Nigerian Government Spends N1.3trillion On Debt Servicing After Realising N1.7trillion Revenue In 2024 First Quarter
This construction comes because the federal government continues to battle with high fees in relation to debt servicing to earnings ratio.
A review of quarterly statistical bulletin launched by the Central Bank of Nigeria has confirmed that the federal government spent N700 of each and each N1000 it made on debt servicing in the first quarter of the 2024 fiscal year (first three months of the year).
In Q1 2024, the Nigerian government had a retained earnings of N1.76trillion.
Within the identical period, debt servicing gulped N1.31trillion, equating 74.4% of the federal government earnings.
This construction comes because the federal government continues to battle with high fees in relation to debt servicing to earnings ratio.
Experts expressed anxiousness that debt servicing may well deliver electorate of the nation wanted construction.
Already there are concerns that continue to mount on Nigeria’s debt profile.
A SaharaReporters’ review of the nation’s medium term expenditure framework (MTEF) has confirmed that the nation plans to exhaust N29 trillion on debt servicing between 2024 and 2026.
Overview presentations that in 2024, the nation plans to provider debts with N8.2 trillion, N10 trillion in 2025 and one other N11 trillion in 2026.
This can mean that in the following three years, a total sum of N29 trillion is deliberate to be spent on debt servicing by the federal government.
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