Former Nigerian President Olusegun Obasanjo has raised fresh concerns over the country’s growing debt profile, warning that excessive borrowing and rising debt-servicing obligations could place serious strain on governance and economic stability.
Drawing a comparison between managing a nation and handling personal finances, Obasanjo argued that governments, like individuals, must ensure their spending patterns remain sustainable.
“If a person earns money but continually borrows simply to survive because most of their income goes into paying debts, then there is a fundamental problem,” he said.
Extending the analogy to public administration, the former president warned that a situation where a government spends almost all of its revenue servicing debts signals a dangerous economic imbalance.
“If we are earning and nearly 95 percent of those earnings are being channelled into debt servicing, then something is deeply wrong,” he said.
Obasanjo’s remarks add to ongoing discussions surrounding Nigeria’s fiscal health, with concerns continuing to mount over rising debt obligations and the long-term implications for economic growth, public spending and national development.
