Nigeria’s Public Debt Profile Will Rise to ₦39 Trillion in 2021, Says Finance Minister

Mrs. Zainab Ahmed, the Minister of Finance, Budget and National Planning, has said Nigeria’s total public debt profile will hit ₦38.6 trillion by December 31, 2020.

The minister disclosed this while defending her ministry budget for the year 2021 in front of the Senate Committee on Local and Foreign Debts on Tuesday in Abuja.

She said the nation’s total debt stood at ₦31.01 trillion or $85.90 billion as of June 30, 2020. This, she explained will increase to ₦32.51 trillion by December 31, 2020 given available approvals and projected loans.

Subsequently, the minister said the ₦32.51 trillion will increase by ₦6.17 trillion to ₦38.6 trillion by December 31, 2021.

She said “The total public debt stock comprising the external and home debts of the federal and state governments and the Federal Capital Territory stood at ₦31.01tn ($85.90bn) as of June 30, 2020.

“It is projected, based on existing approval, to rise to ₦32.51tn by December 31, 2020 and ₦38.68tn by December 31, 2021.”

On the same day, Ahmed said President Buhari led administration has submitted a request for a $1.2 billion agricultural loan from Brazil.

She said the money would be spent to acquire 100 hectares of land in each state to improve food production and create more jobs.

The new loan request is one of the approvals expected to skyrocket the already troublesome Nigerian debt profile to ₦39 trillion in 2021.