The Civil Society Legislative Advocacy Centre (CISLAC) has raised alarm over the nonchalance displayed by the President Bola Tinubu administration towards the country’s rising debt profile.
Executive Director of CISLAC, Mallam Auwal Musa Rafsanjani, in a statement yesterday, lamented Nigeria’s startling 75 per cent surge in debt, now towering at a staggering N87trn, saying the figure represented an increase of 75.29 per cent, or N37.53trn, compared to N49.85trn recorded at the end of March, 2023.
Rafsanjani noted the concerning fiscal implications for the nation, especially as it struggled to manage debt interest payments despite the expected monthly savings of approximately N400bn from the fuel subsidy removal.
He further said, “At a time when the international community is pushing for substantial debt relief initiatives and multilateral financial reforms, Nigeria’s deepening debt situation and fiscal recklessness are being called into question.
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“With Nigeria grappling with both a significant revenue and debt crisis, pressure is mounting on the current administration to address these challenges without further exacerbating borrowings.”
He noted that analysts call for efforts to reduce the cost of governance, broaden the tax net, drive compliance and plug leakages should be acted upon.
He added that, “Policies promoting tax transparency should be swiftly implemented, and partnerships with taxpayers should be nurtured to ensure the direct utilization of taxes for infrastructure. Moreover, involving informal sector groups in tax compliance efforts and expanding the whistleblowing policy to gather intelligence for tax enforcement is deemed essential.”
The CISLAC boss also noted the urgent need for the National Assembly to meticulously scrutinise loan requests, ensuring compliance with the law and alignment with the interests of the Nigerian public.
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