Managing Director/Chief Executive, Maxifund Investments and Securities Plc. Mazi Okechukwu Unegbu: has condemned the President Muhammadu Buhari’s fresh demand for $5.5billion external loan to fund the 2017 budget, saying that the development is confusing.The request of $5.5billion is pending before the National Assembly for approval.
Speaking to Daily Champion, Unegbu, who noted that there is nothing wrong in borrowing; equally said the present administration is confusing Nigerians with its policy summersaults, recalling that President Muhammadu Buhari had told Nigerians that his administration would not borrow again.“Borrowing is not a crime provided the fund is used for the purpose why it was borrowed. In the past, governments have been borrowing without using for the purpose why it was borrowed.
“I am confused because the president did say that the 2017 budget is been funded by recovered funds from those who looted the country. One is now confused, the $5.5 billion, is it for the 2018 budget or the present budget, the points have not been articulated and reviewed for proper understanding. Even the Minister of Finance had said that we are not going to borrow, so why are we now going back and front, it means that there are some form of confusion in terms of economic policies of the country, which makes all of us to think that those running the economy appears to be more political than economical and this is disturbing.
“I don’t condemn any borrowing provided it is going to help grow this economy, provide employment for the people, help small businesses to thrive and ensure that there is good business relation and make businesses run comfortably, because even when you borrow, the laws make it difficult for these businesses to grow and that has been a problem”, he said.Speaking further he stated: “Again, our judiciary system is not the best at the moment, while borrowing, we should as well consider the other aspect the economy, because if this is not done, the borrowed funds would be wasted along the line, and the objectives would not be achieved”.
Also, the People’s Democratic Party (PDP) in a statement by its National Publicity Secretary, Prince Dayo Adyeye, accused the President of mortgaging the future of the unborn generation of Nigerians through “needless and mindless” borrowing.The Debt Management Office (DMO), in a recent public statement, had put the Federal Government’s total borrowing within the past two years at N7.51 trillion.Describing the government’s penchant or borrowing as mind-boggling, the PDP warned that the fresh $5.5 billion loan request was capable of pushing the nation down the black hole of debt that could adversely affect the future of the country.
The statement said, “As a party that governed this nation meritoriously for 16 years and handed over a bouyant economy to the APC in 2015, we are concerned that by the time Nigerians would have the opportunity to push out the APC government in 2019, the economy of the nation would have been damaged irreparably.“We are dismayed at the rate at which the APC government is plunging the nation into debt through local and foreign borrowing without concomitant developmental projects in any sphere of the nation’s economy to justify the huge borrowing.“The figure released recently by DMO stating that the nation under the administration of the APC government in the last two years of being in office, has borrowed N7.51 trillion, is mind-boggling.
“Mind-boggling because all round infrastructural decay has now reached alarming proportions. The roads have deteriorated, the state of the power supply has become worse and there has been no increase in wages to match skyrocketing inflation.“As a result, workers in educational institutions and other government agencies have spent more time at home observing strike actions than they spend at work, insecurity has sky-rocketed beyond what anyone can imagine, while those in power continue to delude themselves that they are providing plausible leadership for the country.”
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