Tinubu defends borrowing, says $1tn economy requires infrastructure investment
President Bola Tinubu has defended his administration’s borrowing strategy, saying loans must finance infrastructure and productive investments capable of creating jobs, stimulating economic growth and improving the living standards of Nigerians.
Tinubu said Nigeria’s ambition of building a $1 trillion economy by 2030 would remain difficult to achieve without sustained investment in critical infrastructure, insisting that public borrowing must be tied to projects that deliver long-term economic benefits.
The President stated this in an essay titled “From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy”, released by the State House on Thursday.
He argued that the country’s borrowing debate should focus on the economic value generated from borrowed funds rather than the amount of debt accumulated.
“The real question is not how much we borrow, but what we build, what value we create and what future we leave behind,” he said.
Tinubu listed the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and the modernisation of major commercial ports in Lagos among the projects expected to support the country’s economic transformation.
According to him, the projects, combined with investments in healthcare, education and vocational training, would improve connectivity, lower transportation costs, expand agricultural and industrial production and attract private sector investment.
The President projected that the Lagos-Calabar Coastal Highway could cut logistics costs along its route by 15 to 20 per cent and contribute up to two per cent to Nigeria’s Gross Domestic Product through increased trade, tourism and industrial activities.
