Residents of Akwa Ibom State have called for transparency, accountability and prudent management of public funds as President Bola Ahmed Tinubu seeks the approval of the Senate to borrow a fresh $20.52 billion dollars and 1.05 billion Euros to finance the 2026 and 2027 fiscal years.

The residents, who spoke in separate interviews in Uyo, the state capital, said while borrowing may be necessary to fund critical infrastructure, there must be concrete assurance that the loans will be judiciously utilised and will translate into tangible benefits for ordinary Nigerians.

President Tinubu had in a letter to the Senate, read on the floor of the Red Chamber this week, requested the lawmakers to approve the new external borrowing plan to enable his administration fund key projects across various sectors of the economy.

According to the President, the proposed loans will be channelled into critical sectors including power, transportation, healthcare delivery, education, agriculture and other developmental projects capable of creating jobs and improving the living conditions of citizens.

The President explained that the borrowing plan is part of the Medium Term Expenditure Framework and is aimed at bridging the infrastructure deficit, stimulating economic growth, and consolidating on the reforms already embarked upon by his administration.

He assured that the loans would be obtained on concessional terms with low interest rates and long repayment periods, and would be deployed strictly to capital projects that have direct impact on the lives of the people and the growth of the economy.

However, the request has generated mixed reactions across the country, with many Nigerians expressing concerns over the nation’s rising debt profile and whether previous borrowings have yielded commensurate developmental results.

Nigeria’s total public debt stock has continued to rise in recent years, currently standing at over 140 trillion Naira according to figures from the Debt Management Office, a development that has heightened fears about debt sustainability and the burden on future generations.

In Akwa Ibom State, some residents who bared their minds to newsmen said the Federal Government should first demonstrate proper management of existing resources and block leakages and wasteful spending before seeking fresh loans from foreign creditors.

Mr Marvelous Akpan, a resident of Uyo and a small business owner, said the government should prioritise cutting the cost of governance, reducing unnecessary expenditures and improving revenue generation through efficient tax administration rather than resorting to continuous borrowing.

Akpan noted that Nigerians are yet to feel the positive impact of previous loans obtained by the Federal Government, as many roads remain in deplorable condition, power supply is still epileptic and public schools and hospitals lack basic facilities.

He stressed that if the borrowed funds are not properly managed and monitored, the new loans could end up being misappropriated or diverted to service political interests rather than addressing the pressing needs of the masses.

According to him, the Federal Government should publish details of how previous loans were spent, the projects executed and their current status, as a way of building public confidence and justifying the need for fresh borrowing.

Another resident, Mr Uwem Benson, a civil servant and public affairs analyst, called on the Senate to thoroughly scrutinise the President’s loan request before granting approval, to ensure that it is in the best interest of the nation.

Benson said the National Assembly, as representatives of the people, has a constitutional responsibility to exercise due diligence, ask critical questions and ensure that the terms and conditions of the loans are favourable to Nigeria and not detrimental to the economy.

He said Nigerians need clear assurances and a well-defined framework that will guarantee that the borrowed funds will be used strictly for the purposes for which they are intended and will not be frittered away through corruption and mismanagement.

The public affairs analyst further urged the Federal Government to put in place a robust monitoring and evaluation mechanism involving civil society organisations, the media and anti-corruption agencies to track the utilisation of the loans from disbursement to project execution.

Some other residents who spoke on condition of anonymity expressed worry that continuous borrowing without visible development could mortgage the future of the country and place an unbearable debt burden on the younger generation who will be left to repay the loans.

They argued that with Nigeria’s abundant human and natural resources, including crude oil, solid minerals and a large population, the country should be able to generate enough internal revenue to fund its budget without excessive reliance on foreign loans.

The residents also called on the Federal Government to ensure that any funds borrowed are invested in projects that have direct bearing on the lives of citizens, particularly in rural areas where access to basic amenities such as good roads, clean water, electricity and healthcare remains a major challenge.

They noted that if the loans are channelled into power generation and distribution, rehabilitation of federal roads, revamping of the agricultural sector and upgrading of health and educational facilities, Nigerians would be able to see and appreciate the impact of the borrowing.

Meanwhile, economic experts in the state have advised the Federal Government to diversify the economy, promote local production and reduce dependence on imported goods as a more sustainable way of growing the economy and reducing the need for external borrowing.

They also advised that the government should strengthen institutions responsible for fighting corruption and ensure that anyone found to have diverted or misappropriated loan funds is made to face the full weight of the law as a deterrent to others.

As the Senate prepares to deliberate on the President’s request in the coming days, residents of Akwa Ibom State have urged their representatives in the National Assembly to put the interest of the nation above partisan considerations and ensure that any approval is guided by transparency and accountability.

They maintained that Nigerians are watching keenly and expect that whatever decision is taken on the loan request will ultimately lead to improved welfare, job creation, infrastructural development and economic prosperity for all citizens across the country.