Proposed $21.7bn Loan For Productive Investment, FG Replies Atiku, Obi.
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, who spoke in the wake of the recent criticism of the proposed external borrowing by presidential candidate of the African Democratic Congress (ADC), Alhaji Atiku Abubakar and his Nigerian Democratic Congress (NDC) counterpart, Mr Peter Obi, explained that the loan financing should be assessed based on the assets to be created and economic returns expected, rather than being seen as an addition to the country’s debt burden.
The Minister, who addressed newsmen after the Federal Executive Council (FEC) meeting presided over by President Bola Tinubu at the State House, Abuja, also disclosed that government was targeting single-digit inflation latest by the end of 2027.
Answering questions about concerns about the borrowing plan, Oyedele said the government was seeking funds to finance projects that would strengthen national productivity and generate long-term economic value.
His words: “Altogether, if you convert the euro amount and add it to the dollar amount, it will come up to $21.7bn. And we’ve seen some people with commentary saying that we are borrowing X, Y, Z. I’m pleased and excited to inform you that actually, this does not qualify as borrowing. “This qualifies as investment, and I will explain that to you in the next few minutes.
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