“The implementation of the strategy led to an injection of N855billion through the redemption of Nigerian Treasury Bills in 2018 and a general drop in the FGN’s borrowing rate in the domestic market from over 18 per cent per annum in 2017 to 14 to 15 per cent per annum in 2018."
The DMO boss also said borrowing for 2019 would be split 50-50 between domestic and external in line with the Debt Management Strategy 2013-2019.
She said: “Relatively low-interest rates mean the government can issue longer-dated bonds to continue to fund infrastructure projects.
“Revenue generating initiatives are expected to improve revenues and reduce the debt service to revenue ratio.”
Speaking on the issuance of promissory notes, Oniha said: “The Federal Executive Council approved the establishment of a Promissory Note Programme.
“The purpose is to use it to settle inherited local debts and contractual obligations of the Federal Government. The programme is estimated at N3.4tn.
“It will provide stimulus to the economy and unlock investment across a number of sectors currently having liquidity issues.”
Nigeria's debt profile since Buhari came to power in 2015 are as follows: 2015, N1.457trillion; 2016, not available; 2017, N2.321trillion; 2018, N1.643trillion; and 2019 (as proposed) N1.649trillion.
No comments:
Post a Comment