security, strengthen global trade connectivity, and support Abu Dhabi’s economic diversification goals.”
This MoU marks a historic collaboration that combines world-class infrastructure, industrial expertise, and strategic vision, setting the stage for a sustainable and resilient food and logistics ecosystem that will benefit the UAE, the region, and global markets alike.
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