(DDM) – Nigeria’s rising debt profile has taken a new turn as the Nigerian Senate approved a fresh $6 billion external loan request by President Bola Ahmed Tinubu.
Diaspora Digital Media (DDM) reports that the approval, granted amid growing economic concerns, will push the country’s total public debt to an estimated N155.1 trillion.
The additional borrowing, calculated at an exchange rate of N1,400 to one dollar, translates to approximately N8.4 trillion added to the existing debt stock.
Nigeria’s total debt had earlier been put at N146.69 trillion as of the end of 2025.
With the new loan, the figure is projected to rise significantly, intensifying concerns over fiscal sustainability.
The Senate’s swift approval of the request has sparked debate among economists, policy analysts, and the general public.
Critics argue that the growing reliance on borrowing could further strain the country’s economy, especially amid fluctuating exchange rates and inflationary pressures.
They warn that increasing debt servicing obligations may reduce funds available for critical sectors such as healthcare, education, and infrastructure.
Supporters of the loan, however, maintain that the funds are necessary to finance key development projects and stimulate economic growth.
They argue that strategic borrowing, if properly managed, can help bridge infrastructure gaps and boost productivity.
Economic experts note that Nigeria’s debt-to-revenue ratio remains a major concern, as a significant portion of government earnings is already committed to servicing existing debts.
They caution that without a corresponding increase in revenue generation, additional borrowing may worsen fiscal pressures.
The development also raises questions about the long-term sustainability of Nigeria’s debt management strategy.
Analysts say the government must prioritise transparency, efficient utilisation of borrowed funds, and improved revenue mobilisation.
There are also calls for stronger legislative scrutiny of loan requests to ensure accountability and value for money.
Observers point out that while borrowing is not uncommon for developing economies, the pace and scale must be carefully managed.
The latest approval comes at a time when Nigerians are grappling with economic challenges, including high cost of living and currency instability.
As the country’s debt continues to climb, attention is now focused on how effectively the government will utilise the funds and manage repayment obligations.
The issue is expected to remain a major topic of national discourse, particularly as Nigeria prepares for future economic and political decisions.
