On April 6, 2025, the Socio-Economic Rights and Accountability Project (SERAP) boldly urged President Bola Ahmed Tinubu to reject the recently approved $1.08 billion World Bank loan intended for Nigeria.
This organization, renowned for advocating transparency and accountability in governance, shared its position through an official Twitter post.
Consequently, SERAP emphasized the need for the government to prioritize the recovery of missing funds rather than relying on external loans.
In its statement, SERAP asserted,
“We’ve urged President Tinubu to reject the recently approved $1.08 billion World Bank loan for Nigeria and instead recover the missing N233 billion from the Nigerian Bulk Electricity Trading Plc and other MDAs. The loan is neither necessary nor in the public interest.”
This quote clearly outlines SERAP’s stance, highlighting the organization’s commitment to fiscal responsibility.
Furthermore, SERAP’s appeal reflects serious concerns regarding Nigeria’s growing debt profile and the potential long-term implications of additional borrowing.
The organization suggested that the government should focus on recovering funds allegedly missing from public institutions, such as the Nigerian Bulk Electricity Trading Plc (NBET) and other Ministries, Departments, and Agencies (MDAs).
By prioritizing recovery, Nigeria can avoid further financial strain.
A Call for Accountability
Moreover, SERAP’s statement underscores the belief that Nigeria’s financial challenges can be effectively addressed through improved accountability and resource recovery.
The missing N233 billion mentioned represents substantial funds that could be reinvested into critical sectors such as education, healthcare, and infrastructure development.
Thus, the emphasis on accountability becomes increasingly vital.
Additionally, the organization has consistently advocated for transparency in managing public resources.
It has previously taken legal action against government agencies to ensure accountability.
This latest call reflects SERAP’s ongoing commitment to safeguarding public interest and promoting prudent financial management across Nigeria.
Concerns Over Debt Sustainability
Nigeria’s debt profile has raised concerns among both local and international stakeholders in recent years.
The country has increasingly relied on loans from international financial institutions, such as the World Bank, to address pressing economic challenges.
However, critics argue that this approach risks exacerbating Nigeria’s debt burden, potentially leading to long-term economic instability.
SERAP’s statement aligns with these concerns, emphasizing that the $1.08 billion loan may not be necessary, given Nigeria’s existing financial resources—provided they are properly accounted for and recovered.
Hence, the focus shifts to sustainable solutions rather than temporary fixes.
Implications for Governance
Consequently, the organization’s call places renewed pressure on President Tinubu’s administration to prioritize transparency and accountability in governance.
Recovering missing funds from public institutions would not only provide an alternative revenue source but also signal the government’s commitment to combating corruption and mismanagement.
While President Tinubu has yet to respond publicly to SERAP’s appeal, the issue is likely to ignite debate among policymakers and citizens alike. Supporters of the loan may argue that it is essential for addressing pressing developmental needs. In contrast, critics may echo SERAP’s concerns about debt sustainability and governance.
Public Reaction
The statement by SERAP has already garnered significant attention on social media, with many Nigerians expressing support for the organization’s stance. Citizens have raised questions about the management of public funds and called for greater transparency in government dealings. Others have pointed out that recovering missing funds could serve as a litmus test for President Tinubu’s administration, demonstrating its commitment to addressing corruption and improving financial management in public institutions.
As Nigeria grapples with economic challenges, the debate over external borrowing versus internal resource recovery is likely to remain contentious. SERAP’s call serves as a crucial reminder of the importance of accountability and prudent financial management in achieving sustainable development. Ultimately, whether President Tinubu will heed this advice remains uncertain, but the decision will undoubtedly have far-reaching implications for Nigeria’s economy and governance landscape.
