Buhari To Leave Each Nigerian With Debt Load Of N347,934 On May 29

President Muhammadu Buhari will leave office on May 29, 2023 leaving every Nigerian with a debt N347,924 each amounting to N77 trillion it emerged on Wednesday.

The Director-General of the Debt Management Office (DMO), Patience Oniha made the prediction  during the public presentation and breakdown of the highlights of the 2023 Appropriation Act.

According to Oniba, the country’s debt may hit N77tn if the Central Bank of Nigeria (CBN) continues in its ways and means which has accumulated from 2014 to 2022, and put at about N22.7 trillion is securitized, coupled with the N44.06 tril- lion total debt stock as at third quarter of 2022 (Q3 2022) and the N8 trillion new borrowing.

GWG.ng projects Nigeria’s population growing at 16,096 daily, the population at his exit is expected to be 221,312,133 putting the debt per capita to be N347,924. In effect the Buhari government would leave each Nigerian with a debt of N347,924.

The DMO boss said that securitization was the best option because at the current interest rate charge of 18.5 percent, additional N1.8 trillion to N2 trillion may be incurred as interest if the government fails to securitize the CBN Ways & Means; hence the decision of the executive to work with the National Assembly to bring it into fruition.

She said, “The DMO released the figure for the country’s debt stock as at September, you don’t expect it to be significantly deferent from December.

“Secondly, there are a lot of discussions on the CBN’s Ways & Means.

“In addition to the signific- ant costs saving in loans ser- vice we would get by secur- itizing it, there is an element of transparency in the sense that it is now reflected in the public debt stock.

“Once it is passed by the National As- sembly, it means we will be seeing that figure included in the public debt.

“You will see significant in- crease in public debt to N77 trillion. So, if you add the new borrowing depending on market conditions N5 trillion. So we’re looking anywhere at, it will be about N72 trillion.

“The other debt stock we are trying to highlight is to say the debt stock is also growing from the issuance of promis- sory notes which are not true borrowing as such by the gov- ernment. It will be safe to say that we will be looking at N70 trillion.

“While the debt is growing because there is new borrow- ing, revenue is receiving signi- ficant importance. Like DMO always says, you can’t talk about debt without talking about revenue. We need the two to work together.”

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