Nigeria Must Borrow More To Deliver Infrastructure - Adeosun
There is strong belief in some quarters that the federal government is borrowing at an unsustainable level.
But not to Nigeria’s Minister of Finance, Kemi Adeosun.
She, in fact, believes that Nigeria should borrow more.
Adeosun said on Sunday that the nation must borrow more in the short term to deliver critical infrastructural projects such as roads, rail and power.
According to her, Nigeria currently has one of the lowest debt-to-Gross Domestic Product, GDP figures in the world and the administration has no plan to go into massive borrowing that it cannot sustain.
Adeosun spoke at a press conference marking the conclusion of the 2017 World Bank/International Monetary Fund Annual Meetings in Washington DC, United States.
She said, “Nigeria’s debt-to-Gross Domestic Product ratio is one of the lowest actually. It is about 19 per cent. Most advanced countries have over 100%. I am not saying we want to move to 100%. But I’m saying we need to tolerate a little bit more debt in the short term to deliver roads, rail, and power.
“That, in itself, will generate economic activities and jobs, which will then generate revenue which will be used to pay back (the loans). It is a strategic decision that as a country we have to make.”
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