A new analysis has shown that every Nigerian may owe both local and foreign creditors N205,687 each if the the regime of President Muhammadu Buhari takes on fresh loans to service the 2022 budget.
The forecast comes as the country’s debt status continues to rise following the president’s decision to keep servicing the country’s ballooning budget with loans from foreign countries.
In December 2020, the country’s debt status rose to N32.915 from N32.222 trillion in September.
However, the the Buhari regime, during a public presentation of Medium Term Expenditure Framework/Fiscal Strategy paper for 2022-2024 on Friday, disclosed that it will take on a fresh N4.89 trillion to finance the estimated deficit in the 2022 budget.
The government’s decision to service the country’s growing budget will adversely affect the net debt per capita of all Nigerians, placing the debt profile of all Nigerians at N205,687 per person.
To arrive at the N205,687 debt profile for each citizen, the country’s total debt burden of N43.4 trillion was divided by the country’s 211 million population as given by the Nigerian Population Commission.
The country’s total public debt of N32.915 trillion as of December 31, 2020, was added to the N760,842 billion surplus/deficit in the supplementary appropriation bill for 2021 and the N4.68 trillion borrowed in the 2021 fiscal period to the fresh N4.89 trillion proposed borrowing for 2022, summing up to bring the country’s total debt burden to N43.4 trillion.
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