The Socio-Economic Rights and Accountability Project (SERAP) has urged President Bola Tinubu to reject the recently approved $1.08 billion loan from the World Bank.
It said the president should instead direct the Attorney General, Lateef Fagbemi, and anti-corruption agencies to investigate allegations that over N233 billion of public funds is missing, diverted, or unaccounted for by various government agencies, including the Nigerian Bulk Electricity Trading Plc.
In a statement released Sunday, SERAP argued that anyone responsible should face prosecution if there is enough evidence and that any recovered funds should be returned to the public treasury.
“Anyone suspected to be responsible should face prosecution as appropriate, if there is sufficient admissible evidence, and any missing public funds should be fully recovered and remitted to the treasury,” SERAP said.
The group also proposed using the recovered N233 billion to address the 2025 budget deficit and reduce Nigeria’s debt crisis.
“The recovered N233 billion should be used to fund the deficit in the 2025 budget and to ease Nigeria’s crippling debt crisis,” SERAP stated.
The World Bank loan was approved last week to help improve education, nutrition, and resilience for underserved groups in Nigeria.
However, SERAP expressed concerns that borrowing more money is not in the public interest, given the country’s debt burden and the missing funds.
Other agencies, like the Nigerian Security Printing and Minting Company, the National Pension Commission, and the Federal Road Safety Corps, also faced allegations of financial mismanagement.
In another letter signed by SERAP’s deputy director, Kolawole Oluwadare, the organisation said, “The World Bank loan is neither necessary nor in the public interest, especially given the country’s crippling debt burden, and staggering amount of missing public funds from MDAs that your government has failed to probe or recover.”
The organisation highlighted reports from the Auditor-General’s office, showing that NBET paid over N96bn for services not performed, failed to account for over N111 billion, and did not recover more than N2bn in outstanding debts.
The letter, read in part: “SERAP is seriously concerned that the federal government and Nigeria’s 36 states and the Federal Capital Territory continue to face a debt crisis, and vicious debt cycles or in debt distress or at high risk of debt distress.