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Soaring Debt Burden: ActionAid Nigeria Calls for Urgent Fiscal Reforms

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Soaring Debt Burden: ActionAid Nigeria Calls for Urgent Fiscal Reforms

By: Michael Mike

ActionAid Nigeria has called for urgent fiscal reforms to address the soaring public debt which has risen to N134 trillion and pushed debt burden to N620,000 per citizen.

The organisation in a press statement on Saturday, said it is deeply alarmed by Nigeria’s escalating public debt, which now stands at an unprecedented N134.297 trillion as of June 2024, according to figures from the Debt Management Office (DMO).

It decried that this staggering debt has grown by nearly N13 trillion in just three months—a rate of nearly 11%—placing a burden of approximately N619,501 on each Nigerian citizen, a figure that far exceeds the recently approved minimum wage of N70,000. Without immediate intervention, Nigeria risks falling into a full-blown debt crisis.

It said this debt burden, driven primarily by large-scale borrowing, underscores a critical need to reassess Nigeria’s fiscal policies. While infrastructure development is crucial, the cost of these projects should not come at the expense of Nigerians’ access to basic services. With a population of over 216 million, this unsustainable trajectory has led to widespread concerns about the impact on poverty, healthcare, education, and overall quality of life.

ActionAid said Nigeria’s public debt profile is divided between N63 trillion in external debt and N71.2 trillion in domestic debt. The Federal Government holds the bulk of this debt, accounting for N55.8 trillion externally and N66.9 trillion domestically, while states collectively owe N7.1 trillion in external and N4.2 trillion in domestic debt. Lagos State carries the heaviest domestic debt burden at N885.99 billion, followed by Rivers State at N389.20 billion. These figures reveal a stark fiscal imbalance, indicating that both federal and state governments must re-evaluate their spending priorities and debt management practices.

It noted that “the impact of this debt extends beyond mere statistics; it represents a substantial barrier to essential services for the Nigerian people. Despite high debt levels, millions of Nigerians lack access to adequate healthcare, education, clean water, and poverty relief. Many families struggle to meet their daily needs, and with every citizen effectively saddled with a debt obligation of almost N600,000, urgent fiscal action is required to protect and uplift Nigeria’s most vulnerable populations.

“The removal of the subsidy was intended to free up significant resources, with the promise that these funds redirected to all tiers of government and drastically cutting down the country’s dependence on borrowing. However, as the nation’s public debt continues to soar, the question arises: where is the money from the fuel subsidy savings going?”

It insisted that: “If managed effectively, the funds from the subsidy removal should not only reduce the need for further loans but also enhance fiscal stability by enabling better investment in education, healthcare, and poverty reduction programs.

“These funds must be managed with full accountability and transparency, ensuring they are invested efficiently in ways that directly benefit the most vulnerable citizens. Without strict oversight and clear reporting on the allocation and impact of these funds, there is a risk they could be mismanaged or diverted to wasteful projects, leaving the promise of the subsidy removal unfulfilled and worsening the country’s financial situation.”

The statement signed by Country Director, ActionAid Nigeria Andrew Mamedu, further read that: “Nigeria’s debt-to-GDP ratio has now surpassed 50%. This marks a significant shift in the country’s fiscal landscape, highlighting the growing strain on the economy. While Nigeria has long maintained that its relatively low debt-to-GDP ratio allowed room for increased borrowing, the rapid rise in debt now limits the country’s ability to secure additional funding without exacerbating its fiscal challenges.

“The increasing debt burden, coupled with a high debt service-to-revenue ratio, threatens to undermine the government’s ability to invest in essential services, leaving the nation vulnerable to further economic instability. To prevent a full-blown debt crisis, Nigeria must adopt a more sustainable fiscal approach, curbing excessive borrowing and prioritising efficient allocation of resources to foster long-term economic growth.

“We recommend a reduction in the allowances of high-ranking government officials, including legislators and ministers, as a symbolic and practical step toward more responsible governance. By cutting these expenses, Nigeria can free up critical funds to address pressing social needs in education, healthcare, and poverty reduction.

“Beyond these cuts, ActionAid Nigeria urges a complete overhaul of fiscal policies to prioritise the needs of Nigeria’s poorest and most marginalised populations. Our current fiscal trajectory not only stifles economic growth but also risks worsening inequality and social unrest. With essential public services consistently underfunded, Nigeria’s per capita debt burden has reached a level that is both unsustainable and unacceptable.

“To alleviate the debt crisis, the government must diversify its revenue streams and adopt more progressive taxation measures. We urge the government to reform its taxation system, ensuring that wealthier individuals and corporations contribute their fair share, rather than over-relying on regressive taxes that disproportionately affect lower-income Nigerians. Additionally, the elimination of wasteful expenditures beyond salaries is necessary to build a robust, inclusive economy that works for all.”

It added that: “While the Federal Government carries a substantial portion of the debt, states like Lagos and Rivers are also burdened with high debt levels, highlighting regional fiscal disparities. The Federal Government must acknowledge these disparities and ensure that fiscal policies consider the unique economic realities of each state. A truly inclusive development plan must equitably distribute resources and opportunities across all regions of Nigeria.

“Nigeria’s mounting debt is not merely a result of borrowing; it is symptomatic of systemic governance issues, including inefficiency and mismanagement. ActionAid Nigeria calls for a transparent and accountable approach to borrowing and spending practices, particularly in implementing infrastructure projects. Every naira borrowed must be spent effectively, with a direct positive impact on Nigerians.

“This transparency is crucial for rebuilding public trust and demonstrating a commitment to responsible governance.
Nigeria’s growing debt signals an unsustainable economic path that urgently needs correction. To avert a worsening debt crisis, the Nigerian government must adopt a people-centered approach to development, prioritising human welfare over infrastructure projects that do not directly benefit the nation’s most marginalized citizens.”

It however said it remains committed to advocating for policies that promote the welfare of Nigeria’s most vulnerable and calls on the government to reorient its fiscal strategies to secure a sustainable, inclusive future.

Soaring Debt Burden: ActionAid Nigeria Calls for Urgent Fiscal Reforms

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India Strengthens Youth Ties with Nigeria Through Essay Competition Awards

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India Strengthens Youth Ties with Nigeria Through Essay Competition Awards

By: Michael Mike

The High Commission of India in Nigeria has honoured Nigerian winners of an essay competition organised under its newly introduced “Youth Junction” initiative, a programme designed to deepen youth engagement and strengthen people-to-people relations between India and Nigeria.

The prize distribution ceremony which took place at the High Commission in Abuja, drew participation from Nigerian and Indian youths who gathered to celebrate academic excellence, creativity and the growing partnership between the two nations.

Speaking at the event, India’s High Commissioner to Nigeria, Abhishek Singh, said the Youth Junction initiative was created to provide a dynamic platform for young people in both countries to interact, share ideas and explore collaborative opportunities.

He explained that the programme seeks to inspire creativity, learning and innovation among youth while also promoting cultural understanding and strengthening the longstanding diplomatic relationship between the two countries.

Singh noted that young people remain central to the future of bilateral cooperation, stressing that platforms such as Youth Junction would encourage meaningful exchanges and partnerships in areas of shared interest.

The essay competition, which formed part of the initiative, was launched on February 6, 2026 with the theme “Strength of India–Nigeria Bilateral Relationship.” The contest invited Nigerian students to reflect on the evolving partnership between the two countries and highlight opportunities for deeper cooperation.

A representative of Nigeria’s Minister of Youth Development, Ayodele Olawande, commended the initiative, describing it as an important platform for strengthening bilateral relations through youth-driven engagement.

The representative noted that by bringing young Nigerians and Indians together, the initiative would encourage collaboration in areas such as technology, entrepreneurship, cultural exchange and digital skills development.

Participants at the event expressed optimism that sustained youth-focused programmes would open new avenues for cooperation and mutual understanding between both countries.

The High Commission congratulated the award recipients and reaffirmed its commitment to expanding the Youth Junction initiative as part of broader efforts to deepen the enduring partnership between India and Nigeria.

India Strengthens Youth Ties with Nigeria Through Essay Competition Awards

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Journalists Health Insurance Gets A Boost with Hundreds Enrolled in Abuja

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Journalists Health Insurance Gets A Boost with Hundreds Enrolled in Abuja

By: Michael Mike

A major push to improve the welfare of journalists gathered momentum in Nigeria’s capital as media leaders and government officials called on philanthropists and public office holders to sponsor health insurance for reporters.

The call came as more than 150 journalists were enrolled in the Federal Capital Territory Health Insurance Scheme during the launch of a healthcare initiative by the Nigeria Union of Journalists (NUJ) FCT Council in Abuja.

The Mandate Secretary of the FCT Health Services and Environment Secretariat, Adedolapo Fasawe, used the occasion to urge philanthropists, political leaders, business executives and religious institutions to support journalists by purchasing health insurance coverage for them.

According to her, journalists play a critical role in society by amplifying the voices of citizens and holding institutions accountable, yet many remain without access to basic healthcare protection.

“My purpose of coming here today is to ask political office holders, religious leaders and individuals who want their voices to be heard to buy health insurance for a journalist,” she said.

The initiative, spearheaded by the Chairman of the NUJ FCT Council, Grace Ike, is aimed at addressing the long-standing welfare concerns of journalists working in the Federal Capital Territory.

Ike described the launch as a historic turning point for the union, noting that it represents the first structured health insurance programme specifically targeted at journalists in the territory.

“Journalists dedicate their lives to informing the public and shaping national conversations, yet their welfare is often overlooked,” she said. “This initiative is about protecting those who work tirelessly to keep society informed.”

She commended the Chairman of the House of Representatives Committee on Information, Akin Rotimi Jr., for supporting the programme and helping initiate the insurance coverage.

She also praised Fasawe for providing 150 free health insurance slots for NUJ members and acknowledged the support of the Permanent Secretary in the FCT Health Secretariat, Babagana Adam, who pledged to sponsor 50 additional journalists in memory of his late brother.

With these contributions, Ike disclosed that about 200 journalists in the FCT have already secured health insurance coverage under the scheme.

Fasawe further announced an additional 50 insurance slots during the event, pushing the coverage to about 65 per cent of NUJ members in the territory. She revealed that about 480 out of the estimated 800 journalists operating in the FCT are now captured under the health insurance programme.

The health official stressed that expanding insurance coverage aligns with the healthcare reforms being pursued by the FCT Administration under the Minister of the Federal Capital Territory, Nyesom Wike.

She noted that the administration has adopted a zero-tolerance policy toward maternal mortality and has expanded access to free antenatal care and delivery services for vulnerable pregnant women across primary healthcare centres in the FCT.

Also speaking, the National President of the NUJ, Alhassan Yahya, said the initiative was a critical intervention given the extremely low health insurance coverage among journalists nationwide.

He revealed that studies show less than one per cent of Nigerian journalists currently have any form of health insurance, leaving many vulnerable to high out-of-pocket medical expenses.

The programme, unveiled during the NUJ FCT Congress attended by more than 450 members, was widely welcomed by journalists who described it as a long-awaited step toward improving the welfare and security of media professionals in the nation’s capital.

Stakeholders at the event expressed optimism that sustained support from government agencies, private organisations and philanthropists would help extend health insurance coverage to all journalists in the Federal Capital Territory.

Journalists Health Insurance Gets A Boost with Hundreds Enrolled in Abuja

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Before Calling for DSS Disbandment, Look at the Results

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Before Calling for DSS Disbandment, Look at the Results

By: Olumide Bajulaiye

At a time when Nigeria continues to confront terrorism, kidnapping, and organized crime, calls for the disbandment of the Department of State Services (DSS) are not only misplaced but dangerously dismissive of the agency’s recent achievements.

Under the leadership of Oluwatosin Ajayi, the DSS has demonstrated renewed operational focus and intelligence capability in confronting some of the country’s most pressing security threats. Rather than dismantling the agency, the conversation should focus on strengthening and supporting the institution that quietly works behind the scenes to protect Nigerians.

Across the North-East, North-West, and the Middle Belt, the DSS has intensified intelligence-driven operations that have disrupted terror cells and prevented numerous kidnapping plots. These are not abstract claims; they are measurable results that have directly contributed to saving lives and stabilizing communities.

One of the most significant achievements has been the successful prosecution and conviction of key terrorist figures linked to groups such as Ansaru and commanders associated with Islamic State West Africa Province (ISWAP). Convictions of this magnitude signal not only effective intelligence gathering but also coordination with the justice system to ensure that perpetrators face the full weight of the law.

The DSS has also expanded its operational reach beyond traditional conflict zones. Coordinated operations in Abuja, as well as in Nasarawa State, Ebonyi State, and Akwa Ibom State, have led to the arrest of arms couriers and logistics suppliers for terrorist groups. In some cases, even women acting as logistical coordinators for terror networks were apprehended, demonstrating the depth of the agency’s intelligence penetration.

Perhaps one of the most striking operations occurred in Asaba, where DSS operatives intercepted a major arms smuggling network. The operation led to the recovery of more than 50 AK-47 rifles, rocket-propelled grenades (RPGs), grenades, and over 3,000 rounds of ammunition—an arsenal that could have fueled devastating attacks across the country.

The agency’s efforts have also translated into lifesaving rescue missions. In Kaduna State, coordinated DSS operations resulted in the rescue of 79 kidnapped victims. Similar rescue missions have taken place in Niger State, Kebbi State, and Katsina State, returning victims to their families and disrupting the financial networks that sustain kidnapping gangs.

Importantly, these are only the operations that reach the public domain. Intelligence agencies worldwide operate largely in secrecy, meaning many successful interventions remain undisclosed to protect ongoing investigations and operational methods.

This reality makes sweeping criticisms of the DSS particularly unfair. Security agencies should indeed be held accountable, but such scrutiny must be balanced with recognition of genuine accomplishments. Dismissing the agency outright ignores the complex and often dangerous work carried out daily by its officers.

Nigeria’s security challenges require strong institutions, professional leadership, and sustained intelligence operations. Under Ajayi’s leadership, the DSS appears to be repositioning itself toward that goal.

Rather than calling for its disbandment, Nigerians should demand continued reforms, improved oversight, and greater resources to ensure the DSS remains effective in safeguarding national security.

In the fight against terrorism and organized crime, weakening one of the country’s primary intelligence institutions would only serve the enemies of the state—not the Nigerian people.

Olumide Bajulaiye is the Publisher, Daily Dispatch Newspaper, also a media consultant

Before Calling for DSS Disbandment, Look at the Results

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