NLC Criticizes President Tinubu’s Request for New Loans

The National President of the Nigeria Labour Congress (NLC), Comrade Joe Ajaero, has spoken out against President Bola Tinubu’s request for the National Assembly to approve new loans totaling over $20 billion and €1.45 billion. Ajaero expressed his concerns during an appearance on Channels Television’s The Morning Brief.

Ajaero questioned the need for additional borrowing, especially since the government has claimed that the removal of fuel subsidies would increase revenue. He noted that oil-producing states are currently earning more due to rising oil prices, and he asked why the government would still seek loans under these circumstances.

He criticized international lenders like the International Monetary Fund (IMF) and the World Bank, stating that their loans are harming Nigeria. Ajaero emphasized that the country’s debt situation is worsening and urged citizens to hold the government accountable for its borrowing practices.

The NLC leader mentioned that the National Assembly’s rejection of the loan request could prevent the government from securing these funds. This request comes amid ongoing discussions about the government’s borrowing habits and the increasing debt burden on the country.

In April, it was reported that the Federal Government planned to increase its borrowing for 2026 significantly, raising concerns about the country’s fiscal health. Critics, including presidential candidate Peter Obi, have warned that Nigeria may face a debt crisis if borrowing continues unchecked.

Despite the criticism, the Federal Government has defended its borrowing strategy, stating that the funds are necessary for critical infrastructure and development projects.