Monday, April 7, 2025 - The Socio-Economic Rights and Accountability Project (SERAP) has called on President Bola Tinubu to reject the recently approved $1.08 billion World Bank loan.
The organisation is urging the president to order an
investigation into allegations that over N233 billion in public funds are
missing, diverted, or unaccounted for by the Nigerian Bulk Electricity Trading
Plc (NBET) and several other Ministries, Departments, and Agencies (MDAs).
SERAP, in a letter dated April 5, 2025, stressed that the
loan is unnecessary and not in the public interest, particularly given the
country’s crippling debt burden and widespread financial mismanagement across
government institutions.
According to SERAP, any individuals found culpable should be
prosecuted, and all missing funds must be recovered and returned to the
national treasury. The group recommends that the recovered N233 billion be used
to reduce the 2025 budget deficit and help alleviate Nigeria’s growing debt
crisis.
The World Bank had approved the loan to improve education
quality, build resilience in communities, and address malnutrition among
underserved populations. However, SERAP argues that the federal government
should not pursue external loans until it has fully recovered unaccounted
funds, in line with constitutional and international obligations.
The organisation expressed deep concern over Nigeria’s
escalating debt profile, noting that both the federal and state governments
face a growing risk of debt distress. According to the UN Independent Expert on
foreign debt and human rights, Nigeria’s debt service exceeds 20% of tax
revenues, further compounding poverty and social unres
The missing funds are detailed in the 2021 audited report
released by the Office of the Auditor-General of the Federation in November
2024. The report alleges that NBET paid over N96 billion for services not
rendered and goods not supplied, while an additional N111 billion remains
unaccounted for. Furthermore, NBET reportedly failed to recover revenues
amounting to over N2.8 trillion.
Other
highlights of the report include:
• Nigerian
Security Printing and Minting Company (NSPM): Failed to remit over N10 billion
in collected taxes and could not account for N14 billion in contracts awarded
without due process. It also retained government vehicles worth over N400
million without proper records.
• National
Pension Commission (PenCom): Failed to remit over N4.4 billion in internally generated
revenue to the Consolidated Revenue Fund.
• Federal
Ministry of Works (Housing Sector): Paid over N1 billion without documentation.
• Federal
Road Safety Corps (FRSC): Allegedly printed 52,714 National Driver’s Licenses
in 2020 worth over N316 million, which remains unaccounted for. Additionally,
the agency failed to remit over N3.5 billion collected for driver’s licenses,
and N465 million in taxes may have been diverted.
SERAP warned that unless urgent measures are taken to
recover the missing funds and hold those responsible accountable, it would take
legal action to compel the government to act. The organisation emphasized the
constitutional responsibility of the Tinubu administration to fight corruption
and promote public welfare.
Referencing both the Nigerian Constitution and international
anti-corruption treaties, SERAP stressed that investigating and prosecuting
those involved would reinforce accountability, uphold public trust, and deter
future mismanagement of public resources.
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