President Bola Tinubu has defended his administration’s foreign borrowing, saying investment in critical infrastructure is essential to achieving a $1tn economy by 2030.
Tinubu’s position was contained in an essay titled ‘From reforms to delivery: Our infrastructure investment and growth strategy’, released on Thursday by his Special Adviser on Information and Strategy, Bayo Onanuga.
The President’s comments come amid concerns over Nigeria’s debt profile and the government’s continued borrowing.
He argued that the focus should be on the economic value generated by borrowed funds rather than the amount of debt incurred.
“The real question is not how much we borrow, but what we build, what value we create and what future we leave behind,” Tinubu said.
He listed the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and the modernisation of major commercial ports in Lagos as projects expected to boost economic productivity.
According to him, the projects, alongside investments in healthcare, education and vocational training, would reduce logistics costs, connect markets, expand industrial and agricultural activities, and attract private investment.
Tinubu said the Lagos-Calabar Coastal Highway could reduce logistics costs along its route by 15 to 20 per cent and contribute up to two per cent to Nigeria’s gross domestic product through increased trade, tourism and industrial activity.
He added that the project was expected to create about 100,000 direct jobs and more than 150,000 indirect jobs.
“We are not simply building highways. We are opening economic corridors, connecting markets, unlocking industries and reshaping Nigeria’s economic geography,” he said.
“We cannot build a USD 1 trillion economy with infrastructure designed for an economy a fraction of that size.”
The President attributed improvements in economic indicators to reforms introduced since May 2023, including petrol subsidy removal, exchange rate unification and tax reforms.
He said real GDP growth reached 4.43 per cent in the second quarter of 2026, while headline inflation dropped to 14.63 per cent in September from 20.98 per cent a year earlier.
Tinubu also said gross external reserves rose to $55.1bn as of October 9, 2026, with net reserves at about $46bn. The tax-to-GDP ratio, he added, increased from seven per cent to 12.5 per cent.
According to him, the reforms have strengthened public finances and improved Nigeria’s standing in international financial markets.
“The decisions taken since 2023 were difficult but necessary. Confidence has a price; our cost of borrowing is going down, and the country risk premium has drastically decreased,” Tinubu said.
He cited assessments by international credit rating agencies as evidence of improved investor confidence, saying the development could help Nigeria attract institutional investors, secure longer-term financing and lower borrowing costs.
Tinubu said his administration was shifting public borrowing towards projects expected to generate economic returns and create jobs, rather than using loans mainly to address short-term fiscal pressures.
He added that the government was pursuing longer-term financing arrangements to match the lifespan of infrastructure projects, reduce refinancing risks and secure more favourable funding terms.
The President identified five priorities for the next phase of the Federal Executive Council’s economic strategy: food affordability and energy price stability; budget harmonisation and fiscal discipline; completion of major projects; improved economic policies and regulatory efficiency; and targeted household support alongside investment in human development.
He said the administration’s performance would ultimately be measured by completed projects, increased investment, job creation and improved living standards.
“Securing financing is not the achievement. Completing the project, delivering value and improving the lives of Nigerians is the achievement,” Tinubu said.
