• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Tuesday, July 1, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Fuel Subsidy Raised 2022 Borrowing By N1trn–DMO

by Mark Itsibor
3 years ago
in Business
Share on WhatsAppShare on FacebookShare on XTelegram

Director-general of the Debt Management Office (DMO) Ms Patience Oniha has attributed the rise in borrowing under the 2022 fiscal year to the retention of subsidy payment by the federal government.

Advertisement

The DMO DG said the subsidy regime jacked up the debt stock by N1 trillion in 2022 alone to enable the government to pay the extra cost of petrol subsidy.

Ms Oniha made the remarks during a presentation at the executive course on budgeting and fiscal transparency at the Army Resource Centre in Abuja, yesterday. Nigeria’s public debt is current over N44 trillion, a level at which Ms. Oniha said remains within acceptable limits and sustainable.

She told the participants that the debt office was deploying World Bank and International Monetary Fund tools to ensure the sustainability of Nigeria’s public debt.

Oniha spoke on Debt Sustainability Challenges and Strategic Revenue Mobilisation Initiative. According to her, the Nigerian government had to resort to borrowing to fund the budget due to revenue challenges.

RELATED

Kiss918 Table Games: A Chill Malaysian Guide To Winning Big

Kiss918 Table Games: A Chill Malaysian Guide To Winning Big

2 hours ago
External Reserves Decline $3.5bn In 6 Months

External Reserves Decline $3.5bn In 6 Months

2 hours ago

“Maturities in the Public Debt Portfolio are well spread to avoid bunching of maturities and to ease repayments of maturing obligations. The Domestic Debt portfolio has securities with tenors ranging from 91 days to 30 years, while the External Debt Portfolio has securities ranging between 5 years to 30 years.”

She explained that despite criticisms of the government’s borrowing, Nigeria’s debt to GDP ratio remains among the lowest globally.

She pointed out that while Nigeria’s debt to GDP ratio was 23.06 per cent, countries such as Angola (136.54 per cent), South Africa (69.45 per cent), Ghana (78.92 per cent), United States (133.92 per cent) and United Kingdom (104.47 per cent) have higher ratios.

Oniha like other governments across the world, Nigeria is borrowing more to meet with economic and social challenges posed by the Covid-19 pandemic and the Russia-Ukraine war.

“Debt levels were already rising prior to Covid-19 crisis when compared to 2014. Globally, sovereign debt grew from 49 per cent of GDP in 2014 to 57.9 percent in 2019 and in sub-Saharan Africa, from 35 per cent of GDP in 2014 to 55 per cent in 2019. In Nigeria, this ratio rose from 13 per cent in 2014 to 19 per cent in 2019,” she stated.

The DG also explained that the government was not just borrowing for borrowing sake, emphasising that the loans would enable the government to finance critical infrastructure with multiplier benefits (job creation, movement of persons and goods) and overall GDP growth.

She noted that the country was facing a revenue crisis, adding that it has become very important for the government at all levels to pay more attention on how to increase revenue generation as a means of reducing borrowing.

DG Oniha stated that federal government has taken a number of measures to grow its revenue, while urging citizens and corporate bodies to pay their taxes in order to make funds available for the government to finance the various much-needed infrastructural facilities, across the country.

The D-G added that the issuance of federal government securities had several benefits for both the citizens and corporate organisations.

They included being safe investment opportunities with regular returns and being the vehicle for mobilizing large pools of funds from domestic and international sources for investments in capital projects

She added that the development of the domestic financial sector; Liquid assets for banks and other institutions who need to hold such assets; attracting foreign investors into the domestic markets; and providing sovereign yield curves in the domestic and international markets, against which other issuers such as State Governments, private sector entities and multilaterals can issue securities to raise capital were major advantages of the exercise.


We’ve got the edge. Get real-time reports, breaking scoops, and exclusive angles delivered straight to your phone. Don’t settle for stale news. Join LEADERSHIP NEWS on WhatsApp for 24/7 updates →

Join Our WhatsApp Channel

BREAKING NEWS: Nigerians can now earn US Dollars from the comfort of their homes with Ultra-Premium domains, acquire them for as low as $1700 and profit as much as $25,000. Click here to learn how you can earn US Dollars consistently.


SendShareTweetShare
Previous Post

PDP Crisis Will Be Resolved Before Election – Atiku Campaign Organisation

Next Post

Return Of SON To Seaports Unsettles Maritime Stakeholders

Mark Itsibor

Mark Itsibor

Mark Itsibor is a journalist and communication specialist with 10 years of experience, He is currently Chief Correspondent at LEADERSHIP Media Group and writes on Finance, Economy, Politics, Crime, and Judiciary. He has a B.Sc in Political Science, Post Graduate Diploma in Journalism (Print), and B.A in Development Communication. His Twitter handle is @Itsibor_M

You May Like

Kiss918 Table Games: A Chill Malaysian Guide To Winning Big
Business

Kiss918 Table Games: A Chill Malaysian Guide To Winning Big

2025/07/01
External Reserves Decline $3.5bn In 6 Months
Business

External Reserves Decline $3.5bn In 6 Months

2025/07/01
Nigeria Suffers Large Drop As OPEC’s April Output Down By 440,000bpd
Business

OPEC Plans Production Increase In August To Regain Market Share

2025/07/01
State Of Emergency In Rivers: Way Forward
Business

RMAFC Lauds Tinubu For Signing Tax Reform Bills

2025/07/01
Equities Extend Losses By N345bn
Business

Stock Market Ends June Trading With N11bn Decline

2025/07/01
Nigeria-China Summit: 216 Chinese Investors Target Oil, Agric, ICT, Other Sectors
Business

Nigeria-China Summit: 216 Chinese Investors Target Oil, Agric, ICT, Other Sectors

2025/07/01
Leadership Conference advertisement

LATEST

I Need More Rest Than To Play At CWC – Ronaldo

Commuters, Staff Stranded As Poly Ibadan Students Protest Renaming Of Institution

Gov Aliyu Unveils Water Project

FUTA, JAMB At Odds Over Students’ Status After 6 Years Of Study

Nigeria Is In Our DNA, Says Lucian PM

ECS: NSITF Compensates 2 Beneficiaries With N23m

DSP Barau, Ganduje, Others Arrive Madina For Dantata’s Burial

IDP’s Corpse Exhumed, Burnt To Ashes In Taraba

Sultan, Ihejirika To Grace NDA’s Course 18 Golden Anniversary

Wamakko Sponsors Free Eye Care For 5,000

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.