Expert warns Nigerian govt against borrowing to finance recurrent expenditure

  • 📰 DailyPostNGR
  • ⏱ Reading Time:
  • 26 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 14%
  • Publisher: 59%

Sverige Nyheter Nyheter

Sverige Senaste nytt,Sverige Rubriker

Secretary of Council to the American Chartered Institute of Management and Leadership, Prof Asiwaju Busari Akande has warned the federal government of Nigeria against unnecessary borrowings to finance recurrent expenditures. DAILY POST recalls that as of December 2023, the Senate approved President Bola Tinubu’s request to borrow $7.

8bn and €100m as part of the federal government’s 2022-2024 borrowing plan. While requesting permission to acquire the loan, President Tinubu said the foreign loan was necessary to bridge the financial gap and return normalcy to economic activities in the country. Reacting in an interview in Calabar, Cross River State, Prof Akande, who is also a finance expert, advised that borrowing should be focused on capital expenditure and human capital development.

“We continue to borrow to finance recurrent expenditures, which has no significant impact on economic growth,” he said. Akande also spoke about the recent budget padding saga, which he said constitutes tools for inflation that they call ‘demand-pull inflation’ Akande said what most people don’t realize is that, budget padding fosters corruption, underdevelopment, unemployment and multidimensional poverty. He urged President Bola Tinubu to stop all forms of financial leakages in the system.

 

Tack för din kommentar. Din kommentar kommer att publiceras efter att ha granskats.
Vi har sammanfattat den här nyheten så att du kan läsa den snabbt. Om du är intresserad av nyheterna kan du läsa hela texten här. Läs mer:

 /  🏆 11. in SE

Sverige Senaste nytt, Sverige Rubriker