Subsidy Gone, Debt Rising: Why Is Nigeria Still Borrowing?

The National Assembly’s approval of a $6 billion external loan has reignited a question many Nigerians are asking: if the fuel subsidy is gone, why is borrowing still rising? Removing subsidy eased one major burden. But low revenue, high debt‐service costs and budget deficits remain. The government argues these loans will fund ports rehabilitation, refinance expensive debts and support critical infrastructure projects. The real challenge is accountability. Borrowing for roads, schools and power can spur growth. But wasteful spending adds pressure on future budgets. Nigerians face higher transport fares, rising food costs and tighter household budgets. They deserve clear details on loan terms, project oversight and how this spending will improve jobs and living standards. The true measure of success will be visible results: will this borrowing build an economy strong enough to repay debts, create jobs and raise living standards?

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