Nigerian government cautioned against borrowing to finance 2017 Budget

Tunde Akanbi, Ilorin.

A financial expert, Mr. Babatunde Salami has cautioned the Nigerian Government against borrowing two point three trillion Naira to finance the 2017 budget.

According to him, such borrowing would add an additional two point three trillion Naira increase to the country’s debt.

The financial expert who gave the warning while answering questions from VON correspondent in Ilorin the Kwara state capital said there is threat to what the nation projects in terms of income.

While analyzing the implication of the late passage and assent of the 2017 budget to the nation and the masses, Mr. Salami said there may be the need for government to accelerate its spending to meet the needs of the nation.

He also urged the people to look inward for alternative means of survival and  urged government at all levels to diversify the economy and go into mechanized farming as an alternative to the over dependence on the oil sector.

The financial expert, who stated that the unemployment rate in the country has increased to about twenty- five percent, said all hands must be on deck towards reviving the economy.

Mr. Salami, who stated that if the country continues to fail in meeting the estimated production of oil barrels per day, said the country will experience an average shortfall of ninety-six billion dollars this year.

Mr. Salami therefore underscored the need for Public Private Partnership, as panacea for Nigeria’s economic growth saying government alone, cannot achieve the objective.

He also called on government to provide an enabling environment for business to thrive.

The expert said to achieve the drive to diversify the economy, the present government must look up to agriculture as one sure alternative.

The financial expert, who was in support of the current drive by the government aimed at restricting uniform exchange rate to stabilize the economy out of the current recession, also called for inflation control and price stability in the country.

Mr. Salami, while reacting to another question stressed the need for the federal government to adopt Modular refinery in order to conserve the huge amount spent on fuel importation.

He, however, urged Nigerian youths to return to agriculture to ensure food sufficiency in the country.

Ime N