President Bola Tinubu has defended his administration’s borrowing from international institutions and banks, arguing that sustained investment in infrastructure is essential to achieving Nigeria’s target of a $1 trillion economy by 2030.
In an essay titled ‘From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy’, Tinubu said the focus should be on the economic value generated by borrowed funds rather than the volume of debt incurred.
“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.
The President identified the Lagos-Calabar Coastal Highway, Sokoto-Badagry Superhighway, Trans-Sahara Superhighway, electricity grid upgrades and modernisation of major Lagos ports as key projects expected to strengthen Nigeria’s productive capacity.
He said the investments, alongside spending on healthcare, education and vocational training, would reduce logistics costs, connect markets, unlock agricultural and industrial potential, and attract private investment.
Tinubu projected that the Lagos-Calabar Coastal Highway could reduce logistics costs along its corridor 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 activity. He also estimated that the project could generate about 100,000 direct jobs and more than 150,000 indirect jobs.
“We are not simply building highways. We are opening economic corridors, connecting markets, unlocking industries and reshaping Nigeria’s economic geography,” he said.
“We cannot build a USD 1 trillion economy with infrastructure designed for an economy a fraction of that size.”
The President attributed improvements in economic indicators to reforms introduced since May 2023, including petrol subsidy removal, exchange rate unification and tax reforms.
He said real GDP growth reached 4.43 per cent in the second quarter of 2026, while headline inflation declined to 14.63 per cent in September from 20.98 per cent a year earlier. He added that gross external reserves stood at $55.1 billion as of October 9, while the tax-to-GDP ratio rose to 12.5 per cent from seven per cent.
Tinubu maintained that the reforms had strengthened public finances and investor confidence, adding that Nigeria’s borrowing costs and country risk premium had declined.
“The decisions taken since 2023 were difficult but necessary. Confidence has a price; our cost of borrowing is going down, and the country risk premium has drastically decreased,” he said.
He said improved assessments by international credit rating agencies could help Nigeria attract institutional investors, secure longer-term financing and lower borrowing costs.
The President added that his administration was shifting borrowing towards infrastructure and other investments capable of generating economic returns, creating jobs and expanding opportunities for future generations.
He also outlined priorities for the next phase of the government’s economic strategy, including food affordability, energy price stability, fiscal discipline, completion of major infrastructure projects, regulatory efficiency and targeted household support.
Tinubu said the administration’s success would ultimately be measured by completed projects, increased investment, job creation and improved living standards.
“Securing financing is not the achievement. Completing the project, delivering value and improving the lives of Nigerians is the achievement,” he said.
The statement was issued on Thursday by Bayo Onanuga, the President’s Special Adviser on Information and Strategy.
