Obasanjo Calls Debt Worse Than Leprosy, Warns AI May Be Western Trap

Former President Olusegun Obasanjo declared that debt is worse than leprosy because leprosy destroys only one person while debt destroys generations. He made the remark while questioning how Nigeria accumulated its debt and the impact of the country’s economic decisions over the years.

Obasanjo criticised President Bola Tinubu’s administration over its position on borrowing, arguing that excessive borrowing places a financial burden on future generations who had no part in accumulating the loans. His comments followed Tinubu’s recent remarks that borrowing should not be treated as leprosy because loans are not necessarily harmful if the government works hard to repay them.

The former president rejected that argument and questioned the justification for Nigeria’s continued dependence on borrowing despite the country’s economic challenges. He said the problem is not simply the decision to obtain loans but the long-term consequences of accumulating debts without sufficient consideration for the country’s ability to repay them.

Obasanjo, who governed Nigeria between 1999 and 2007, recalled the debt relief secured by his administration through negotiations with the Paris Club. The agreement resulted in the cancellation of about 30 billion dollars of Nigeria’s external debt.

He suggested that Nigeria should be more cautious about returning to a situation where a significant portion of its resources is committed to servicing debts. He also criticised the influence of international financial institutions, particularly the World Bank and the International Monetary Fund, on Nigeria’s economic policies.

Speaking at the Ajibosin 3.0 Symposium at the Olusegun Obasanjo Presidential Library in Abeokuta, Ogun State, Obasanjo warned that artificial intelligence might be another booby trap of the West against developing countries. He admitted he did not know too much technically about AI but said anything not under your control can be abused against you.

The symposium, themed “Leveraging Artificial Intelligence to Solve Grassroots Problems and Accelerate National Development”, drew speakers from academics, policymakers, politicians and other stakeholders. Discussants warned Nigerians against uncontrolled exposure to AI applications.