President Bola Ahmed Tinubu has revealed that Nigeria is projected to spend about $11.6 billion on debt servicing in 2026, warning that rising repayment costs are limiting investment in key sectors of the economy.
Gatekeepers News reports that Tinubu spoke on Tuesday at the Africa Forward Summit in Nairobi, Kenya, where he called for reforms to the global financial system and criticised the high borrowing costs imposed on African countries.
According to a statement issued by Bayo Onanuga, special adviser to the president on information and strategy, Tinubu said nearly half of Nigeria’s projected revenue for 2026 could go into servicing debt under the current international financial structure.
The president said the situation is affecting the country’s ability to invest adequately in infrastructure, industrialisation, energy and human capital development.
“Every single dollar that leaves our treasury to pay punitive interest rates is a dollar that did not go into our steel sector, our textile mills, our agro-processing, or our digital industries,” Tinubu said.
He added: “It is a dollar that did not train a young Nigerian engineer or provide affordable power for our factories.”
Tinubu argued that African countries are often treated as high-risk borrowers despite implementing reforms aimed at stabilising their economies. He said the global financial system must become fairer and more supportive of developing nations.
The president also stressed that Africa is not seeking charity but equitable financial opportunities that would allow countries on the continent to industrialise, create jobs and compete globally.
