October 17, (THEWILL) – A former Deputy Governor of the Central Bank of Nigeria (CBN), Prof Kingsley Moghalu, has reacted to the $1.5 billion World Bank loan which the Federal Government has planned to collect to fund its budget deficit, while at the same time approving SUV’s for each of the 360 members of the National Assembly.
The Federal Executive Council (FEC) on Monday approved the $1.5 billion World Bank facility as well as $80 million from the African Development Bank (AfDB).
Reacting, Moghalu on his X official page said Nigeria is becoming a carcass, “and our political class its scavengers.”
“There is a real problem when Nigeria is set to borrow another $1.5 billion from @WorldBank for budget support, and SUVs worth N160 million each are reportedly to be bought for 360 members of the House of Representatives. We are not yet serious as a country.
“Nigeria is becoming a carcass, and our political class its scavengers,” he wrote
Reacting, Moghalu on his X official page said Nigeria is becoming a carcass, “and our political class its scavengers.”
“There is a real problem when Nigeria is set to borrow another $1.5 billion from @WorldBank for budget support, and SUVs worth N160 million each are reportedly to be bought for 360 members of the House of Representatives. We are not yet serious as a country.
“Nigeria is becoming a carcass, and our political class its scavengers,” he wrote
THEWILL recalls that the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, confirmed the facilities arrangement while speaking with journalists at the 2023 Annual Meetings of the World Bank and the International Monetary Fund (IMF) in Marrakech, Morocco.
Edun, who promised that there would be a coordination of monetary and fiscal policies, pledged that President Bola Tinubu’s administration will not breach Ways and Means limits.
“On the talks with the World Bank on $1.5 billion budget support, that is correct.
“The World Bank is the number one multilateral development bank helping developing countries or funding developing countries, projects and programmes, and sectors.
“It has free money through either International Development Association (IDA).
“It is for the poorer countries and right now I think we qualify as one of the countries that can borrow in the normal window of World Bank funding but also some concessionary IDA funding and that means that effectively the interest rate will be zero,” Edun stated.
About the Author
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
