Peter Obi has voiced strong objections to President Bola Tinubu’s recent approval of an N8 trillion debt cancellation for the Nigerian National Petroleum Company (NNPC) Limited. This decision comes under scrutiny amidst ongoing audit queries and mounting economic pressures on ordinary Nigerians. Obi, a prominent political figure, described the move as alarming, particularly when citizens are already contending with escalating energy costs, rampant inflation, and increased tax burdens. The presidential candidate highlighted the paradox of NNPC, a company recently reporting profits, having its debts significantly reduced. The former governor of Anambra State emphasized the timing of this debt forgiveness, noting it occurs while NNPC faces substantial audit investigations. He pointed out that trillions of Naira spent on non-functional refineries are also under examination, making the debt write-off appear questionable. This action, Obi argues, places an undue financial burden on the citizens who are already struggling with the removal of fuel and electricity subsidies. Featured snippet paragraph: The answer is that Peter Obi is questioning the N8 trillion debt cancellation for NNPC by President Tinubu, citing unresolved audit queries and the current economic hardships faced by Nigerians, including rising energy costs and inflation. Obi detailed in a statement that the approved write-off encompasses approximately N5.57 trillion and $1.42 billion, totaling around N8 trillion. He contrasted this with the fact that NNPC recently announced profitability, adding another layer of concern about the justification for such a substantial debt reduction. He further contextualized the amount by comparing it to Nigeria’s national budgets. Obi noted that the N8 trillion write-off exceeds the combined federal government budgets planned for 2023 to 2026, which collectively amount to about N178.56 trillion. This comparison underscores the significant financial implications of the NNPC debt cancellation. The former presidential candidate also drew attention to the ongoing National Assembly investigations into alleged trillions of Naira unaccounted for by NNPC. He expressed that Nigerians are still awaiting the outcomes of these investigations, making the debt forgiveness seem premature and lacking transparency. Obi questioned the rationale behind forgiving debts from an entity that is also facing scrutiny for its expenditures, particularly concerning the funds allocated to non-operational refineries. He reiterated that the President, who also serves as the Minister of Petroleum Resources, has sanctioned this massive debt relief. The debt forgiveness, according to Obi, effectively means that the government will seek to recover this amount through other means, likely increasing the tax burden on citizens. He described this as an unfair taxation strategy, especially considering the existing economic struggles faced by the populace. The magnitude of the N8 trillion write-off is further illustrated by its comparison to essential government spending. Obi pointed out that this sum is greater than the combined 2025 federal budget allocations for critical sectors like education, health, and agriculture, which were slated to receive N7.1 trillion. Additionally, the amount is nearly double the 2025 federal security budget, which was set at N4.9 trillion. This highlights how the cancelled debt could have been strategically utilized to bolster national security or vital public services. Obi suggested that these resources, if retained or managed more effectively, could have been instrumental in stimulating economic productivity, generating employment opportunities, and alleviating poverty. These are crucial goals for an economy grappling with high unemployment rates and sluggish growth. He concluded by demanding clear explanations from the President, emphasizing that citizens deserve honesty, fiscal responsibility, and governance that prioritizes their interests over those of mismanaged corporations or political elites. Obi warned that unchecked fiscal decisions within the energy sector could further erode public trust and jeopardize economic stability. He stressed that such actions represent a betrayal of the people and must be halted to ensure a more responsible financial future for Nigeria. The call for transparency and accountability in the management of NNPC’s finances and debts remains a central theme in Peter Obi’s critique of the current administration’s economic policies.
