Nigeria’s total debt as at today stands at $63.7 billion, but it is the totality of all the debts incurred by successive
governments since 1960.
“No $60 billion was accumulated under the Jonathan administration.”
Nigeria minister of finance, Ngozi Okonjo-Iweala made these points clear when she reacted to the statement by Vice President-elect, Prof. Yemi Osinbajo, who had earlier said that the Jonathan administration will be leaving a $60 billion debt burden for the in-coming government of Muhammadu Buhari.
Okonjo-Iweala said: “current debt stock includes both federal and state governments debts made up of $9.7 billion external debt or 15 per cent of total debt stock and $54 billion or 85 per cent domestic debt stock.
“Nigeria is still repaying the multilateral loans it collected on concessionary terms with as long as 40 years maturity periods.”
The breakdown of the accumulated domestic stock, according to the minister, is $18.575 billion outstanding by 2007, $17.3 billion accumulated between 2008 and 2011 and $18 billion accumulated between 2012 and 2015.
“This is so because of something that happened in 2010 because of the salary increment under Yar’Adua administration which increased civil servants salaries by 53 per cent.
“Those bonds have been rolled over and government had to weather the difficulties because resources to fund such increase were not there.”
She described Nigeria’s debt to GDP ratio as one of the lowest in the world.
On the domestic debt stock, she said 20 per cent is owed by state governments with Lagos state having an external debt burden of N1.169 trillion while the balance of 80 per cent belongs to the federal government.
Okonjo-Iweala said she has no regrets in serving the country and declared that anyone called upon to serve Nigeria should consider it a privilege.
“Some people criticise from afar but some came home in spite of challenges to serve.”
She faulted suggestions that the economy was mismanaged, saying: “the economy is reacting to the forces of demand and supply but there is hope for the country. Only that people will have to make sacrifices.
“The out-going government, she said, achieved a lot but she lamented that there are very serious attempts to rewrite history. [myad]
