An Economist, Mr Okechukwu Unegbu, has urged Nigerians not to worry over the country’s rising debt stock for as long as the government uses it on infrastructural development.
Unegbu, a former President of Chartered Institute of Bankers of Nigeria (CIBN), said on Wednesday in Lagos that the rising debt was being used in fixing ailing infrastructure due to decline in government revenue.
“Now that having a deficit budget is becoming a regular phenomenon, it is almost inevitable not to borrow.
“Having a deficit budget has always been a concern but using debt to fund ailing infrastructure is one of the best alternatives for us to open up the economy, “ Unegbu said.
He noted that government must borrow to meet its obligations, especially now that crude oil was no longer sold at exorbitant rate in the international market.
The former CIBN boss also said that Nigerians should give government the support needed to improve its revenue, rather than worry over debt.
“The people must support government to bring more eligible tax payers into the tax net in order to shore up the nation’s revenue.
“As revenues gotten from taxes are one of the most reliable means of making money for government to meet it responsibility,“ Unegbu said.
Nigeria’s domestic and external debt profile stood at N25.7 trillion as at June 30, according to the country’s ‘Total Public Debt Portfolio’ obtained from Debt Management Office (DMO) website.
The DMO said that the current total debt stock comprised of both the Federal Government debt, the 36 states and the Federal Capital Territory (FCT).
