President Tinubu committed to transparency, economic reforms, says aide

By Kunle Sanni

The Special Assistant to President Bola Tinubu on Social Media, Dada Olusegun, has reiterated the dedication to transparency and sound economic management of the present administration.

Olusegun made this statement on Saturday via his X account in response to a post by Statis Sense, which detailed Nigeria’s external debt from previous administrations, starting from the Second Republic under Shehu Shagari.

He highlighted that the Tinubu administration inherited N22.7 trillion in outstanding Ways and Means advances, which are currently undergoing an audit and securitization process.

Olusegun also mentioned that the current Ways and Means deficit stands at N3.4 trillion, which is being managed through operating surpluses from revenue-generating agencies.

He attributed the rise in public debt primarily to economic reforms that have influenced foreign exchange rates and interest rates, emphasizing the administration’s efforts to guide Nigeria toward economic stability.

The presidential aide further detailed evidenced to back up his claims below;

• Nigeria’s total debt stock decreased by 15% in dollar terms in Q1 2024, countering claims of a rising debt burden.
• The increase in public debt is largely due to economic factors rather than new borrowing:
• Depreciation of the naira (from N899.39/$ to N1,330.26/$)
• Changes in interest rates
• Securitization of Ways and Means advances
• The Tinubu administration inherited N22.7 trillion in outstanding Ways and Means advances, currently under audit and securitization.
• The current deficit in Ways and Means stands at N3.4 trillion, which is offset by operating surpluses from revenue-generating agencies.
• Nigeria’s external debt, attributed to the Federal Government only, is $42 billion.
• Multilateral creditors are owed $20.82 billion, while China is owed $5 billion.
• Economic reforms implemented by the federal government have impacted foreign exchange and interest rates, contributing to the rise in public debt.
• Despite these challenges, the government’s financial capacity to manage its debts remains intact, supported by a revamped financial system.

The statement concluded, by asserting that the Tinubu’s administration remained committed to transparency and responsible economic management, aiming to stabilize Nigeria’s economy while addressing its debt obligations.