Former presidential candidate of the Labour Party, Peter Obi, has strongly criticised the Federal Government’s intention to borrow ₦20 trillion to finance the 2026 national budget.

Obi issued the warning on Friday, December 12, 2025, describing the plan as “economically dangerous” and a clear sign that Nigeria’s fiscal framework is collapsing under excessive debt dependence.

Obi noted that the country is already struggling under the weight of large-scale borrowing, with debt servicing consuming almost half of national revenue.

He argued that such an approach leaves little room for social investment, infrastructure development, and critical sectors like health and education. According to him, the government’s insistence on further loans without improving productivity is a red flag that Nigeria’s economic trajectory is shifting toward long-term insolvency.

The former Anambra State governor also questioned why the Federal Government continues to pursue record-breaking loans when it has repeatedly claimed that revenue generation has surpassed expectations.

He asked why rising revenue has not reduced the need for massive borrowing, particularly given that the 2025 budget remains largely unimplemented. Obi challenged the administration to explain why key projects are stagnant despite frequent assurances that revenue performance is strong.

Speaking during a policy forum in Lagos, Obi said the trend reflects fiscal indiscipline and an absence of strategic planning within the federal structure.

He insisted that responsible governance requires that loans be tied strictly to productive investments—especially those capable of generating exports, enhancing value chains, or stimulating manufacturing. Borrowing to fund recurrent expenditure, he warned, pushes the nation further into a cycle of debt without growth.

He stressed that every trillion borrowed without a corresponding economic return represents a mortgage on the future of Nigerian youths.

Obi noted that Nigeria’s total debt burden has escalated dramatically within the last decade, yet the nation continues to face repeated budget deficits, infrastructural gaps and declining living standards.

The former Labour Party candidate urged the Federal Government to adopt transparent revenue reforms, block leakages, and prioritise efficiency in public spending.

He emphasised the need for improved tax administration, robust anti-corruption mechanisms and policies that stimulate production rather than consumption. According to him, Nigeria cannot grow by borrowing to pay salaries, fuel subsidies, or administrative overheads.

Obi also called for a comprehensive review of Nigeria’s budget structure, saying the continuous reliance on external and domestic loans is unsustainable. He appealed for policy direction that empowers local industries, increases exports, and creates jobs.

Without these steps, he warned, Nigeria risks becoming trapped in a perpetual loop of debt refinancing and declining fiscal independence.

Economic analysts have echoed his sentiments, noting that the proposed ₦20 trillion loan would be the highest single-year borrowing in Nigeria’s history.

Many economists fear that current debt levels could crowd out private sector borrowing, trigger inflationary pressures and undermine future development.

As debates on the 2026 budget intensify, Obi’s remarks have added renewed scrutiny to the Federal Government’s economic projections. Opposition leaders, civil society groups and financial experts have also called for clarity on how the proposed funds will be used and what long-term benefits they will bring.

The Peoples Democratic Party (PDP) has announced the appointment of new caretaker committees for its Enugu, Delta, and Rivers State chapters, marking a significant intervention aimed at restoring internal cohesion and preparing its structures for upcoming electoral activities.

The appointments were confirmed on Thursday, December 12, 2025, following a National Working Committee (NWC) meeting at the party’s national secretariat in Abuja. The committees are expected to administer the affairs of the affected state chapters for a 90-day period, after which full state congresses are scheduled to take place.

According to the PDP leadership, the decision became necessary due to prolonged internal disputes, administrative lapses and factional tensions that had lingered within the three states. Party officials described the new committees as a stabilising mechanism designed to re-establish confidence, rebuild trust among stakeholders and restore grassroots engagement.

The Enugu, Delta and Rivers chapters have each faced unique political challenges in the past year, ranging from leadership tussles to disagreements over ward congresses and candidate selections. These unresolved issues, PDP sources said, risked undermining the party’s effectiveness ahead of preparations for the 2027 general election cycle.

PDP insiders also revealed that the intervention aligns with the national leadership’s new strategy to ensure that all state structures are fully functional, unified and strategically positioned before the next electoral season. With opposition parties making advances in some regions, the PDP is under pressure to strengthen internal organisation and avoid further fragmentation.

In Enugu State, recurring conflicts between rival factions reportedly stalled several reconciliation efforts initiated earlier in the year. Party elders had repeatedly called for a more decisive intervention from the national office. The new caretaker committee is expected to mediate these tensions and oversee fresh grassroots alignment.

Delta State, a long-standing PDP stronghold, has also recently witnessed internal disagreements over local leadership arrangements and power-sharing formulas. Analysts say the temporary committee will likely focus on restoring stability ahead of critical party mobilisations in 2026 and 2027.

Rivers State, however, remains the most politically sensitive of the three, given ongoing disputes stemming from the fallout between various power blocs in the state. The NWC emphasised that the newly appointed committee must prioritise unity and ensure that the state chapter does not drift further into division.

The PDP urged the caretaker committees to demonstrate neutrality, uphold party discipline, and engage directly with ward and local government structures to rebuild confidence. Members of the committees were also reminded to maintain transparency, adhere to the party constitution, and complete their assignments within the stipulated 90-day period.

Political observers note that the move reflects the party’s broader attempt to reposition itself nationally. With upcoming off-season elections and the early strategic planning ahead of 2027, the PDP appears to be entering a period of internal housekeeping aimed at strengthening its competitive edge.

Party stakeholders across the three states have reacted with mixed feelings—some expressed optimism that the intervention would end protracted disputes, while others argued that caretaker committees often become political tools for national officers to impose preferred individuals.

Nonetheless, the PDP’s national leadership insists the latest appointments are purely administrative and are part of efforts to consolidate unity nationwide. The committees are expected to begin their duties immediately, setting in motion a new phase of reorganisation ahead of the scheduled congresses.

(DDM) – The political tension in Rivers State intensified on Thursday as the renewed confrontation between Governor Siminalayi Fubara and the factional Speaker of the Rivers State House of Assembly, Rt. Hon. Martin Amaewhule, resurfaced in the public arena.

The fresh clash erupted on Thursday, December 11, 2025, during a media briefing in Port Harcourt, where Amaewhule accused Governor Fubara of dishonesty and deliberate provocation.

DDM gathered that the outburst followed the governor’s recent comments on the ownership and control of the Assembly complex, which the Speaker strongly disputed.

Amaewhule described the governor as “a liar” and “a man actively looking for trouble,” insisting that Fubara’s statements on the crisis were misleading the people of Rivers State.

He argued that the governor had repeatedly attempted to bypass legal provisions guiding the operations of the legislature.

Amaewhule maintained that he, not the governor, retains lawful authority over the Assembly complex.

He stressed that his leadership still holds the constitutional mandate recognized by the court.

He added that Governor Fubara had no right to interfere with Assembly matters or redefine legislative control.

His remarks were triggered by comments from Fubara’s Chief of Staff, Edison Ehie, who told journalists that Amaewhule “holds the key to the Assembly complex” and should answer questions regarding recent tensions.

Ehie’s comments were made shortly after reports of renewed hostility between both sides surfaced again in the state.

The crisis between the governor and the Assembly dates back to October 2023 when a division emerged within the legislative house.

The rift led to the impeachment attempt against Governor Fubara by a faction loyal to Amaewhule.

The crisis further escalated when the Assembly complex was demolished in late 2023 under controversial circumstances.

The Rivers State Government claimed the structure was unsafe and required renovation.

Opposition voices, however, insisted the demolition was politically motivated.

The feud persisted for over a year, even after multiple peace interventions, including the Abuja Peace Pact engineered by President Bola Ahmed Tinubu.

Despite the agreement, both the governor and the Assembly have continued to accuse each other of violating the terms of the settlement.

Amaewhule emphasized on Thursday that the truth must be told about the crisis.

He said the governor had continually misrepresented the facts to gain public sympathy.

He insisted that the Assembly remains an independent arm of government and should not be controlled by the executive.

Observers note that the latest exchange suggests the peace pact has collapsed completely.

Political analysts warn that the renewed confrontation poses a threat to governance and stability in Rivers State.

They argue that both sides appear determined to fight for dominance.

Civil society groups have called for restraint and urged leaders to prioritize the welfare of the people.

They warned that the prolonged power struggle could hinder development and deepen divisions.

The situation remains tense as Rivers residents await further reactions from the governor’s camp.

Many fear the conflict may escalate further if urgent political reconciliation is not achieved.