What Nigeria really needs to loan: A way out of trouble by Eyenla Stella




In 2016, the federal government under President Buhari wanted to take a 30.54 billion dollar (9.61 trillion naira) loan, which is believed to be the biggest single external loan request by any government in recent history and the highest in Nigerian history including a 575 million dollar loan from the World Bank.
      Sometime ago the federal government decided it needed a 3.5 billion Naira loan and sent it to the National Assembly for approval. No one heard about the end of that and it was assumed that it did not happen again. But what if it did? Even though the  2016 one was not as talked about as the 2017 one the fact remains that Nigeria or rather,  it’s leaders have borrowed a lot and as people say,  another loan is not the way out. We should be thinking of how to get  out of the debts and not get in more. I think we should focus more on raising money internally both to fund us and pay off external debts.  There are several industries  or places in Nigeria where funding can be raised but they should be invested in now so as to reap rewards in the nearest future. We should not be too nearsighted or shortsighted and give as excuses for borrowing money the problems left behind by past leaders and the inability of industries to start giving out profit so fast,  then postpone starting the industries after loans have been gotten. What we really need to get is a way to move forward paying the debts and even having leftovers for the incoming regimes.
        Most of the matters discussed that this monies will be used for have not been implemented. A lot of the programs it was planned for would never be mentioned again once the loan has been gotten; one “major” project  will be done or the government will mention another project the money is needed for urgently and the rest will be forgotten. Our leaders are reputed to be wise,  should they not consider this problem before anything is done?  For example IMO state, a state deep in debts both internally to its workers and externally to several loan facilities had a statue of about 50 billion naira  made in honor of President Jacob zuma of South Africa. This debacle led to a lot of controversies within the state and abuse since the man had no relation with the state  or Nigeria in general and was considered a failure and a scanner even in his own country.  This led to a comparison of the two men with people insulting them. All this happened while the people in the state had not been paid salaries, wages and entitlements for quite some time. On and on goes the list.  The country and each of its states are extremely deep in debts and is said to be just “out of recession “ as a result of this,  another loan is not the way to go.
       Currently Nigeria is said to be the highest borrower in Africa and one of the highest in the world, meanwhile it is also one of the most naturally endowed countries in the world. I think Nigeria needs to look inwards for more productive strategies for the improvement of the economy and stop comparing and copying other countries, and if possible call in favors owed past leaders in the international community in order to restore and even strengthen the economy. This should be considered a way forward for the country instead of going for more and more loans  which would be just like digging the  economy deeper into the grave.

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