Inside Nigeria’s Debt Crisis: How foreign loan under Buhari triples past govts’ combined figure
Nigeria’s external loan reached $28.57 billion by December 2020, meaning an extra $21.27 billion had been accumulated under the Buhari administration — three times the combined amount by past governments since 1999. “It is an accumulated loan, it is not a loan that says that it is the current administration of President Buhari that has borrowed.
“So, when my colleague said that for every sixty-seven naira of any loan that was borrowed, we are using to pay, he should know that more than sixty naira of it are loans borrowed by previous administration. And that is where we are.” The overall public debt, DMO said, is the total public debt stock which includes the external and domestic debts of the federal and state governments and the Federal Capital Territory.
At the beginning of the Umaru Yar’Adua/Goodluck Jonathan administration, Nigeria’s domestic debt stood at N2.17 trillion but jumped to N5. 62 trillion at the end of their administration in 2011. External debt also moved from $2.11 billion to $3.5 billion within the period under review. Muhammadu Buhari inherited an N8.8 trillion federal government’s domestic debt in 2015. However, the figure rose to N16.02 trillion as of December 2020.
Likewise, the nation’s exchange rate moved from N197 to a dollar in 2015 to N381 at the end of December 2020.Debt service obligations gulped 97 per cent of the Nigerian government’s total revenue in 2020, according to Budgit, a civic-tech non-profit organisation. Of the N3.42 trillion generated as revenue, Nigeria spent N3.34 trillion in debt servicing, BudgitAlso, N3.3 trillion was set aside for debt servicing in the assented 2021 budget, about a quarter of the entire N13.
“Only 30 per cent value for money is what we get especially on these loans, some of what we are taking are for very frivolous issues,” he said.
Debtor remain a servant to the lender. Our slavery continue.....
Good report PT. Lets talk about the problems facing us and how to tackle them. Well done.
All debts were incurred by FGN or State Govts debts are included. PT try and respect the intelligence of your followers and stop this poor journalism.
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.
Source: PremiumTimesng - 🏆 3. / 78 Read more »
Source: GuardianNigeria - 🏆 1. / 94 Read more »
Source: SaharaReporters - 🏆 9. / 63 Read more »
Source: GuardianNigeria - 🏆 1. / 94 Read more »
Source: THISDAY LIVE - 🏆 14. / 51 Read more »
Source: MobilePunch - 🏆 8. / 63 Read more »