The African Democratic Congress (ADC) has criticised the Federal Government over plans to secure another $1.25 billion loan from the World Bank, describing the Tinubu administration’s economic management as a “Ponzi economy” driven by continuous borrowing.
The opposition party said the fresh borrowing move had intensified worries over Nigeria’s mounting debt burden, which it said now stands at about N159.28 trillion, while millions of citizens continue to grapple with inflation, unemployment, high food prices and worsening living conditions.
In a statement issued on Thursday, ADC National Publicity Secretary, Bolaji Abdullahi, argued that despite repeated borrowing, ordinary Nigerians had seen little improvement in their standard of living.
“This is why the ADC says the Tinubu administration is running a Ponzi economy, where new loans are constantly being taken to service old debts and cover fiscal failures, while ordinary Nigerians are left to carry the burden,” Abdullahi said.
He added:
“At this point, Nigerians must ask a simple question: if this government keeps borrowing trillions of naira every few months, why are Nigerians getting poorer, and why is life getting harder for the majority?”
The party maintained that the country’s rising debt profile had not translated into meaningful development or economic relief for households and businesses.
According to the ADC, “Today, Nigeria’s total public debt has risen to about N159.28 trillion, yet food prices continue to rise daily, electricity tariffs are increasing, the naira remains weak, businesses are shutting down, insecurity is spreading, and millions of young Nigerians remain unemployed.
“Families are cutting down on meals, manufacturers are struggling to survive, and small businesses are collapsing under the weight of inflation and poor economic conditions.”
The party also expressed concern about the Federal Government’s projected debt servicing costs for 2026, warning that loan repayments could consume funds needed for infrastructure and social services.
