Nigeria spent 96.3 per cent revenue in 2022 on debt servicing – World Bank

The Washington based-World Bank said Nigeria had spent 96.3 per cent of its 2022 revenue on debt servicing.

Word Bank disclosed this in its recent Macro Poverty Outlook for Nigeria: April 2023.

Recall that the Debt Management Office said Nigeria’s total debt stock rose to N44.6 trillion in December 2022.

According to the report, Nigeria’s fiscal position deteriorated in 2022, leaving the Nation’s cost of petrol subsidy to increase from 0.7 per cent to 2.3 per cent of the country’s gross domestic product, GDP.

“This has continued the public debt stock at over 38 per cent of GDP and pushed the debt service to revenue ratio from 83.2 per cent in 2021 to 96.3 per cent in 2022,” it read.

Financial experts had faulted the government’s position on borrowing amid the rising debt profile.

However, the report is coming at a time when President Muhammadu Buhari’s administration is contemplating fuel subsidy removal before June this year.