Rising debt: DMO blames COVID-19, experts say borrowing from CBN dangerous
Nigeria’s debt profile has been on the increase because of the impact of revenue crash and the crises trailing the coronavirus pandemic on the economy, the Debt Management Office has said.
However, some economists and experts have warned of the dangers of continued borrowing from the Central Bank of Nigeria by the Federal Government.
Both the DMO and experts were responding to questions posed by our correspondents following the claim by the Edo State Governor, Godwin Obaseki, that the country printed N60bn to augment what the three tiers of government shared in March.
Obaseki reportedly stated on Thursday that Nigeria was in huge financial trouble, alleging that the Federal Government printed N60bn in March as part of federal allocation last month.
The Edo governor also expressed worry over the country’s increased borrowing, saying it was wrong to continue borrowing without a tangible plan for debt repayment.