Atiku Blasts Tinubu Over $516M Loan, Warns of “Debt Traps”

Former Vice President Atiku Abubakar has criticised President Tinubu’s $516 million loan request for the Sokoto-Badagry Superhighway, warning that the borrowing pattern risks trapping Nigeria in unsustainable debt without transparent terms or a credible repayment framework.

The concerns were laid out in a statement by his Senior Special Assistant on Public Communication, Phrank Shaibu, as debate intensifies over the country’s mounting debt profile.

“Necessary but dangerous”

Atiku acknowledged that the highway connecting the Northwest to the Southwest is “both necessary and desirable,” arguing that no region should be left behind in national integration. But he pushed back hard on the terms.

“At a time when Nigeria is already groaning under the weight of unsustainable debt, the resort to yet another foreign loan — without transparent terms, clear cost-benefit analysis, and a credible repayment framework — raises serious concerns,” he said.

Transparency demands

Atiku called for full disclosure on interest rates, repayment schedules, and procurement processes. The $516.3 million facility, arranged through Deutsche Bank AG with interest at SOFR plus 5.3 per cent, adds to concerns about the cost of servicing Nigeria’s growing external debt.

The Senate Committee on Local and Foreign Debts is expected to scrutinise the request before reporting back within one week.

Sources: Punch, Legit.ng