Tag: DEBT

States spend N139.92bn servicing external debt in first half of 2024 – NBS

Aminu Imam
NBS on debt

The 36 States of the country have collectively spent about N139.92 billion on servicing external debt in the first half of 2024. This is according to an analysis of Federal Account Allocation Committee (FAAC) data from the National Bureau of Statistics, (NBS). The amount spent is an increase of 122% from the N63.06 billion spent in the same period last year. The data shows that States have moved from spending around N9 billion to over N20 billion monthly, which is more than doubled debt service cost likely due to the naira…

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State Govts. spend 123% more on servicing external debt in four months – NBS

Aminu Imam
State Govts on debt

The various State governments  have witnessed a significant surge in their external debt servicing obligations, marking a 123% increase in the first four months of 2024 compared to the same period in 2023. According to an analysis of Federal Account Allocation Committee (FAAC) data from the National Bureau of Statistics (NBS), total external debt service payments for January to April 2024 reached N96.52 billion, a substantial rise from N43.31 billion in the corresponding period of the previous year. In 2023, external debt servicing costs amounted to N120.01 billion, reflecting a…

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FG mulls fresh N7.24tr borrowing to fund Intervention plan

Aminu Imam
FG loan

The Federal Government may borrow an additional N7.24 trillion in 2024 to fund its economic intervention plan. This was revealed during a presentation by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, on an Accelerated Stabilisation and Advancement Plan (ASAP) designed to address key challenges affecting the reform initiatives and stimulate development in various sectors of the economy. The Government already intends to borrow N9.18 trillion to fund its deficit in the year. The intervention financing will cost an additional N7.24 trillion, pushing the total debt…

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Despite Finance Minister’s claims, data shows FG borrowed N3.8tr from CBN in 6 months

Aminu Imam
The Central Bank of Nigeria governor Olayemi Cardoso has confirmed the next monetary policy committee meeting will be held very soon on 25 and 26 March 2024 e1709054272891

In the last six months of 2023, the Federal Government received an additional N3.8 trillion in what appeared to be a fresh Ways and Means borrowing, according to a provisional data published in the latest statistics bulletin for the 4th quarter of the year recently released by the Central Bank of Nigeria, (CBN). This is despite claims by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, that the President Bola Tinubu?administration had not borrowed money from the CBN. The CBN’s provisional data showed that the total…

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Senate approves Tinubu’s $7.4 billion, €100 million 2022-2024 external borrowing plan

Aminu Imam

The Senate has approved President Bola Tinubu’s request on the 2022-2024 external borrowing rolling plan of $7.4 billion and 100 million Euros. This followed the adoption of the report of the Senate committee on local and foreign debt at plenary. Presenting the report, the vice chairman of the committee, Sen. Haruna Manu, said the committee noted with utmost importance the genuine and very serious concerns of Nigerians about the level and sustainability, serviceability of the nation’s borrowing activities in the last decade. According to him, the debt service figures constitute…

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Rising cost of living pushes Nigerians to borrow N767bn from banks in 9 months – Report

Aminu Imam

A ?report? by SBM Intelligence found that 27% of Nigerians across different income categories resort to loan apps to sustain their living expenses amid rising inflation. According to the CBN’s Q-3 2023 Quarterly Economic Report, personal loans made up 74.8% of consumer credit while retail loans made up 25.2%. It further said, “Consumer credit outstanding increased, attributable to the need to cope with a relative increase in the cost of living. Thus, consumer credit grew by 15.5% to N3.05 trillion, compared with the N2.64 trillion at the end of the…

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Tinubu seeks Senate’s approval to borrow $7.8bn, €100m

Aminu Imam

President Bola Tinubu has asked the Senate to approve his administration’s proposed borrowing plan of $7.8 billion and €100 million for the 2022-2024 fiscal years. Tinubu’s request was contained in a letter read by Senate President, Godswill Akpabio, on the floor of the Senate yesterday. The proposed plan seeks to obtain a total of $7.8 billion and €100 million to fund various projects and programs across all sectors of the economy, including infrastructure, agriculture, security, employment generation, and health among others. The President also revealed that the World Bank Group…

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“No blanket debt cancellation for Nigeria, Ghana, other African economies” – IMF

Aminu Imam

The International Monetary Fund (IMF) has dismissed the possibility of total debt cancellation for Nigeria, Ghana, and other African economies. Speaking during the African Session, at the ongoing IMF/World Bank Annual Meetings, in Marrakech, Morocco, IMF African Department Director, Abebe Selassie said 50 percent of total debts in sub-Saharan countries are domestic, making debt forgiveness difficult. Recall that the Debt Management Office (DMO) data showed that Nigeria has a total debt stock of $113.4 billion as of June 30, 2023. Selassie, who spoke on the theme: “In Pursuit of Stronger…

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Unsustainable Debt: CSO to engage NASS on Fiscal Responsibility Act passage

Abdul-Azeez Ahmed Kadir

A group of Civil Society Organisations (CSOs) say it will engage the 10th National Assembly (NASS) to see to the passage of the Fiscal Responsibility Act (FRA) as a strong measure to bring sanity to the fiscal space. Mrs Regina Udo, the Project Manager, Growth Initiatives for Fiscal Transparency (GIFT), said this in a statement in Abuja on Friday She decried Nigeria’s public debt profile of N87 trillion, describing it as unsustainable and a clarion call to reform the public finance management system. She called on the Federal and State…

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