Atiku demands disclosure of $5bn Abu Dhabi loan details

FORMER Vice-President, Alhaji Atiku Abubakar, has challenged the Federal Government to provide Nigerians with full details of its $5 billion financing arrangement with First Abu Dhabi Bank, warning that taxpayers and future generations will ultimately repay the debt.

Atiku’s demand followed comments by the Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele, that the government would not publish details of how money obtained under the facility would be spent.

Oyedele made the disclosure during a media briefing in Abuja while responding to questions on the government’s borrowing programme and the Abu Dhabi financing deal.

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The minister said the facility should not be treated differently from other government financing arrangements, adding that it had passed the necessary approval procedures, including scrutiny by the National Assembly.

The $5 billion loan forms part of a broader $6 billion external borrowing package approved by the National Assembly in March. The Federal Government has already drawn about $1.5 billion as the first tranche of the Abu Dhabi facility.

Reacting in a statement issued on Sunday through his media office, Atiku accused the Tinubu administration of poor financial management and a lack of transparency in its borrowing activities.

He argued that the government had a responsibility to disclose how loans obtained in the name of Nigerians were being deployed, particularly as the country’s debt burden continues to increase.

“Since assuming office on May 29, 2023, President Bola Tinubu’s administration has contracted significant new debt,” Atiku said.

He cited figures from the Debt Management Office, claiming that the administration had added N72 trillion to the country’s debt stock, pushing total indebtedness to N159.35 trillion by early 2026.

According to the former vice-president, the growing debt has not translated into improved living conditions for Nigerians, who he said have continued to face rising poverty and insecurity.

Atiku claimed that the poverty rate had increased from 56 percent in 2023 to between 61 percent and 63 percent under the current administration, with more than 140 million Nigerians affected by multidimensional poverty.

Disclose details of every loan

He also criticised Oyedele’s position that there was nothing unusual about the Abu Dhabi facility and therefore no need for separate disclosure of its spending details.

“The government is obliged to explain every loan taken on behalf of Nigerians,” Atiku said.

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He maintained that every naira borrowed by the government carries a future repayment obligation for citizens, arguing that increased borrowing should be matched by visible improvements in economic and social conditions.

Atiku further raised concerns over the collateral requirements attached to the facility, saying the Federal Government was expected to pledge securities worth about 133 percent of the loan value.

He argued that such an arrangement made public disclosure of the terms and utilisation of the funds even more important.

The former vice-president also referred to concerns previously raised by the International Monetary Fund and Fitch Ratings over aspects of the financing arrangement, particularly issues surrounding transparency and Nigeria’s debt sustainability.

Atiku urged Nigerians to demand greater accountability from the Federal Government, warning that borrowing without clear evidence of economic benefits could weaken public confidence and worsen the country’s long-term financial position.