{"id":11278,"date":"2026-05-14T08:47:16","date_gmt":"2026-05-14T08:47:16","guid":{"rendered":"https:\/\/radiobaayiyobakool.com\/?p=11278"},"modified":"2026-05-14T08:47:16","modified_gmt":"2026-05-14T08:47:16","slug":"nigeria-to-spend-nearly-half-of-its-revenue-collection-to-service-debt-in-2026-tinubu","status":"publish","type":"post","link":"https:\/\/radiobaayiyobakool.com\/?p=11278","title":{"rendered":"Nigeria to spend nearly half of its revenue collection to service debt in 2026: Tinubu."},"content":{"rendered":"

Thursday 14 May 2026 {CBB} <\/strong>Nigeria will spend about $11.6 billion servicing its debt in 2026, nearly half of its projected government revenue, President Bola Tinubu said, as he called for an overhaul of a global financial system he said penalises African borrowers.<\/p>\n

Debt-servicing costs are crowding out spending on infrastructure, healthcare and education, he said, despite a government tax overhaul aimed at boosting revenues in Africa\u2019s most populous country.<\/p>\n

Nigeria spent $5.15 billion servicing its debt in 2025, data from the Debt Management Office showed.<\/p>\n

In a speech at the Africa Forward Summit in Nairobi on Tuesday, Tinubu said high borrowing costs and limited access to long-term finance were diverting resources away from industry, skills and infrastructure, in what he called a structural disadvantage for African economies. The summit, co-hosted by Kenya and France, drew leaders from more than 30 countries.<\/p>\n

\u2018Punitive interest rates\u2019<\/strong><\/p>\n

\u201cEvery single dollar that leaves our treasury to pay punitive interest rates is a dollar that did not go into our steel sector, our textile mills, our agro-processing plants, or our digital industries,\u201d he said, adding it also meant fewer trained engineers and less affordable power for factories.<\/p>\n

Now in his third year in office and aiming for re-election in January 2027, Tinubu has rolled out Nigeria\u2019s biggest reforms in decades, scrapping costly fuel and energy subsidies, devaluing the currency and overhauling the tax system in a bid to stabilise an economy hit by inflation, foreign exchange shortages and external shocks.<\/p>\n

He said the \u201cpainful, homegrown\u201d reforms had stabilised macroeconomic indicators and lifted investor sentiment.<\/p>\n

But he added that the gains were being eroded by a global financial system that treats African sovereigns as persistently high-risk borrowers, driving up interest costs.<\/p>\n

Reform of borrowing terms<\/strong><\/p>\n

Analysts led by the Nigerian Economic Summit Group said this week that debt servicing remains a key vulnerability for the country.<\/p>\n

Tinubu called for reforms including cheaper financing and deeper economic integration that prioritises Africa\u2019s growth and prosperity.<\/p>\n

He also urged curbs on illicit financial flows and greater support for industrialisation, saying Africa still accounts for less than 2% of global manufacturing.<\/p>\n

\u201cNigeria is not asking for charity,\u201d he said. \u201cWe\u2019re demanding a financial system that intentionally enables Africa to industrialise, to process its own minerals, refine its own crude oil, manufacture its own pharmaceuticals, and compete fairly in global markets.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Thursday 14 May 2026 {CBB} Nigeria will spend about $11.6 billion servicing its debt in 2026, nearly half of its projected government revenue, President Bola Tinubu said, as he called for an overhaul of a global financial system he said penalises African borrowers. Debt-servicing costs are crowding out spending on infrastructure, healthcare and education, he […]<\/p>\n","protected":false},"author":4,"featured_media":11279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[28],"tags":[],"class_list":["post-11278","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/posts\/11278","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=11278"}],"version-history":[{"count":1,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/posts\/11278\/revisions"}],"predecessor-version":[{"id":11280,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/posts\/11278\/revisions\/11280"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=\/wp\/v2\/media\/11279"}],"wp:attachment":[{"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=11278"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=11278"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/radiobaayiyobakool.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=11278"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}