YPP urges NASS to suspend Tinubu’s $20.5bn loan
By John Alechenu, Abuja
The presidential candidate of the Young Progressives Party (YPP), Architect Peter Agada, has urged the National Assembly to suspend consideration of President Bola Tinubu’s latest external borrowing request until after the 2027 general elections.
Agada made the call in Abuja on Wednesday in reaction to Tinubu’s letter to Senate President Godswill Akpabio seeking approval for $20.52 billion and €1.045 billion in supplementary external borrowing for 2026 and 2027.
He said the timing of the request, less than 110 days before the elections, raised concerns, particularly with Nigeria’s public debt standing at ₦166.79 trillion as of June 2026.
“Now we want to add another $21.7bn — less than 110 days to the 2027 general election.
“For three years, the Federal Government has been unable to fully finance its budget. Capital performance is below 40 per cent.
“Contractors are being owed. Yet we are borrowing more. In architecture, you don’t borrow to build a new house when you have not roofed the old one,” he said.
The YPP candidate questioned why the government continued to seek substantial loans despite the removal of the petrol subsidy and the floating of the naira, which he said had significantly increased government revenue.
“Where did the subsidy savings go? This is the question Emir Sanusi and other leaders have been asking,” he said.
Agada also questioned what tangible results the proposed borrowing could deliver within the remaining period before the elections, given the time required to implement major infrastructure projects.
“If you approve $20.5bn today, can you complete any power, transport, health or education project in 100 days? No. So what will this money actually do? Pay contractors who are party financiers? Fund election logistics?” he asked.
He urged lawmakers to include a clause prohibiting disbursement of the loan proceeds between January and May 2027 if the request was approved.
“If you must approve this loan, insert a clear clause: No disbursement from January 2027 to May 2027. The money should come after the election, to whoever wins, not before to the incumbent. That is how you prove it is not political,” he said.
Agada argued that the borrowing request could send conflicting signals to investors, given the government’s promotion of its economic reforms and reported endorsements from international development institutions.
He proposed alternative ways of financing infrastructure without resorting to additional borrowing, claiming that Nigeria could save more than ₦13 trillion annually through leaner governance without reducing Federation Account Allocation Committee (FAAC) distributions or introducing new taxes.
His proposals included cutting the cost of governance by 40 per cent, merging 250 agencies he described as duplicative into 40, and eliminating duplicate vehicle fleets and official trips, which he said could save more than ₦4 trillion.
He also advocated direct Engineering, Procurement and Construction (EPC) contracting to reduce the role of intermediaries, claiming the approach could save 35 per cent, or more than ₦6 trillion, on capital projects.
Agada said a further ₦3 trillion could be saved through audits of waivers, tax incentives, Ways and Means advances and abandoned or fictitious projects.
“With ₦13trn from lean governance, you don’t need to borrow $20.5bn to build infrastructure from Abuja. That Abuja-contractor model failed for 26 years. Money finishes in Abuja; projects never reach the ward,” he said.
Citing debt-servicing obligations of ₦15.81 trillion and a fiscal deficit of ₦31.46 trillion, Agada warned against increasing the country’s financial commitments without addressing existing pressures.
“An architect does not add load to a collapsed pillar. He first strengthens the pillar,” he said.
The YPP candidate also challenged the Federal Government to account for the $2.347 billion it reportedly borrowed in October 2025.
“Where are they? Publish an audited report of all infrastructure projects since 2023. Which is completed? Which is abandoned? Where is the detailed project compendium for this $20.5bn? Not just sector list. Which specific road in which ward? Which specific hospital in which ward?” he asked.
Agada called for greater transparency on the proposed borrowing, including detailed information on the projects to be financed, their locations, implementation status and expected outcomes.
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