NLC urges IMF, World Bank to rethink approach to lendings

In a bold and impassioned address in Washington DC over the weekend, the Nigeria Labour Congress (NLC) called on the International Monetary Fund (IMF) and the World Bank (WB) to halt lending to governments that fail to prioritize the welfare of their citizens.

NLC President Joe Ajaero’s words were a rallying cry against what he described as exploitative economic prescriptions and debt-inducing policies that push developing nations like Nigeria deeper into poverty and underdevelopment.

Speaking at the 2025 high-level meeting of the global labour movement and the Bretton Woods institutions, Ajaero delivered a searing critique of the IMF and World Bank’s historical role in shaping Nigeria’s economic trajectory. “We represent the voice of those who are marginalized,” Ajaero declared, his voice steady but urgent. “Progressive taxation and fiscal consolidation are not merely economic issues—they are moral imperatives and questions of social justice.”

He painted a stark picture of inequality and systemic failure, blaming the global financial institutions’ blanket austerity measures and structural adjustment programs for eroding public services, weakening labor rights, and deepening poverty. Ajaero pointed to Nigeria’s tax policies as a glaring example, where the poor bear the brunt of regressive taxes while the wealthy and multinational corporations evade their fair share.

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“Why do these institutions continue to lend to profligate and dictatorial governments unaccountable to their citizens?” Ajaero asked. “Is it a deliberate strategy to push nations like Nigeria further into a cycle of debt and underdevelopment?”

Ajaero’s plea was clear and uncompromising: the IMF and World Bank must rethink their approach. He called for inclusive tax policies that protect the poor and vulnerable and demanded the involvement of all national stakeholders—especially workers—in the design and implementation of tax systems. “Any group not at the table is on the menu,” he warned.

The NLC President urged the global financial institutions to support progressive tax systems that tax wealth, not poverty. He proposed higher taxes on luxury goods, capital gains, and the ultra-wealthy while closing loopholes that allow multinational corporations to siphon profits without fair contribution. Ajaero stressed the importance of using tax revenues to fund education, healthcare, and social safety nets that uplift the most vulnerable.

“Fiscal consolidation must not come at the expense of the poor,” he asserted. “The IMF and World Bank have a moral obligation to ensure their policies do not exacerbate inequality or undermine national sovereignty. The time for change is now.”

Ajaero’s call for a just and equitable global economic order reverberated beyond the conference room in Washington DC, igniting conversations on accountability, fairness, and the urgent need for economic reforms that prioritize people over profit.

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