As per Vanguard, the authority made a case as she talked at the opening of the Seventh Annual Bankers Committee retreat on Saturday, December 12.“It is going to be tough and we are going to have to make extremely tough decision. We have got the resilience and space to do that.”
Adeosun mentioned significant micro-economic challenges adding, however, that Nigeria fortunately has some head-room, as the debt to GDP ratio is at 12%, which allows to run a deficit budget with the specific objective of stimulating the economy.
The minister further suggested her plan of ensuring economic growth:
“To do so, we need to do some fiscal housekeeping. We have to control the significant challenge we have around recurrent. If you look at recurrent at a percentage of our total budget with the just approved supplementary budget, it is about 90 percent. If we continue in that trajectory, every penny we borrow will go into recurrent.”
Meanwhile, Nigeria’s deputy Senate president, Senator Ike Ekwermadu, has expressed pessimism over the economic situation in the country. He advised President Muhammadu Buhari to halt the downward slide of the Nigerian economy, warning that failure to act on time might lead to a revolution by Nigerians.
source:naij.com
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