The Nigerian government will pursue further borrowing to finance its budget, despite surpassing revenue targets in several sectors, Finance Minister Wale Edun has revealed.
Speaking before the Senate Joint Committees on Finance and National Planning, Edun defended the borrowing as a strategic necessity to fund critical infrastructure, social services, and intervention programmes.
“Revenues have been promising but insufficient. Borrowing must be productive and sustainable, targeting areas like health, education, and social safety nets,” Edun told lawmakers.
Minister of Budget and Economic Planning, Senator Atiku Bagudu, added that the N35.5 trillion 2024 budget includes a ₦9.7 trillion deficit, necessitating external borrowing.
However, the Economic and Financial Crimes Commission (EFCC) and Revenue Mobilisation Commission contend that improved revenue collection could eliminate the need for loans.
EFCC Chair Ola Olukoyede reported recovering over ₦197 billion this year, while Customs Comptroller General Bashir Adeniyi noted a revenue surplus of ₦5.352 trillion, exceeding the annual target.
Similarly, Nigerian National Petroleum Company Limited (NNPCL) achieved ₦13.1 trillion in revenue, surpassing projections.
Despite these gains, critics such as former Vice President Atiku Abubakar criticised the new borrowing plan as unsustainable and corrupt.
“These loans crush Nigerians under immense pressure,” he posted on X, calling for better fiscal discipline.
