Buhari Writes Senates To Seek Approval For $5.5 Billion Foreign Loan


#1

Presiden Buhari wrote to the senate to seek approval of $5.5 billion loan.
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The letter read in part: “Accordingly, the Senate is requested to kindly approve the following external borrowings: Issuance of $2.5bn in International Capital Market through Eurobonds or a combination of Eurobonds and Diaspora bonds for the financing of the Federal Government of Nigeria’s 2017 Appropriation Act and capital expenditure projects in the Act."

"Issuance of Eurobond in the ICM and/or loans syndication by the banks in the sum of $3bn for refinancing of maturing domestic debts obligations of the Federal Government of Nigeria, while looking forward to the timely approval of the National Assembly to enable Nigerians to take advantage of these opportunities for funding.”

Can’t we generate this fund internally by say maybe cutting the down senators salaries and allowances?

Or rather, Can’t we easily print money worth $5.5 billion in Naira instead of having to borrow and pay with huge interest rate?


#2

lool you want to cause inflation.


#3

we could but there is way too much going to do something as radical as that. This is Nigeria.


#4

If they print more money, then too much money will be in circulation and the “too much money” will be chasing few goods which will increase the odds of Nigeria experencing Demand pull inflation. Consequently, the Nigerian currency will lose its value and the economy will be in shambles.
Besides, if CBN prints more money in Naira, it doesn’t make current economic situations any better because you can not use Naira to purchase things from International market. So since Nigeria doesn’t have anything we can sell in exchange for that kind of money in dollars, borrowing remains the only option.


#5

Mismanagement of fund, remains the greatest problem of this country. So it’s not even about borrowing; it’s about what are you borrowing the money for?


#6

I know I am not an economist…I even failed eco101 back then. But 5.5b is just principal. Not interest, nor other digits accruable on that sum. Those fools are not thinking futuristically. Them keep borrowing on behalf of 7 generations after us…sustainablility is just on paper…Them be debating minimum wage and patting their stomach…futuristic countries be experimenting universal income

So our senators/representatives cannot slash their salaries… Who else is tired? Who else thinks Shekau is not bombing the right people and the right places? Who else thinks that pilgrimage to holy places and national prayers cannot renew the face of this country?
Don’t talk too much about it because talking a lot is just going to dilute the disappointments…Let’s talk about acting


#7

Correct! :+1:


#8

It’s all greed mehn, and i don’t see the salaries getting slashed ever, except there’s a total wipeout of the senate and we have like mind beings who think people first and are more concerned about the well being of every citizen not the ones that are nurturing the seed of ‘when i get there also, i’d embezzle money’

One that beats me the most is when they slash the price of dollar for people who go on pilgrimages, we are more concerned about religion in this country than anything else


#9

If only they will subscribe to this. The country is really spending so much on recurrent expenditure.


#10

So we are borrowing to pay civil servants. Noted.