Nigeria lawmakers okay plan to borrow USD11 billion next year

Nigeria’s National Assembly has approved a plan to borrow as much as 4.28 trillion naira ($11 billion) from both domestic and foreign debt markets to support its expenditure in 2021, Bloomberg reports.

Lawmakers gave the nod on Wednesday after debating the government’s medium-term expenditure plan covering the next three years. President Muhammadu Buhari is scheduled to present the 2021 budget proposals before lawmakers on Thursday.

The spending plan provides for an estimated deficit of 5.16 trillion naira and total expenditure of 13.08 trillion naira. The government has retained an exchange rate of 379 naira to the dollar “given the determination of the Central Bank of Nigeria to pursue unification” of rates, according to the document.

Debt service is projected to take 3.12 trillion naira, slightly less than the 3.58 trillion naira planned for infrastructure development.

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