The Emir of Kano, Muhammadu Sanusi II, has urged the Federal Government to tighten spending and prioritise critical sectors, warning that rising debt costs could undermine Nigeria’s economic recovery.
Sanusi spoke virtually on Tuesday, November 3, 2026, at the Oxford Global Think Tank Leadership Conference in Abuja, where he called for fiscal discipline beyond fuel subsidy removal and foreign exchange reforms.
Citing World Bank figures, the former Central Bank of Nigeria governor said interest payments consumed 124 per cent of Federal Government revenue in the first half of 2026, raising concerns about the sustainability of public finances.
He acknowledged improvements in key economic indicators, including growth of 4.5 per cent from 0.9 per cent under the previous administration, a decline in inflation from above 30 per cent to about 14.5 per cent, and foreign reserves of approximately $55bn.
However, he said these gains must translate into better living conditions, warning that persistent poverty and hardship could undermine the benefits of the reforms.
Sanusi urged the government to welcome constructive criticism and direct public funds towards priority areas such as electricity, agriculture, healthcare and education. He cautioned against excessive spending in one sector at the expense of other essential needs.
Businessman Atedo Peterside called for more ambitious economic growth, arguing that an annual rate of about four per cent would be insufficient to generate jobs for Nigeria’s growing population.
He advocated a 10 per cent growth target and identified corruption, political patronage, weak investment and regulatory interference as major barriers to economic expansion.
READ ALSO: Obasanjo Slams Tinubu Over Borrowing, Says Debt Worse Than Leprosy
Former African Development Bank President, Dr Akinwumi Adesina, proposed a $10bn Africa Artificial Intelligence Frontier Technology Fund to anchor a $50bn investment drive over 10 years.
He estimated that artificial intelligence could generate between $61bn and $103bn in additional economic value for Africa, provided the continent invests in infrastructure, research and technical skills.
Minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, said Nigeria was pursuing an approximately 90,000-kilometre open-access fibre-optic network estimated to cost $2bn.
He also highlighted the 3 Million Technical Talent programme and efforts to expand local artificial intelligence capacity. Comparing agricultural productivity, Tijani said Nigeria produces 1.5 to 2.5 tonnes of maize per hectare, against about 10 tonnes in Brazil and Argentina.
Conference convener Arunma Oteh called for stronger domestic capital markets and greater mobilisation of pension funds to support long-term investment.
The discussions came amid renewed scrutiny of Nigeria’s debt burden. The World Bank’s October 2026 Nigeria Development Update put Federal Government interest payments at N7.7tn in the first half of 2026, exceeding revenue of N6.2tn. In the corresponding period of 2025, interest payments stood at N5.6tn against revenue of N3.6tn.
The Federal Ministry of Finance disputed the interpretation of the 124 per cent interest-to-revenue ratio, arguing that the calculation included obligations serviced by the Federal Government on behalf of other tiers of government but measured them against federal revenue alone.
The ministry also said some independently generated revenue was excluded, citing a World Bank projection that total Federal Government debt service, including interest and principal repayments, would account for 46 per cent of revenue in 2026.