In an exclusive interview on News Central TV with Kayode Akintemi, Obasanjo disclosed that the country is grappling with a “deficit in leadership,” attributing the current crisis to poor governance, economic mismanagement, and rampant corruption.
Obasanjo also expressed deep concerns over the pervasive culture of impunity that has taken root in the political landscape, as he emphasized that the absence of consequences for wrong actions contributes to this ongoing issue.
“I feel disheartened by the current state of affairs. Leadership is not something that everyone possesses, and we must recognize and utilize effective leaders,” he stated.
Reflecting on the broader implications for Africa, particularly Nigeria, Obasanjo noted a troubling pattern of progress: “We often take two steps forward, only to take one step sideways and then several steps back. This pattern hinders our progress. Leadership should be a priority.”
The former president criticised the lack of substantial planning among leaders, pointing out that announcing a vague three-point plan without thorough consideration or public involvement is inadequate.
“What do you say of a president who comes to office without a plan? Such leaders wake up and simply announce a three-point plan. What are these points meant to achieve? Who developed them? Leadership requires study and understanding,” he stated.
According to Obasanjo, “When I was elected president of Nigeria, one of my priorities was to alleviate the heavy burden of debt we were carrying. We were spending $3.5 billion to service our debt, yet the amount of debt was not decreasing. I believed that we should seek debt relief.”
He said many people, both inside and outside Nigeria, thought it was a pipe dream, but he was convinced.
“I went to the World Bank and started conversations with our creditors. I discovered that while they did not feel obligated to us, making a compelling case and demonstrating genuine reforms could change their perspective.
“The reforms they requested were actually ones we should have implemented regardless. We needed to improve public service delivery, drastically reduce corruption, and manage our finances better.”
Obasanjo noted that these are reforms that should be initiated without external prompting.
He said, “Once they recognized that we were committed to these changes, the international community became more sympathetic than I had anticipated. While they do not feel indebted to us, if we demonstrate responsibility, we can achieve a lot.
“My conviction to seek debt relief stemmed from the realization that we were paying over $3.5 billion, a substantial amount of money, yet the debt was not decreasing.
This was primarily because that money was being used for interest payments and penalties associated with defaults.
“Let me share a specific story regarding our debt: there was a state negotiating for a specific project, but the funds were drawn down to zero without the site being cleared. This was absurd.
When I investigated further, I found a clause in the contract that stated once you sign, how the money is spent is the responsibility of the borrower, not the lender. As a result, there were no milestones for fund disbursement; you could draw money without accountability.
“With this knowledge, I was confident I could make a credible case to our creditors. They wanted us to take responsibility and not continue the irresponsibility and corruption of the past.”
He said that the international community knows Nigeria better than the country knows itself.
“At times, we bury our heads in the sand, but they are aware of our situation. They recognize that we have significant funds abroad.”
He said one of the first bills he sent to the National Assembly was the ICPC Bill to fight corruption, which he followed up with the EFCC Bill.
“The international community is aware of our actions and where improvements need to be made.
“I was convinced that we could not sustain the amount we were spending to service debt while the overall debt was not decreasing. Any time we defaulted, heavy penalties were imposed.
“My determination was to convince Nigerians and our development partners that we could manage our debt responsibly. It took almost six years, but we succeeded. In the end, I assured them that the savings from our debt relief would be invested in sustainable development, and that promise was fulfilled,” he said.
Obasanjo said, “This is why I emphasize that the world does not owe us anything, but if we do what is right, there is much we can gain. When I reflect on my achievements as a leader committed to resilience and insisting on the right course of action, I feel a sense of accomplishment for securing debt relief and reducing our debt burden significantly.”
He said felt disheartened by the current state of affairs.
“As I mentioned earlier, there is a deficit of leadership. Leadership is not something that everyone possesses, and we must recognize and utilize effective leaders. When I talk about leadership, I mean it at all levels—political, private sector, public sector, and even in diplomatic contexts.”
He continues, “In Africa, and particularly in Nigeria, we often take two steps forward, only to take one step sideways and then several steps back. This pattern hinders our progress. Leadership should be a priority.
“What do you say of a president who comes to office without a plan? Such leaders wake up and simply announce a three-point plan. What are these points meant to achieve? Who developed them? Leadership requires study and understanding.
“Let me provide another example: when I was the military head of state, we chose to actively participate as a frontline state in the fight against the last vestiges of colonialism and apartheid.
“We were determined to take action and aligned ourselves with other frontline states. This commitment, despite being thousands of kilometers from the actual frontlines, was recognized and respected by the international community.”
He said regarding the savings from the debt relief that were allocated towards achieving the Sustainable Development Goals (SDGs), he achieved significant progress in that area.
However, it is disheartening to see that 17 years later, Nigeria is now spending up to 90% of its revenue to service debt, worse than what it was when he left office.
“This situation is astonishing. When I came into office in 1999, we had $3.7 billion in reserves while spending $3.5 billion annually to service debt. By the time I left, we had negotiated debt relief, reducing our debt from nearly $36 billion to about $3.6 billion.
“Simultaneously, our reserves increased from $3.7 billion to $45 billion, and we also accumulated about $25 billion in excess crude revenue.
Now, reflecting on the past 17 years, all that money has vanished.
“Today, we owe more than we did in 1999,” Obasanjo said.