President Bola Tinubu has defended his administration’s borrowing plans amid criticism from opposition leaders, arguing that loans secured from international institutions and banks should be assessed based on the projects they finance and the economic value they generate.
In an essay titled “From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy,” released by the State House on Thursday, October 29, 2026, Tinubu said responsible borrowing could help Nigeria expand its productive capacity, create jobs and improve opportunities for future generations.
“The real question is not how much we borrow, but what we build, what value we create and what future we leave behind,” the President wrote.
Tinubu identified major infrastructure projects, including the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and the modernisation of key commercial ports in Lagos, as critical investments expected to strengthen the economy.
He said the projects, alongside investments in healthcare, education and vocational training, would connect economic regions, reduce logistics costs, unlock agricultural and industrial potential and attract private investment.
According to the President, the Lagos-Calabar Coastal Highway is projected to reduce logistics costs along its corridor by 15 to 20 per cent and potentially contribute up to two per cent to Nigeria’s gross domestic product through increased trade, tourism and industrial activity.
He also said the project could generate about 100,000 direct jobs in construction and engineering, alongside more than 150,000 indirect jobs in logistics, materials and related services.
“We are not simply building highways. We are opening economic corridors, connecting markets, unlocking industries and reshaping Nigeria’s economic geography,” Tinubu said.
The President maintained that achieving his administration’s ambition of building a $1 trillion economy by 2030 would require sustained investment in infrastructure to support productivity, industrialisation and trade.
“We cannot build a USD 1 trillion economy with infrastructure designed for an economy a fraction of that size,” he said.
Tinubu attributed improvements in selected economic indicators to reforms introduced since May 2023, including the removal of petrol subsidies, exchange rate unification, tax reforms and measures aimed at controlling inflation.
He cited real GDP growth of 4.43 per cent in the second quarter of 2026, while headline inflation reportedly declined to 14.63 per cent in September from 20.98 per cent a year earlier.
The President also said Nigeria’s gross external reserves stood at $55.1 billion as of October 9, 2026, including approximately $46 billion in net reserves. He added that the country’s tax-to-GDP ratio had increased to 12.5 per cent from seven per cent.
Tinubu described the reforms as difficult but necessary decisions that had helped strengthen public finances, restore macroeconomic stability and improve Nigeria’s standing in international financial markets.
“The decisions taken since 2023 were difficult but necessary,” he said.
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He further claimed that improved investor confidence had contributed to lower borrowing costs and a significant reduction in the country’s risk premium.
“Confidence has a price; our cost of borrowing is going down, and the country risk premium has drastically decreased,” he said.
According to Tinubu, assessments by international credit rating agencies and other financial institutions reflected improvements in Nigeria’s external reserves, macroeconomic management and financial credibility.
He argued that stronger international confidence could help the country attract institutional investors, secure longer-term financing and reduce the cost of funding major infrastructure projects.
The President said his administration was seeking to shift public borrowing away from short-term fiscal pressures towards investments capable of generating economic returns, creating jobs and expanding opportunities for future generations.
He added that longer-term financing arrangements would help match repayment schedules with the lifespan of infrastructure assets, reduce refinancing pressures and secure more competitive funding for productive investments.
Tinubu also outlined five priorities for the next phase of the Federal Executive Council’s economic strategy: improving food affordability and energy price stability; harmonising budgets and strengthening fiscal discipline; completing high-impact projects and investing in critical infrastructure; improving the economic policy framework and regulatory efficiency; and providing targeted household support alongside investments in human development.
He stressed that the success of the administration’s economic policies would ultimately depend on completed projects, increased investment, job creation and improvements in living standards.
“Securing financing is not the achievement. Completing the project, delivering value and improving the lives of Nigerians is the achievement,” Tinubu said.
The President maintained that Nigeria’s economic ambitions must be backed by responsible borrowing and investments that deliver lasting benefits for citizens.