Former Vice President Atiku Abubakar condemned Nigeria’s rising debt situation and suggested that the federal government stop “indiscriminate loans.”
The candidate for the People’s Democratic Party in the 2019 presidential election stated that Nigeria is servicing its debts and not paying off debts.
Atiku said in a statement on Tuesday entitled “Nigeria in the financial crisis: Robbing our children to pay for our greed”, the current government leaves the debt to the next generation.
He stated that nothing has surprised him throughout his career in public service. The financial report for the first quarter of 2020 in the “Mid-Term Expenditure Framework” and “Fiscal Strategy” issued by the Federal Ministry of Finance, Budget and National Planning gave Our revelation is shocking that although Nigeria’s total debt repayments were 943.12 billion naira the federal government’s retained revenue during the same period was only 950.56 billion naira. This means that Nigeria’s debt-to-income ratio is now 99%.
He said no one should be deceived. This is a crisis! Debt servicing is not equal to debt payment. The reality is that Nigeria pays only our minimum fee for interest. The principal remains unchanged and may be growing.
He explained that as a government that pay its debt, he is very concerned at the alarming rate in our debt-to-GDP ratio and debt-to-income ratio. He said the alarm he raised last year is now sounding louder.
He said we are wasting our opportunities and chances for our future generation bequeathing debts that they neither incurred nor benefited.
He said that Nigeria is facing a crisis and we cannot continue to support the economy by increasing loans to maintain the status quo. This is not only robbing Peter to pay Paul, but also “stealing our children’s future to pay for our greed.”