The Director-General of Nigeria's Budget Office, Ben
Akabueze, has warned that the country has a limited borrowing space due to its
poor debt-to-revenue ratio. He noted that Nigeria's debt-to-GDP ratio is
healthy, but the country's debt-to-revenue ratio is problematic, and it now has
limited borrowing capacity.
Akabueze pointed out
that when a country's debt service ratio exceeds 30%, it's in trouble, and
Nigeria is pushing towards 100%.
He added that Nigeria
should not be classified as an oil-rich economy, and Nigerians should not
assume that the country is short of development plans but has a problem with
implementation.
Punch Nig