.Releases data to puncture former VP’s claim
.Says Atiku still wallowing in ‘frozen snapshots of history’
Deji Elumoye in Abuja
The Presidency on Sunday formally reacted to former Vice President Atiku Abubakar’s accusation of President Bola Tinubu’s administration of financial recklessness.
Presidential spokesperson, Bayo Onanuga, in a detailed release posited that the criticism of presidential candidate of the African Democratic Party (ADC), was based on outdated 2024 data which ignored significant macro-economic gains recorded in 2025 and 2026.
According to the statement: “Former Vice President Atiku Abubakar, in his typical pastime, has accused the administration of President Bola Tinubu of fiscal recklessness, citing excess borrowing in the 2024 budget, questioning the removal of fuel subsidy, criticising tax reforms, concocting an oil windfall of N7.98 trillion, and suggesting that Nigeria is drifting economically.
“His concerns, though misplaced, deserve a response—not because criticisms should be silenced – but because Nigerians should have a fuller picture of where the country is today.”
The Presidency, in the release entitled “Facts, Not Fear: A Point-by-Point Response to Atiku Abubakar on Nigeria’s Reform Journey,” stressed that Atiku was still wallowing in “frozen snapshots of history” without considering evolving economic realities under President Tinubu’s reform agenda.
It stated that Atiku’s economic arguments remain anchored in 2024, even as Nigeria’s economy has rebounded sharply in dollar and naira terms.
According to the release, Nigeria’s dollar-denominated GDP has risen from about $253 billion post-exchange rate reset to roughly $377 billion—a 49% recovery—while naira GDP expanded from ₦314 trillion to around ₦530 trillion, a 69% increase.
It described the reforms as “necessary structural adjustments” meant to correct distortions that persisted through earlier administrations, including the 1999–2007 Obasanjo-Atiku years.
“The Nigerian economy that underwent painful adjustment in 2024 has evolved considerably. Following the exchange-rate reset, Nigeria’s dollar-denominated GDP fell to about $253 billion, reflecting the immediate effect of currency realignment. “Since then, figures from statistics bodies and multilateral agencies like the IMF indicate that it has recovered significantly to approximately $377 billion, representing an increase of roughly 49 per cent from that post-adjustment trough. Likewise, Naira GDP has expanded from about ₦314 trillion in 2024 to around ₦530 trillion, a 69% increase reflecting both higher economic activity and price changes.
“These figures should continue to be assessed alongside real GDP growth, inflation, and household welfare. They do illustrate that the economy did not remain frozen at its most difficult moment.
On borrowing, the Presidency emphasised that debt must be assessed relative to economic capacity and revenue performance, citing the country’s debt-to-GDP ratio at about 40%, lower than peers such as South Africa (85%), Egypt (80%), and Kenya (75%), and far below advanced economies like the U.S. (130%) and U.K. (110%).
It stated that the debt-service-to-revenue ratio has fallen from nearly 100% in late 2022 to under 60% today, reflecting improved revenue efficiency and conservative debt management.
“On the matter of Nigeria’s debts, it is important to ask a broader question: What is Nigeria’s capacity to sustain her debt? For debt, in itself, is not the defining measure of fiscal health. What matters are the size of the economy; our revenue-generating capacity; debt servicing costs; the purposes for which funds are borrowed; and whether borrowed resources finance productive investments or recurrent consumption. Nigeria’s debts have been acquired for productive, long-term infrastructural and investment purposes – according to the law.
“Nigeria’s debt-to-GDP ratio remains relatively modest (at barely 40%) compared with many peer economies and advanced countries (South Africa (85%), Egypt (80%), Ghana (60%), Kenya (75%), USA (130%), UK (110%), China (300% – unofficially), even though debt-service pressures have historically been significant. Still, the Tinubu Administration has seen a reduction in the debt service-to-revenue ratio, from a high of nearly 100% in December 2022 to less than 60% today.
“This is a remarkable achievement that shows that Nigeria’s revenue efficiency has improved, while debt management remains conservative and astute. All the same, the more meaningful question is whether borrowing finances investments that expand productive capacity and future revenues, rather than merely postponing difficult choices.”
The Presidency also defended the removal of the long-criticized fuel subsidy, saying it had drained public finances for decades.
It said the savings have visibly boosted statutory allocations to states and local governments, enabling higher spending on infrastructure, salaries, pensions, and social programs.
Citing World Bank assessments, the Presidency said public revenues and subnational capital spending have improved following the reforms—what it termed “true federalism” in action.
“The visible consequence of subsidy removal has been the sharp improvement in revenues accruing to states and local governments through the Federation Account. Higher statutory allocations have expanded fiscal space at the subnational level, enabling many states to increase spending on roads, schools, hospitals, salaries, pensions, and social programmes. Independent assessments, including those from the World Bank, have noted improvements in public revenues and subnational capital spending, which is another word for infrastructural development, following major fiscal reforms. “This means that President Tinubu has tactically placed more responsibility for socioeconomic development on states and local governments, while providing requisite funding. This is true federalism and a bold statement on the much-vaunted subject of economic restructuring – another important issue gallantly avoided by the government in which Alhaji Atiku served and wielded great influence.”
On issue of punitive taxation, the release said the tax reforms are designed to broaden the tax base while shielding low-income earners and small businesses. Individuals earning up to ₦1 million annually and enterprises with turnover below ₦100 million are meant to bear lighter burdens, while compliance is tightened among higher earners and profitable firms.
“The objective of the tax reforms is not merely to increase collections but to create a broader, more equitable tax system. The reforms are intended to reduce the burden on many low-income earners (people earning N1 million per annum and below) and small businesses (with turnover of N100 million and below) while strengthening compliance among higher-income individuals and profitable enterprises – many of whom had avoided or evaded taxes under the cover of informality for decades.
“The underlying principle is that those with greater capacity should bear a larger share of the tax burden, while micro-enterprises and vulnerable households receive greater protection. Nigerians understand that to have a fine, working nation, we all must contribute to her prosperity. And we are on course.”
It highlighted health-sector investments, including the revitalization of more than 3,000 primary healthcare centers, retraining of 78,000 frontline workers, and the operation of three cancer centers with expansions in 13 states.
On education, the statement pointed to over 11,000 basic education projects and the Nigerian Education Loan Fund (NELFUND), which has disbursed more than ₦303 billion to 1.64 million students across 300 institutions.
It also listed the huge gains recorded by the government including ongoing infrastructure projects—highways, rail, ports, power, airports, gas, housing, and digital connectivity—to rising public investment and private-sector growth.
These efforts, it said, have helped trigger the 49% leap in dollar GDP and 69% rise in naira GDP since 2024.
The Presidency also dismissed Atiku’s claim of an N7.98 trillion oil windfall as analytically flawed.
It explained that while Brent crude averaged about $90 per barrel in the first half of 2026 versus a $64.85 benchmark, daily production fell short at 1.6 million barrels versus a forecast 1.84 million.
The Presidency argued that some crude volumes were pledged for loans used to fund past subsidy payments, limiting immediate revenue availability.
“There is no such windfall of N7.98 trillion. Any incremental revenue from higher oil prices is reflected in the monthly FAAC figures. While the average price for the half-year 2026 for Brent is around $90 compared to the $64.85 benchmark, the average daily production fell short at about 1.6m bpd compared to the forecast of 1.84m bpd. The production shortfall partly offset the price premium. In addition, some crude volume had been pledged for loans used to pay for the wasteful subsidy in the past, which the President was bold enough to remove, stopping the bleeding but not immediately translating into available revenue.
“The convenient mistake many analysts make is to multiply the oil price by the daily crude production volume to determine revenue to the government. Such analyses ignore the cost of production, the share of crude belonging to the oil-producing companies and the impact of crude sale contracts such as forward contracts designed to hedge against price volatility.
Atiku will do well to show the workings for his N7.98 trillion oil windfall.”
The Presidency added that inflation fell to 14.4% in November 2025 before rising to 15.91% amid Middle East war disruptions, with analysts now projecting a decline toward 12% by year-end.
It insisted that the government launched ward-centric NG-CARES, HOPE, and SOLID programmes worth over $3 billion, alongside cash transfers to 15 million households.
The release therefore cautioned Atiku and his followers to adopt a more mature national conversation approach focused on measurable outcomes rather than slogans.
“All else is an attempt by political carpetbaggers to gain attention.”
According to the statement, the Tinubu government’s reforms is a long-term reinvention of the country’s economy, one that demands short-term sacrifice but promises lasting gains.
“Nigeria’s economy is not yet where it aspires to be. But neither is it where it stood at the height of its structural distortions or in the bygone years of fiscal waste and slackness. The fundamental reforms will continue to expand opportunity, strengthen institutions, and deliver tangible improvements in the lives of Nigerians. That is the focus of President Tinubu. All else is an attempt by political carpetbaggers to gain attention,” the Presidency further stressed.