By JKNewsMedia
PRESIDENT BOLA Tinubu has sought National Assembly approval for a N1.767 trillion ($2.209 billion) external loan to address the N9.7 trillion deficit in the 2024 budget.
This proposal accompanies the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) for 2025-2027, along with an amendment bill to enhance the National Social Investment Programme.
The Central Bank of Nigeria (CBN) reported that foreign debt servicing reached $3.58 billion in the first nine months of 2024, a 39.77% increase from $2.56 billion in 2023.
May 2024 recorded the highest monthly debt servicing cost at $854.37 million. The naira’s devaluation from N899.39/$1 in December 2023 to N1,470.19/$1 by June 2024 exacerbated the financial strain.
The Debt Management Office (DMO) reported that states’ debt rose to N11.47 trillion by mid-2024, a 14.57% increase from December 2023, highlighting over-reliance on Federal Accounts Allocation Committee (FAAC) distributions and escalating vulnerability to economic shocks.
