The Central Bank of Nigeria (CBN) has raised the alarm over Nigeria’s increasing debt profile under President Muhammadu Buhari, expressing concerns over debt sustainability in face of global uncertainties.
This was disclosed in a communique by the CBN’s monetary policy committee released on Wednesday.
“The committee noted the Federal Government’s increasing debt profile and expressed concerns over debt sustainability given that global uncertainties remain elevated, the apex said.
The financial regulator urged the federal government to take on urgent measures to cope with debt burden.
“The MPC thus reiterated its call to the Federal Government to urgently diversify its revenue sources through various initiatives, such as, the development of a viable tax framework for the extractive and mineral export industries, to strengthen its fiscal buffers.”
As at March 2022, Nigeria’s total public debt hit N41.60 trillion, according to the Debt Management Office.
The Buhari regime has often rebuffed concern about its acute borrowings, justifying that the funds are invested in capital projects with lasting impact.