Nigeria’s external debt climbed from $2.1 billion after the country exited from the Paris and London clubs of creditors in 2006 to about $41.8 billion it currently stands.
• Buhari ‘grows’ figure from $7.3b to $41.8b in eight years• Economy may crash, Adigun warns • Debt necessary to grow economy, Fasua insists
While campaigning for debt relief, the Debt Management Office said it developed instruments that would ensure Nigeria does not slide into a debt trap in the future. Others are African Growing Together Fund , African Development Fund , Arab Bank for Economic Development in Africa , European Development Fund , Islamic Development Bank , China EXIM Bank , Agence Francaise Development and Japan International Cooperation Development .
There have been tense criticisms from Nigerians and stakeholders concerning the $800 million loan from the World Bank amid the country’s rising debt profile. “The question is how do you finance the deficits? It will reach N10.7 trillion or N12 trillion; our financing is available but other choices exist. You can borrow from the Eurobond market, the domestic market or the Central Bank ; all of those sources are quite expensive”, he said.
An energy expert, Henry Adigun, said the current level of indebtedness will sink the economy because Buhari broke all known financial rules, including the Fiscal Responsibility Act, which should serve as a guide against reckless borrowing. “The private sector has plenty of funds. The current exchange rate manipulation will not aid investment. A country that adopts multiple exchange rates already disincentivizes investment, it does not matter whether it is foreign or local. Investors go to where the business environment is friendly and free of manipulation,” he explained.
Nigeria Latest News, Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Aregbesola urges states to build custodial centres | The Guardian Nigeria News - Nigeria and World NewsThe Minister of Interior, Rauf Aregbesola, has called on state governments to build custodial centres so as to accommodate offenders of state laws currently in Federal facilities.
Read more »
Mauritania votes in preview of presidential contest | The Guardian Nigeria News - Nigeria and World NewsMauritanians voted on Saturday in the first legislative and local elections since 2019 when President Mohamed Ould Ghazouani..
Read more »
Concerns over Buhari’s last minute contracts, loans | The Guardian Nigeria News - Nigeria and World NewsWorried by President Muhammadu Buhari’s request for approval from the Senate for an $800 million World Bank loan to finance the National Social Safety Network Programme initiated by his administration, Nigerians have urged him to put a moratorium on borrowings till he leaves office.
Read more »
Audu, Nwankwo are inaugural Eduline Academy Chess champions | The Guardian Nigeria News - Nigeria and World NewsJonah Audu and Michelle Chiamaka Nwankwo have won the inaugural Eduline Chess Academy Primary and Secondary School Championships held at Fun Plex Resort, CMD Road, Magodo, Lagos.
Read more »
Awoniyi nets brace in Nottingham Forest, Chelsea stalemate | The Guardian Nigeria News - Nigeria and World NewsNottingham Forest earned a potentially priceless point in their fight for Premier League survival in an entertaining 2-2 draw with Chelsea at Stamford Bridge with Taiwo Awoniyi grabbing a brace for the former two-time European champions. Raheem Sterling scored both goals for Chelsea, whose winless home run stretched to six games. Steve Cooper’s Forest team, […]
Read more »
Govt to revitalise River Basin Authorities | The Guardian Nigeria News - Nigeria and World NewsThe Federal Government (FG) has begun the revitalisation process of all River Basin Development Authorities across the country for efficiency and service delivery.
Read more »