Mixed reactions have trailed Nigeria’s public financial sector since Edo State, Governor Godwin Obaseki on 10 April 2021 disclosed that the Federal Government printed N60 billion as part of the federal allocation for March. This earth-shaking disclosure was made during the state transition committee stakeholders’ engagement.

After four days of anxiety, as the public waited for government to confirm whether the allegations were true or false, the Ministry of Finance on 14 April 2020, finally said that Godwin Obaseki was “lying through his teeth”. Addressing the issue at the Federal Executive Council (FEC) meeting in Abuja, the Minister of Finance, Zainab Ahmed said the governor’s comments were unfortunate and a tissue of lies. In her words, “The issue that was raised by the Edo State Governor for me is very, very sad because it is not a fact. What we distribute at FAAC is revenue that is generated, and in fact distribution of revenue is public information. We publish revenue generated by FIRS, the customs, and the NNPC, and we distribute at FAAC. So, it is not true to say we printed money to distribute at FAAC. It is not true.”

Contrary to Obaseki’s depiction that the country’s financial status is in such a state that it will take the grace of God to pull out from the doldrums, the Finance Minister insisted that the nation’s debt profile is ‘still within sustainable limit’, but stated that revenue must be improved to enhance capacity for debt servicing and running the government.

The revelation by the Finance Minister came as a huge relief for quite a number of Nigerians who were already dissecting the implications of Obaseki’s exposition, especially in view of an economy that was already in dire straits.
https://thejournalnigeria.com/central-bank-money-printing-controversy/