The Emir of Kano, Sanusi Lamido Sanusi, believes that a foreign loan of 30 billion dollars would be difficult for Nigeria to pay back before the end of President Buhari’s tenure in 2019.
He has therefore warned the Nigerian President not to take the proposed loan but rather focus on bringing the country out of recession by investing more in the economy.
The former Governor of the Central Bank of Nigeria (CBN), made the call on Friday at a one-day dialogue forum organised by the Savannah Centre for Diplomacy, Democracy & Development (SCDDD) and Ford Foundation, in Nigeria’s capital city, Abuja.
He explained that the idea of a foreign loan would make sense if the country “can get it at concessionary terms” and “if they get the loan to invest in the power sector, energy and road” and similar infrastructure.
But he insisted that as long as the country would have to pay back in two years, the idea was wrong.
“If we cannot raise $2 billon in two years and you want to borrow $30 billion in two years to the end of the life of the administration. The government should rather pay more attention to investment and support the private sectors to grow the economy.
“The economy that has five exchange rates can’t borrow $30 billion. They can’t lend you the $30 billion when you have five foreign exchange rates and with the current bombing of oil pipelines by the Niger Delta militants.
“So, on which foreign exchange rate can you get the loan?”
Emir Sanusi advised the Buhari administration to focus on reviving the Nigerian economy.
