Some state governors have voiced their dismay over Nigeria’s escalating debt profile, with fears that the country could face severe consequences if immediate measures are not taken to reverse the trend.
The governors spoke yesterday at the sidelines of the 2023 induction for re-elected and elected governors with the theme: Governing for Impact (Building Sub-national Governance), organised by the Nigeria Governors’ Forum (NGF) at the presidential villa, Abuja.
Bauchi State Governor Bala Mohammed expressed his concern that Nigeria’s debt servicing requirement currently stands at approximately 95 percent of its revenue. He cautioned that without intervention, the country was the risk of financial collapse.
Additionally, he questioned why the World Bank had not alerted the country’s economic managers as the debt burden exceeded sustainable levels.
Governor Mohammed emphasised the need to address the macroeconomic realities affecting the states, including the inadequate sharing of oil proceeds.
He called for a comprehensive restructuring of the country’s economic management, advocating for increased involvement of states in decision-making processes.
