Nigeria: Presidency Slams Atiku Over 'Fiscal Recklessness' Debt Claims

What the report says

The Nigerian Presidency has rejected former Vice President Atiku Abubakar’s accusation that the Tinubu administration is being fiscally reckless, saying his criticism relies on outdated 2024 figures rather than current conditions. The response, carried in Vanguard and republished by AllAfrica, was issued from Abuja through Special Adviser on Information and Strategy Bayo Onanuga in a statement titled “Facts, Not Fear: A Point-by-Point Response to Atiku Abubakar on Nigeria’s Reform Journey.”

According to the Presidency, Nigeria’s economic reforms are already producing gains, including stronger revenue collection, lower debt-service pressure, and larger allocations to states and local governments. It argued that the economy has moved beyond the difficult adjustment phase that followed earlier exchange-rate changes, and said borrowing should be assessed by debt capacity and how funds are used, not by debt levels alone. The statement also claimed the country’s debt-service burden has eased compared with late 2022.

The Presidency further defended the removal of fuel subsidy, saying it has increased fiscal space and allowed more spending on infrastructure, social services and subnational budgets. It said the policy has benefited roads, schools, hospitals, salaries and pensions, while noting that subsidy costs had long been criticized by economists and international institutions. It also said tax reforms are designed to reduce pressure on low-income earners and smaller businesses while shifting more burden to wealthier individuals and profitable firms.

The exchange comes amid continuing political debate over the Tinubu administration’s reform agenda, the pace of economic recovery and the impact of fiscal decisions on households and governments at different levels.