US-Iran War: Atiku Urges Tinubu to Explain Alleged N7.98tn Oil Windfall

Former Nigerian Vice President Atiku Abubakar has strongly criticized the current administration led by Bola Tinubu, describing its economic management as contradictory and opaque. Abubakar specifically pointed to the government's unprecedented level of domestic borrowing, which he finds inexplicable given the substantial windfall from high international crude oil prices.

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The administration’s economic management is contradictory, opaque, and bereft of fiscal discipline.

In a statement issued by his Senior Special Assistant on Public Communication, Phrank Shaibu, Abubakar highlighted that the federal government had already raised approximately N5 trillion from the domestic bond market in the first half of 2026. This figure represents nearly 80% of the total borrowed during the same period in the previous year, indicating an aggressive borrowing pace.

Abubakar argued that such borrowing would only be justifiable if government revenues had collapsed. However, he stated that the opposite is true. The 2026 Appropriation Act benchmarked crude oil at $64.84 per barrel, while the average price of Brent crude, the benchmark for Nigerian oil, has hovered around $92 per barrel between March 1 and July 14. Nigerian crude typically trades at a premium above Brent, further increasing government earnings.

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Why is a government enjoying such an extraordinary oil windfall borrowing at almost twice last year’s pace as though the nation were in financial distress? Second, where is the money?

This situation raises two critical questions for Abubakar: Why is a government experiencing such an extraordinary oil windfall borrowing at nearly twice last year's pace as if the nation were in financial distress? And, where is the money? He calculated that the difference between the budget benchmark and prevailing oil prices amounts to an additional $27.15 per barrel. At an average production of 1.5 million barrels per day, this translates to an estimated $42.7 million in additional daily revenue, or approximately $5.76 billion (about N7.98 trillion) over 135 days.

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Nigerians deserve a full accounting of this windfall. Where has the money gone? Why is there no transparent disclosure of the proceeds from excess crude sales?

"Nigerians deserve a full accounting of this windfall. Where has the money gone? Why is there no transparent disclosure of the proceeds from excess crude sales? Why is the government borrowing heavily when oil revenues are significantly above budget projections?" Abubakar demanded. He contrasted the current lack of transparency with previous administrations that maintained clear mechanisms for managing excess crude earnings through the Sovereign Wealth Fund. Abubakar concluded by lamenting that despite the oil windfall and the removal of fuel subsidies, millions of Nigerians continue to face worsening hardship, citing UN findings that about 80% of Nigerians cannot afford adequate meals.

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A government that cannot explain what it has done with an estimated N7.98 trillion in additional oil receipts has no moral authority to continue plunging the country deeper into debt.