Kemi Adeosun, the minister of finance of Nigeria has said that the country must not borrow anymore to fund its budget.
The minister speaking on Tuesday, called into question planned foreign loans of $2 billion from lenders like the World Bank.
It can be recalled that in May, the head of Nigeria’s budget office said the country has a shortfall of $7.5 billion for its 2017 budget expenditure.
The budget office said the shortfall would be addressed with $3.5 billion from the aforementioned loans and debt.
Nigeria’s economy is in its first recession in 25 years and has planned to borrow so as to fund a record budget aimed at helping the country spend its way out of its recession.
Adeosun said “We cannot borrow anymore, we just have to generate funds domestically enough to fund our budget. Mobilize revenue to fund the necessary budget increase.”
The ministers recent comments suggest that Nigeria will no longer seek such loans, or an additional $1.5 billion it had planned to raise from international debt markets.