Nigeria’s Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed has said the country will not apply for debt relief to get out of its crippling N31 trillion debt burden.
The Minister made the government’s position known on Tuesday, October 13 in Abuja during the public presentation of Budget 2021, adding that the Buhari administration is not considering such option at this time.
According to her, many loan agreements have been entered with various lenders, adding that asking for debt relief would portend Nigeria in the eyes of its creditors as a country that cannot repay its debts.
The minister also defended the 2021 budget deficit, which exceeds the Fiscal Responsibility Act threshold of three per cent.
The N5.21trillion budget deficit exceeds the three per cent threshold prescribed by the FRA 2007 for the annual budget.
Ahmed said that although the 2021 budget deficit exceeded the three per cent threshold, the government has not breached the law.