The minister of Finance, Mrs. Kemi Adeosun has finally admitted that Nigeria is indeed in recession.
Rising from a Federal Executive meeting chaired by President Buhari, Kemi sais the FG will be borrowing money from external lenders.
Confirming the development, the Minister for Finance, Mrs. Kemi Adeosun, said the loans would come from World Bank, Japanese International Cooperation Agency (JICA), African Development Bank, and China Exim Bank.
According to Kemi, “I think that we have a long way to go. We’re not confused and we’re not deceiving ourselves that everything is rosy. It’s not.
“It is the worst possible time for us. Are we confused? Absolutely not. How are we going to get ourselves out of this recession?
“One, we must make sure that we diversify our economy.
“The plan to borrow will be transmitted to the National Assembly for approval.
“The government will seek concessional loans with average interest rates 1.25%, four to seven year moratorium, 20 years to pay.
“This will come from agencies such as the World Bank, African Development Bank, China Exim Bank, and other development agencies,” Kemi said.
According to Kemi, the monies have been earmarked to tackle critical issues like Polio, mining, and agriculture.
“This is long term money that will enable us solve some of the problems in that sector.
“There are projects around polio. There is provision for solid minerals and of course I’m very excited about the discovery of nickel.
“The largest beneficiary of our borrowing is agriculture.
“Remember these are foreign exchange coming to our country that will help our economy.”
“There are too many of us to keep on relying on oil.
“We can all see what happened at the output data of the oil and gas sector.
“What’s happening in Niger Delta has dragged down the GDP of the entire economy. We’re too dependent on oil.
“No we are not confused, the time are confusing but we are not confused. We are extremely focused.
“We know that if we can just bear and get through this difficult period, Nigeria is going to be better for it.
“If we rely on oil and the price of oil remains low and the quantity of oil remains low, we can’t grow.
“We have to grow our non-oil economy,” Kemi opined.