4 weeks ago
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The Federal Government has announced plans to strategically refinance the nation’s costly indebtedness portfolio to trim indebtedness work costs and easiness the load of borrowing connected the nation’s finances.
The Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, disclosed this connected Tuesday successful Abuja portion delivering a keynote code astatine the 55th Annual Accountants Conference of the Institute of Chartered Accountants of Nigeria (ICAN), held astatine the President Bola Ahmed Tinubu International Conference Centre.
Edun said the refinancing inaugural was portion of the Tinubu administration’s ongoing efforts to amended fiscal sustainability, heighten macroeconomic stability, and redirect resources toward productive investments.
“Efforts are underway to refinance costly indebtedness and frankincense trim some the indebtedness work outgo and the outgo of borrowing,” the curate stated, noting that treasury measure rates had risen from 8 per cent successful 2023 to astir 24 per cent, portion outer indebtedness work obligations astir tripled from 2.7 trillion to 6.7 trillion successful 2024.
He said the government’s renewed fiscal strategy focuses connected expanding gross portion ensuring greater ratio successful expenditure management. “We are improving nationalist fiscal absorption by reducing leakages, cutting waste, and prioritising productive superior spending,” Edun explained.
The concern curate highlighted that gross postulation had grown by implicit 70 per cent successful nominal presumption implicit the past 2 years, driven by overseas speech marketplace liberalisation, substance subsidy reforms, and automation-led taxation administration. However, helium acknowledged that the authorities inactive faces rising improvement needs and fiscal pressures amid efforts to boost infrastructure and societal investment.
To tackle these challenges, Edun outlined a bid of ongoing reforms, including formalising Nigeria’s ample informal sector, expanding the taxation basal done the caller Tax Reform Act, and implementing plus financialization to optimise the national government’s equilibrium sheet.
He besides noted that Nigeria’s system is recovering, citing cardinal indicators specified arsenic improved GDP growth, moderating inflation, and a stronger outer position. “Between April and June 2025, our system grew by 4.23 per cent year-on-year, portion ostentation eased to 20.12 per cent successful August. Our commercialized equilibrium roseate to ₦7.4 trillion successful the 2nd quarter, and reserves strengthened to $42 billion,” helium said.
The curate attributed these gains to the Tinubu administration’s “bold and politically challenging reforms” nether the Renewed Hope Agenda, which has restored credibility to economical argumentation and attracted renewed capitalist confidence.
Edun reaffirmed the government’s resoluteness to thrust inclusive maturation done investments successful infrastructure, quality capital, and integer transformation. He disclosed that initiatives specified arsenic the Mission 300 vigor programme and Project Bridge for broadband enlargement are being implemented to heighten competitiveness and productivity.
He commended ICAN for its accordant advocacy for transparency and professionalism, urging accountants to enactment authorities reforms by promoting nationalist and backstage concern absorption accountability.
“The pathway is clear,” Edun said. “We are translating macroeconomic stableness into job-rich, inclusive growth. But we cannot bash it alone. We request the backstage sector, the accounting profession, and each stakeholder to play their part.”
With the refinancing inaugural and fiscal reforms underway, the authorities hopes to little the nation’s indebtedness burden, escaped up fiscal abstraction for improvement spending, and fortify Nigeria’s resilience successful planetary economical headwinds.
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