N19trn Debt: We Can No Longer Borrow – FG
With a debt profile of N19 trillion, the federal government hinted yesterday that Nigeria cannot afford to borrow anymore.
The Minister of Finance, Kemi Adeosun, who disclosed this at the quarterly Presidential Business Forum held at the presidential villa noted that the country’s budget is significantly lower when attached to the GDP, which is currently at 6 per cent.
She pointed out that the GDP is lower than those of all Nigeria’s peers and that it is the lowest in Sub Saharan Africa and one of the lowest in the world.
The minister lamented that Nigeria’s budget size is too small, which means government can only pay salaries in some cases, even as it does not have money to deliver essential services.
Nigeria’s total debt presently stands at N19.159 trillion as at March 31, 2017 and the Minister of Finance yesterday also stated that the country can no longer borrow.
Noting that there simply isn’t enough money in government to do what government wants to do, the minister contended that even if the federal government plugs all the stealing and all the waste, the budget size will not be big enough.
She added that because people are not paying enough in terms of tax, the government is not collecting enough in terms of tax.