The rising debt profile of governments
at both the federal and state levels should be of concern to patriots.
Of course, I am not averse to debt, but I can’t see anything tangible on
the ground to justify this massive figure in the last 14 months. The
latest statistics from the Debt Management Office (DMO) showed that
domestic and external debt by the federal and state governments had
risen to N16.29 trillion, an increase of N4.17 trillion in the first one
year of this administration – July 2015 to June 2016. The domestic debt
status of the federal government alone is now N10.6 trillion as at June
this year as against N8.4 trillion as at the same time, last year,
meaning an increase of N2.21 trillion. The domestic debt of the 36
states and the Federal Capital Territory, as at June this year, was N2.6
trillion. It was N1.69 trillion in July 2015. Yet, most of these state
governments can’t point to tangible projects. Further borrowing not tied
to projects that can help reflate this economy signals a bigger danger
for an economy already in decline. Lawmakers at all levels must take
steps to check splurge borrowing by governments at all levels.
Yemi Adebowale
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