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 unrest.
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.