Obi Advocates Smarter Borrowing for Nigeria's Growth

Peter Obi, the Labour Party presidential candidate for the 2023 elections, has urged Nigeria to adopt smarter borrowing strategies to boost productivity. He highlighted that Nigeria's increasing debt, which currently stands at approximately N153.29 trillion as of September 30, 2025, is not a problem in itself.

Instead, he argues that borrowing can be beneficial if funds are directed towards investments that stimulate growth rather than consumed inefficiently or corruptly. Obi compared Nigeria's economic trajectory with that of Bangladesh, noting that in 2015, Bangladesh's GDP was around $195 billion with a per capita income of $1,235.

By 2024-2025, its economy is projected to grow to $460-$500 billion with a per capita income of $2,700, driven by investments in manufacturing, textiles, energy, and human capital. In contrast, Nigeria's GDP has fallen from $490 billion in 2015 to below $250 billion today, with a per capita income drop from $850 to $1,000.

Obi concluded that new loans should translate into productive investments rather than consumption.