Tinubu Tackles Trillion Naira Debt Inherited from Previous Governments – Presidency

The Nigerian Presidency has mounted a robust defense of President Bola Tinubu’s economic policies, stating that his administration is primarily focused on clearing massive legacy debts inherited from previous governments as part of a comprehensive strategy to stabilize the economy.In an official statement issued on Thursday, April 18, 2025, Special Adviser to the President on Information and Strategy, Bayo Onanuga, revealed that the Tinubu administration inherited a staggering ₦76.3 trillion debt burden upon assuming office. This disclosure comes amid growing public criticism of the government’s economic management and current financial challenges facing the nation.”What many critics fail to acknowledge is that President Tinubu’s administration is currently clearing the huge legacy debts left behind by previous governments,” Onanuga stated. “These inherited financial obligations have significantly constrained the government’s fiscal space and ability to implement immediate relief measures.”According to the presidential aide, the current administration has demonstrated remarkable fiscal responsibility by paying approximately ₦4.9 trillion in debt servicing within just nine months of taking office. This represents a substantial commitment to addressing financial obligations that had previously been neglected or deferred.Onanuga highlighted several specific debt categories being addressed, including the resolution of outstanding Joint Venture Cash Calls in the oil sector, which amount to approximately $7 billion. These unresolved payments, according to the Presidency, have hampered Nigeria’s crude oil production capacity and, by extension, its revenue generation potential.”The government is also settling outstanding payments for gas supply to power generating companies, prioritizing infrastructure development to boost economic growth, and maintaining subsidy payments for electricity to cushion the impact on Nigerian citizens,” he added.The Presidency’s statement emphasized that President Tinubu’s economic policies, while causing short-term hardship, are designed to position Nigeria for sustainable economic growth and development in the medium to long term. The administration maintains that addressing these legacy debts is an essential step toward creating fiscal stability and building investor confidence.NaijaSphere understands that the government’s economic reforms, particularly the removal of fuel subsidies and floating of the naira, have generated significant public debate. However, the Presidency insists these measures are necessary structural adjustments that will ultimately benefit the Nigerian economy.”President Tinubu is committed to transforming Nigeria’s economic landscape through fiscal discipline, strategic investments, and responsible governance,” Onanuga concluded. “The administration acknowledges the temporary difficulties these reforms present but remains confident that Nigerians will soon begin to experience the positive outcomes of these necessary measures.”Financial analysts interviewed by NaijaSphere noted that while addressing legacy debts is indeed crucial for long-term economic stability, the government must also implement immediate palliative measures to alleviate the current hardship facing ordinary Nigerians.As the administration continues implementing its economic recovery plan, citizens will be watching closely to see if the promised benefits materialize in the form of improved living conditions, job creation, and general economic prosperity.