Peter Obi blasts FG over NNPC debt write-off, declares it financial recklessness

Former Labour Party presidential candidate, Peter Obi, has criticised the Federal Government over the reported approval of a multi-trillion-naira debt write-off for the Nigerian National Petroleum Company Limited (NNPC), describing the move as a sign of growing financial recklessness in the country.

 

In a post shared on X on Wednesday, January 7, Obi said it was “alarmingly reported” that the President approved the write-off of ₦5.57 trillion and $1.42 billion, amounting to nearly ₦8 trillion, in debts owed by NNPC, an agency that recently declared profits and claimed it had turned a corner financially, reports News Express.

 

“Financial recklessness is increasingly becoming normalized in our country,” Obi stated, questioning why such a significant debt forgiveness was approved for a company currently facing serious audit and accountability concerns.

 

He recalled that NNPC is under investigation for failing to account for ₦210 trillion, an amount he noted exceeds the combined Federal Government budgets between 2023 and 2026. Obi added that Nigerians are still awaiting the outcome of the National Assembly’s probe into the missing funds, as well as scrutiny over trillions reportedly spent on non-functional refineries.

 

“This is the same agency facing serious audit inquiries, yet the President, who also serves as the Minister in charge, has approved the write-off of about ₦8 trillion in NNPC debts,” he said.

 

Obi further argued that the debt forgiveness comes at a time when Nigerians are grappling with economic hardship following the removal of fuel and electricity subsidies, with no tangible improvement in living conditions.

 

“The nearly ₦8 trillion write-off will effectively replace revenue the government is now seeking through unfair taxation,” he stated, calling for a clear and transparent explanation from the government.

 

He noted that the amount written off exceeds the combined 2025 Federal budget allocations for education, health, and agriculture, which total about ₦7.1 trillion, and is almost twice the ₦4.9 trillion security budget for the same year.

 

According to Obi, such funds could have been channelled into critical sectors, youth empowerment, and poverty reduction, potentially lifting millions of Nigerians out of hardship.

 

“The President owes the Nigerian people clear answers,” Obi said, stressing that citizens deserve fiscal discipline and governance that prioritises public interest over mismanaged institutions.

 

The former governor concluded by warning that continued lack of accountability in public finance undermines national development and public trust in government.