The African Democratic Congress has criticised the Federal Government’s plan to secure a fresh $1.25 billion loan from the World Bank, describing the move as reckless amid Nigeria’s growing debt profile.

In a statement issued by its National Publicity Secretary, Bolaji Abdullahi, the opposition party questioned the rationale behind continuous borrowing despite what it said is an already heavy national debt burden estimated at about ₦159.28 trillion.

The ADC argued that the latest loan request reflects what it described as a cycle of borrowing used to service existing debts, while economic conditions for ordinary Nigerians continue to deteriorate.

According to the party, rising food inflation, unemployment, insecurity, business closures and a weakening naira have deepened hardship across the country, with little evidence that massive borrowing has translated into visible improvements in citizens’ lives.

The statement also criticised the National Assembly, accusing lawmakers of failing in their oversight responsibilities by repeatedly approving large-scale loan requests without adequate scrutiny.

The party said this pattern has reduced the legislature to what it called a “rubber stamp” for executive borrowing decisions.

It further claimed that Nigeria’s debt servicing obligations are becoming increasingly unsustainable, citing projections that the country could spend about $11.6 billion (over ₦15 trillion) on debt servicing in 2026.

The ADC warned that such commitments could divert critical resources away from infrastructure, education, healthcare, agriculture and job creation.

It also accused the government of introducing multiple economic reforms that have worsened living conditions, including fuel subsidy removal, exchange rate adjustments and higher electricity tariffs, arguing that the policies have yet to deliver the promised relief or 

economic recovery.

According to the party, successive loan facilities from international institutions have been accompanied by development programmes with different names but similar objectives, which it says have not produced measurable impact on the lives of Nigerians.

The ADC concluded that while borrowing can support national development when properly managed, Nigeria’s current approach appears unsustainable, warning that continued reliance on external loans without tangible results risks worsening the country’s economic outlook.