Soludo said the government was borrowing for recurrent expenditure for consumption at a time of oil pricing over 100.
He stated this in a lecture at the Nnamdi Azikiwe University in Anambra State.
He said, "At a time of oil pricing over 100, we were actually borrowing for recurrent expenditure for consumption.
"The total recurrent expenditure exceeded the total revenue meaning that from 2010 to 2014, that was the foundation and since 2015 we have carried on the same way. We borrow for consumption.
"Every penny spent on capital has been borrowed."
Soludo, however, suggested that the Federal Government must adopt nominal price adjustment during a fall in commodity prices.