Alliance demands FG disclose details of $5bn Abu Dhabi swap loan
The Alliance for Economic Research and Ethics criticised the Federal Government for refusing to disclose details of the $5 billion Total Return Swap facility obtained from First Abu Dhabi Bank, saying officials called the loan "nothing special." The group warned that despite being commercially structured, the deal involves a sovereign counterparty, public collateral, repayment obligations and margin‑call risks, giving it a public‑interest dimension. It also reviewed the Tinubu administration’s claim of generating N20.4 trillion in incremental fiscal resources through reforms, noting that about N11.85 trillion (58%) came from additional borrowing rather than internally generated revenue, with the rest from fuel subsidy savings and other income. The Alliance cautioned that counting borrowing as revenue distorts the true state of government finances. It highlighted rising economic pressure: external debt‑service costs rose by N9.37 trillion due to exchange‑rate depreciation, food inflation remained at 20.31% in July 2026, and IMF estimates put national poverty at 63% with 27 million Nigerians severely food‑insecure. The think‑tank urged the government to publish a redacted term sheet, disclose the SOFR‑plus‑3.95%‑4% pricing benchmark, issue periodic risk‑assessment reports, launch a monthly macroeconomic dashboard for citizens, and integrate derivative‑based financing into public reporting, while expanding social protection programmes. Citizens should ask for transparent debt disclosures and consider how growing debt service may affect future taxes, subsidies and cost of living.