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‘Debt Is Worse Than Leprosy, Destroys Generations’ — Obasanjo Fires Back at Tinubu
Former President Olusegun Obasanjo has criticised President Bola Tinubu’s borrowing policy, warning that excessive government debt could mortgage the future of generations of Nigerians.
Obasanjo described debt as more destructive than leprosy, rejecting Tinubu’s position that borrowing was not inherently bad as long as the government had the capacity to repay.
The former President made the remarks on Friday at the Ajibosin Platform, a public forum held in Abeokuta, Ogun State, with the theme, “Leveraging Artificial Intelligence to Solve Grassroots Problems and Accelerate National Development.”
His comments came days after Tinubu requested the National Assembly’s approval for fresh external loans amounting to $20.52bn and €1.045bn under the Federal Government’s 2026–2027 Supplementary External Borrowing Plan.
Bigpen Online reported on Tuesday that the President’s request was conveyed in a letter read by Senate President Godswill Akpabio during plenary.
The proposed loans are expected to finance projects in critical sectors, including infrastructure, agriculture, healthcare, education, water supply, security, employment generation and financial management reforms.
Tinubu had argued that the additional borrowing was necessary to address Nigeria’s infrastructure deficit and bridge funding gaps affecting development projects. The request was subsequently referred to the Senate Committee on Local and Foreign Debts for consideration.
The latest borrowing proposal comes months after the President defended his administration’s borrowing policy, insisting that taking loans should not automatically be considered a bad practice.
Speaking in April during a meeting with Plateau State leaders, led by Governor Caleb Mutfwang and the All Progressives Congress National Chairman, Prof. Nentawe Yilwatda, at the State House, Tinubu had said: “If we have to borrow, we borrow. Borrowing is not leprosy, we just have to work hard to be able to pay for it.”
However, Obasanjo strongly disagreed with the President’s position, arguing that the consequences of excessive borrowing go beyond the immediate government and affect future generations.
“And for anybody to say debt is no leprosy, is absolute nonsense. Debt is worse than leprosy. Because leprosy destroys only one person. Debt destroys generations,” he said.
The former President also expressed concern over the continued depreciation of the naira, recalling that the currency was stronger against the United States dollar when he established his farm 47 years ago.
Questioning Nigeria’s economic performance over the decades, Obasanjo said the exchange rate had deteriorated significantly, despite the country’s vast resources and development opportunities.
“When I started my farm, 47 years ago, naira to the dollar was one naira to $1.85. Forty-seven years ago. What has Nigeria done in 47 years that we now have 1,500 naira to the dollar? What have we done?” he asked.
Obasanjo also questioned the knowledge, competence and capacity of Nigeria’s political leaders to address the country’s economic challenges and improve citizens’ welfare.
“What do our leaders know? And what do they not know? And from what they know, what can they do for us?” he queried.
He further criticised Nigeria’s dependence on the World Bank and the International Monetary Fund, arguing that the institutions were established before the country gained independence and that their economic prescriptions might not adequately address Nigeria’s peculiar challenges.
“World Bank and IMF were not designed for us. They were not built by us. They were built before we became independent. And that’s the people who would determine what we do,” he said.
The former President cautioned against blindly adopting foreign economic policies, stressing the need for Nigeria to develop solutions that reflect its realities, priorities and development needs.
