FG Defends $21.7bn Loan, Says Funds Meant for Productive Ventures.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the proposed financing should be assessed based on the assets to be created and the economic returns expected, rather than simply as an addition to the country’s debt burden.
Oyedele spoke after the Federal Executive Council (FEC) meeting presided over by President Bola Tinubu at the State House, Abuja, amid criticism of the borrowing plan by former Vice President, Atiku Abubakar, and the presidential candidate of the Nigeria Democratic Congress (NDC) in the 2027 election, Peter Obi.
Oyedele maintained that the proposal was a financing plan and did not mean the federal government had already borrowed the money or would necessarily draw down the entire amount.
“Altogether, if you convert the euro amount and add it to the dollar amount, it will come up to $21.7 billion. It doesn’t even mean that we borrow all of it. The average lifespan of the projects under this plan is five years. This is investment, not borrowing,” Oyedele pointed out.
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