Former Minister of Foreign Affairs, Prof. Bolaji Akinyemi, has advised President Bola Tinubu to exercise caution regarding Nigeria’s increasing reliance on loans from the Chinese government. Speaking on Channels Television’s Politics Today on Sunday, Akinyemi raised concerns about the long-term economic impact of these loans, urging the President to avoid repeating the mistakes of past administrations.
Akinyemi’s warning follows President Tinubu’s positive remarks about his recent engagements with Chinese leaders, including President Xi Jinping and Premier Li Qiang, at the 2024 Summit of the China-Africa Cooperation in Beijing. Tinubu described these meetings as “very good and successful,” highlighting the growing relationship between Nigeria and China.
However, Akinyemi pointed out the substantial debt Nigeria owes to global powers, particularly China. According to the Debt Management Office, China is Nigeria’s largest creditor, holding about 84 percent of the nation’s $5 billion external debt, translating to over $4 billion. Some of these loans come with long payment plans, extending up to 20 years, and moratoriums of up to seven years.
Akinyemi emphasized the importance of cautious debt management and fulfilling international obligations. He criticized the tendency to isolate China’s influence, noting that Nigeria also owes significant debts to other countries, including the United States and several medium-power nations. He warned against defaulting on these debts, stressing that Nigeria’s international reputation could suffer from such failures.
Akinyemi highlighted a recent incident where Nigerian sovereign goods were impounded globally due to defaulting on agreements, a situation he attributed to both systemic issues and mismanagement. He urged the government to ensure that all agreements are honored and warned against corrupt practices, particularly in toll collection for infrastructure projects financed by these loans.
The former diplomat also underscored the need for Nigeria to address internal corruption, particularly among those managing revenue from infrastructure projects. He criticized the practice of individuals pocketing money meant for tolls and other services, which undermines the repayment of loans and the effectiveness of infrastructure projects.
Akinyemi called for a shift in mindset, emphasizing that Nigeria, as a sovereign nation, should not be held responsible for the actions of individual states or corrupt officials. He advocated for a more rigorous and transparent approach to managing international agreements and domestic projects.
Prof. Bolaji Akinyemi’s statements reflect a growing concern over Nigeria’s economic strategy and international relations. As President Tinubu navigates the complexities of international debt and economic partnerships, Akinyemi’s advice serves as a timely reminder of the need for careful management and accountability to safeguard Nigeria’s economic stability and global standing.
