Peter Obi Raises Alarm Over ₦34.44 Trillion Revenue Leakages, Cites World Bank Data

Obi cites World Bank data showing trillions in unremitted federation revenue

Peter Obi has raised the alarm over what he calls massive revenue leakages in Nigeria’s financial system, citing World Bank figures that show ₦34.44 trillion in deductions from the federation account over three years have not been properly accounted for.

The former presidential candidate, now affiliated with the African Democratic Congress, said Nigeria is “bleeding from within” despite recording what appears to be significant revenue growth. His concerns center on the gap between what the country earns and what actually reaches the federation account for distribution to states and local governments.

According to Obi, the World Bank data reveals that between 2022 and 2025, over ₦34.44 trillion was deducted from gross federation revenue before reaching the distributable pool. These deductions, he argues, lack adequate transparency, with no clear explanation of where the money went or what it funded.

“When you look at the numbers, the revenue that should be supporting education, healthcare, and infrastructure is being siphoned through opaque deductions,” Obi said. “The country is not broke. The country is being robbed from within.”

The ₦34.44 trillion figure covers a range of deductions including subsidy payments, debt servicing, and what the government classifies as “first-line charges.” Critics have long argued that these deductions have grown disproportionately, leaving states with less than they are constitutionally entitled to receive.

Obi’s intervention comes at a time when state governors are already pressing for a review of the revenue allocation formula, citing mounting fiscal pressures from inflation, exchange rate volatility, and growing wage bills. Several governors have privately complained that deductions from the federation account have expanded well beyond what the constitution envisages.

The Ministry of Finance has not yet responded to Obi’s specific claims, though officials have previously defended the deductions as legitimate obligations including debt service to both domestic and foreign creditors, statutory transfers, and the 13 percent derivation fund for oil-producing states.

What gives the claim weight is its source: the World Bank’s own public expenditure review data, which tracks federation account inflows and outflows. If verified, ₦34.44 trillion in unaccounted deductions represents roughly a third of Nigeria’s total public debt stock, raising uncomfortable questions about fiscal governance.

Sources: Punch Nigeria, Alexa News Network, NgGossips, OkayNews, HeadTopics