PRESIDENT Bola Tinubu has strongly defended his request for approval from the National Assembly to borrow $20.5billion and €1.45billion, despite claims that government revenue has increased, following the removal of petrol subsidy.
Noting that the focus should be on what the borrowed money would achieve, rather than how much the government was borrowing, Tinubu said Nigeria needs long-term investment in infrastructure to achieve its ambition of becoming a $1trillion economy by 2030.
Tinubu stated that the proposed loans would be used to build roads, improve electricity supply, upgrade ports and fund other projects that would create jobs, grow businesses and provide opportunities for future generations.
His defence followed skepticism and questions from the Nigeria Labour Congress (NLC) and opposition politicians.
In a statement, titled, ‘From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy,’ the President said the focus should be on what the borrowed money would achieve rather than how much the government was borrowing.
Tinubu stated: “The real question is not how much we borrow, but what we build, what value we create and what future we leave behind.”
Tinubu identified the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and the modernisation of key commercial ports in Lagos as major projects expected to strengthen Nigeria’s productive capacity.
He said the projects, alongside investments in healthcare, education and vocational training, would connect economic regions, reduce logistics costs, unlock agricultural and industrial potential and attract private investment.
The Lagos-Calabar Coastal Highway is expected to cut logistics costs along its corridor by 15 to 20 per cent. It could add up to two per cent to Nigeria’s GDP through expanded trade, tourism, and industrial activity.
The project is also projected to generate about 100,000 direct jobs in construction and engineering, alongside more than 150,000 indirect jobs in logistics, materials and related services.
“We are not simply building highways. We are opening economic corridors, connecting markets, unlocking industries and reshaping Nigeria’s economic geography,” the President noted.
He said the administration’s ambition to build a $1 trillion economy by 2030 would require sustained infrastructure investment to support higher productivity, industrialisation and trade.
“We cannot build a USD1trillion economy with infrastructure designed for an economy a fraction of that size,” Tinubu said.
He wrote that improving economic indicators and growing international investor confidence are creating opportunities for Nigeria to attract long-term investment and expand critical infrastructure.
The President said the economic reforms his administration introduced in May 2023 helped restore macroeconomic stability, strengthen public finances, and improve the country’s standing in international financial markets.
He said a $1trillion economy would not emerge by declaration alone but must be built through sustained investment, higher productivity, industrialisation, and trade, stressing that infrastructure development would be critical to achieving the target by 2030.
Tinubu said real Gross Domestic Product growth reached 4.43 per cent in the second quarter of 2026, while headline inflation fell to 14.63 per cent in September from 20.98 per cent a year earlier.
He also said gross external reserves rose to $55.1 billion as of October 9, 2026, including about $46 billion in net reserves, while the tax-to-GDP ratio increased to 12.5 per cent from seven per cent.
Tinubu said real Gross Domestic Product growth reached 4.43 per cent in the second quarter of 2026, while headline inflation fell to 14.63 per cent in September from 20.98 per cent a year earlier.
The President attributed the improvements to measures including petrol subsidy removal, exchange rate unification, tax reforms and coordinated efforts to tackle inflation.
“The decisions taken since 2023 were difficult but necessary,” he said, referring to the reforms.
Tinubu said the gains have strengthened Nigeria’s ability to attract investment and finance projects that support long-term economic growth.
“Confidence has a price; Our cost of borrowing is going down, and the country risk premium has drastically decreased,” he said.
The President cited positive assessments by international credit rating agencies as evidence of improved confidence in the economy.
“These are not political endorsements; they are independent assessments by global rating agencies, index providers and regulators.”
