The Socio-Economic Rights and Accountability Project (SERAP) calls on President Bola Tinubu to reject the recently approved $1.08 billion World Bank loan.
The group urged the president to order an investigation into the allegations that the Nigerian batch of electricity trading companies (NBETs) and several other ministries, departments, departments and agencies (MDAS) lost, transferred or did not lose public funds of 233 billion guilds.
Serap stressed in a letter dated April 5, 2025 that loans are unnecessary and not public interest, especially given the country’s severe debt burden and the general financial mismanagement of government agencies as a whole.
According to Serap, anyone who finds liability should be prosecuted and all lost funds must be recovered and returned to the National Finance Ministry. The group proposed to include the recovered N233 billion into the budget deficit in 2025 and help alleviate Nigeria’s growing debt crisis.
The World Bank approved the loan to improve the quality of education, build resilience in the community, and address malnutrition among underserved populations. However, Serap believes that the federal government should not pursue external loans until it is consistent with constitutional and international obligations.
The group expressed deep concern about Nigeria’s escalating debt profile and pointed out that both the federal and state governments are facing increasing risks of debt trouble. According to the United Nations independent expert on foreign debt and human rights, Nigeria’s debt services exceed 20% of tax revenue, further exacerbating poverty and social unrest.
The lost funds are detailed in the 2021 audit report released by the Office of the Federal Auditor General in November 2024. NBET paid more than 96 billion guilds of unprovided services and unprovided goods, while another guild 111 billion remain unfulfilled, the report said. In addition, NBET reportedly failed to recover more than 2.8 trillion n2.8 trillion revenue.
Other highlights of the report include:
•Nigeria’s Secure Printing and Foundry Company (NSPM): Failed to remit taxes of more than R10 billion and could not award 14 billion guild without due process. It also retains government vehicles worth more than 440 million guilds, without proper records.
• National Pension Commission (PENCOM): Failed to transfer internally generated revenues of more than 4.4 billion guilds to the consolidated income fund.
• Federal Ministry of Engineering (Housing Department): More than 100 million guilds were paid without documentation.
• Federal Road Safety Force (FRSC): 52,714 national driver’s licenses were reportedly printed in 2020, worth more than 316 million n316 million, but are still unexplained. In addition, the agency failed to receive a 3.5 billion guild remittance for its driver’s license may have transferred 465 million n6.5 million N6.5 million taxes.
Serap warned that unless urgent measures are taken to recover missing funds and assume liability, legal action will be taken to force the government to take action. The group highlighted the constitutional responsibility of the Tinubu government to corruption and promote public welfare.
Serap brought the Nigerian Constitution and international anti-corruption treaties, stressing that investigations and prosecutions will strengthen accountability, maintain public trust, and prevent future mismanagement of public resources.
