Tinubu advocates debt relief for Nigeria, developing nations at 79th UNGA session

Business a.m.

President Bola Tinubu, in his recent address to world leaders, has called for a concerted effort to prioritise debt relief for Nigeria and other developing countries from global creditors and multilateral financial institutions.

President Tinubu, represented by Vice President Kashim Shettima, made the call while addressing an assembly of world leaders at the 79th Session of the United Nations General Assembly, held at the UN Headquarters in New York City.

The most recent report from the Debt Management Office (DMO) for the first quarter of 2024 revealed that Nigeria’s domestic and external debt stood at a combined figure of N121.67 trillion ($91.46 billion).

Moreover, Nigeria’s states witnessed an unprecedented 122 percent surge in external debt servicing during the first half of the year, with an outstanding figure of N139.92 billion ($104.78 million) compared to N63.06 billion ($46.88 million) in the year 2023.

Elaborating on the subject of Nigeria’s debt burden, President Bola Tinubu asserted, “Similarly, we must ensure that any reform of the international financial system includes comprehensive debt relief measures, to enable sustainable financing for development.

“Countries of the global South cannot make meaningful economic progress without special concessions and a review of their current debt burden.” 

The Nigerian president, in his speech, urged the United Nations to strengthen multilateralism by enhancing ties among member states, upholding the principles of inclusion, equality, and cooperation, which are essential for sustainable global development.

President Tinubu also highlighted the impact of several global issues, including the detrimental effect of the worldwide debt burden on nations’ ability to fulfill their citizens’ needs, the negative influence of protectionist trade policies on the economic prospects of countries, and the demotivating effect of uncontrolled competition on global investments.

President Tinubu also urged for the return of the proceeds of corruption and illicit financial flows to their countries of origin, declaring that such repatriation is integral to the principles of the United Nations Convention against Corruption.

In his remarks to the UN General Assembly, President Tinubu lamented the rising trend of insularism and nationalism, which he said were hindering the global community from arriving at peaceful, unified solutions to pressing challenges such as terrorism, climate change, poverty, food insecurity, hyper-inflation, nuclear proliferation, and the debilitating effects of debt.

The President then reminded the world leaders that the United Nations, in essence, represents multilateralism, which rests on the foundational principles of inclusiveness, peace, sustainable development, and human rights.

Expressing his concern over the integrity of the UN’s founding principles, President Bola Tinubu questioned the sustainability of the global organization’s relevance and resilience, as its foundational pillars of inclusivity, equality, and cooperation are at risk of being compromised.

He stated further: “Today, these pillars of our organisation are threatened. They risk being broken by the relentless pursuit of individual national priorities rather than the collective needs of the nations that are assembled here today.

“While commitment to multilateralism offers us the surest guarantee of global action to address the existential challenges we face, singularity and nationalism are undermining the aspirations towards the peaceful and collective resolution of such challenges.

“From last year’s summit, and indeed from previous years, we have carried over the numerous challenges of terrorism, armed conflict, inequality, poverty, racial discrimination, human rights abuses, food crises, hunger, irregular migration, piracy, global pandemics, hyper-inflation, nuclear proliferation, grinding debt burden, climate change, and a host of other vexations.

“The continued manifestation of these challenges testifies to our failings rather than to any lofty achievements on our part. Billions of dollars are being committed to the prosecution of wars and the fanning of the embers of conflict.” 

President Tinubu affirmed Nigeria’s unwavering dedication to the strengthening of multilateralism, emphasising the nation’s continued commitment to Sir Abubakar Tafawa Balewa’s 1965 declaration, as Nigeria’s founding prime minister, to engage in international cooperation and maintain positive relations with all nations.

Reiterating Nigeria’s enduring allegiance to these ideals, Tinubu affirmed that Nigeria remains committed to deepening multilateralism, just as it did 65 years ago when the country  joined the United Nations.