Nigeria’s Minister of Finance, Wale Edun, announced that the country is now financially stable enough to service its debt without relying on the Central Bank’s “ways and means” financing.
Edun made this statement on Tuesday during the presentation of his ministry’s performance, marking one year into President Bola Tinubu’s administration in Abuja.
Edun highlighted that Nigeria’s economy is on a positive growth trajectory, with the country’s gross domestic product (GDP) growing by 2.99 percent in real terms in the first quarter of 2024.
This is a notable increase compared to the 2.31 percent growth recorded in the first quarter of 2023.
He emphasized that Nigeria’s economy has been revitalized under President Tinubu’s leadership. “What this means is that the government can now meet its financial obligations.
The government is servicing its debt, particularly international debt, without resorting to ‘ways and means’,” Edun stated.
However, Nigeria continues to face economic challenges, as indicated by rising inflation rates.
In April, headline inflation reached 33.69 percent, and food inflation climbed to 40.53 percent, exacerbating economic difficulties for the population.
Additionally, in March, the Debt Management Office reported that Nigeria’s total foreign and domestic debt had risen to N97.341 trillion by the fourth quarter of 2023.
