Former presidential candidate Peter Obi has strongly criticised the Federal Government’s decision to approve the write-off of nearly ₦8 trillion in debts owed by the Nigerian National Petroleum Company Limited (NNPC), describing the move as a troubling sign of growing financial recklessness and misplaced priorities.
In a statement shared on his X (formerly Twitter) account on Wednesday, Obi said the approval to cancel ₦5.57 trillion and $1.42 billion in NNPC liabilities was difficult to justify, particularly at a time when Nigerians are grappling with rising living costs, increased taxation, and worsening economic hardship.
Obi expressed concern that the debt forgiveness was granted to an agency that recently declared profits and claimed to have reformed, yet is still facing serious audit queries over an alleged ₦210 trillion unaccounted for, as well as trillions of naira reportedly spent on non-functional refineries.
“For context,” Obi noted, “Nigeria’s combined federal budgets from 2023 to 2026 amount to about ₦178.56 trillion—far less than the sums Nigerians are still waiting to see properly explained.”
He questioned why the government would forgive such massive debts while citizens continue to suffer the effects of fuel and electricity subsidy removals without corresponding improvements in public services or living standards.
The former Anambra State governor argued that the nearly ₦8 trillion write-off exceeds the combined 2025 federal budget allocations for education, health, and agriculture, which stand at about ₦7.1 trillion, and is almost double the ₦4.9 trillion security budget, despite persistent insecurity across the country.
Obi further suggested that the funds could have been used to stimulate economic growth, reduce poverty, and create millions of jobs, particularly for young Nigerians struggling with unemployment.
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“The President, who also oversees the petroleum sector, owes Nigerians clear and transparent explanations,” Obi said, stressing that fiscal discipline and accountability are essential to restoring public trust.
He concluded by warning that continued tolerance of what he termed “elite-focused financial decisions” would deepen poverty and inequality, adding that governance must prioritise the welfare of ordinary Nigerians over mismanaged institutions.
The presidency and NNPC have yet to issue a detailed public response to Obi’s remarks.