By Magaret iyamu
Effizzie Magazine Correspondent
The Socio-Economic Rights and Accountability Project (SERAP) has urged President Bola Tinubu to decline the recently approved $1.08 billion loan from the World Bank. In a letter dated April 5, 2025, the organization also called for an investigation into the alleged disappearance or misappropriation of over N233 billion in public funds by the Nigerian Bulk Electricity Trading Plc (NBET) and other government Ministries, Departments, and Agencies (MDAs).
SERAP emphasized that the loan is both unnecessary and contrary to the public interest, citing Nigeria’s escalating debt burden and the widespread financial mismanagement within federal institutions. The organization called on the president to prioritize accountability by recovering the missing funds and prosecuting individuals found responsible. It recommended that the recovered N233 billion be redirected to help reduce the 2025 budget deficit and mitigate the country’s debt crisis.
The World Bank approved the loan to enhance education quality, support vulnerable communities, and combat malnutrition. However, SERAP contends that external borrowing should be suspended until unaccounted public funds are fully recovered, in accordance with both domestic laws and international obligations.
The organization raised concerns over Nigeria’s worsening debt situation, noting that the country’s debt servicing now consumes more than 20% of its tax revenue—a factor contributing to increasing poverty and social unrest. This assessment aligns with observations by the UN Independent Expert on foreign debt and human rights.
The basis of SERAP’s allegations stems from the 2021 audited report released by the Office of the Auditor-General of the Federation in November 2024. Key findings include:
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NBET: Paid over N96 billion for undelivered services and goods, failed to account for another N111 billion, and did not recover over N2.8 trillion in revenue.
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Nigerian Security Printing and Minting Company (NSPM): Failed to remit over N10 billion in taxes, could not account for N14 billion in contract awards, and retained government vehicles worth over N400 million without proper documentation.
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National Pension Commission (PenCom): Did not remit over N4.4 billion in internally generated revenue to the Consolidated Revenue Fund.
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Federal Ministry of Works (Housing Sector): Disbursed over N1 billion without supporting documentation.
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Federal Road Safety Corps (FRSC): Printed 52,714 driver’s licenses in 2020 worth N316 million, which remain unaccounted for. Additionally, failed to remit N3.5 billion in collected fees and potentially diverted N465 million in taxes.
SERAP warned that failure to act swiftly would lead to legal action against the government. The organization underscored the Tinubu administration’s constitutional duty to combat corruption and promote public welfare. It argued that investigating and prosecuting those responsible would reinforce transparency, restore public trust, and serve as a deterrent to future financial misconduct.
