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Former Vice President Atiku Abubakar has said Nigeria's rising debt profile is alarming, especially with the World Bank's recent report ranking the country as the third most indebted nation to the International Development Association (IDA).
Atiku says this news comes at a critical time when the government is seeking to borrow an additional N1.7 trillion through Euro bonds to cover the 2024 budget shortfall. According to him, what's more concerning is that this loan proposal is benchmarked at an exchange rate of 1 USD to N800, whereas the current exchange rate stands at over N1,600 to 1 USD.
The 2023 presidential candidate of the Peoples Democratic Party (PDP) stresses that the continuous borrowing spree raises questions about the government's financial management, especially considering President Tinubu's earlier claims of record-high revenues collected by the Federal Inland Revenue Service (FIRS) and the Nigeria Customs Service (NCS).
According to the PDP chieftain, this disparity suggests that there may be more to the story than meets the eye. The sheer volume of these loans is crippling for Nigerians, exerting immense pressure on the economy, particularly when they're not utilized effectively.
In a tweet on Thursday, November 21, Atiku cites a report by Budgit, a budget watchdog, highlighting the 2024 Budget's shortcomings, citing excessive "pork" allocations. He adds that this is a stark reminder of the need for caution and prudent financial management. It's disheartening to see Nigeria revert to its previous indebtedness, especially after President Obasanjo's administration successfully cleared the country's foreign debt.
See Atiku's tweet here:
Source: Legit.ng
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