Minister of Finance and Coordinating Minister for the Economy, Wale Edun, has cautioned against excessive reliance on borrowing to fund the 2024 budget.
He emphasized prioritising generating revenue through infrastructure investment and improving revenue collection efficiency.
During a meeting on Thursday with the Senate Committee on Finance, Edun highlighted the current global economic climate, characterized by rising interest rates implemented by developed nations to combat inflation.
He expressed concern that accessing foreign loans under these conditions would be costly for developing countries like Nigeria.
Instead, Edun advocated for increased government spending to stimulate economic growth. He pointed out that Nigeria’s government spending as a percentage of GDP is significantly lower compared to other countries, including Ghana and developed nations.
“Clearly the environment that we have now, internationally as well as nationally we are in no position to rely on borrowing.
