₦airaland Forum

The Federal Government has resolved to audit the N23 trillion Ways and Means debt hanging on its neck.
The Minister of Finance and Coordinating Minister for the Economy Mr Wale Edun announced at the ongoing Public Wealth Management Conference organised by the Ministry of Finance Incorporated (MoFI)

As a measure to wean itself from future Ways and Means indebtedness, the Federal Government, Edun said, will soon present a bill to the National Assembly that will authorise the removal of “all taxes and levies that constitute nuisance from the country’s tax system.

The government, Edun added, will vigorously pursue policies that will allow it harvest revenue in real time from Government Owned Enterprises (GOEs) and Corporate entities.

For starters, "ways and means" in the Nigerian context occurs when the Federal Government obtains loans from the Central Bank of Nigeria (CBN). Yes, the Federal Government is allowed to borrow from the apex bank through “ways and means” to meet short-term needs or emergencies. This explains why the CBN is known as “lender of last resort.”

However, such borrowing is different from going to the World Bank, the International Monetary Fund (IMF) or China for loans. Borrowing via ways and means must be temporary and should only occur “in respect of temporary deficiency of budget revenue,” according to Section 38 (1) of the CBN Act. This means that the CBN can only lend to the Federal Government when the latter has a temporary revenue shortfall.

This means the Central Bank of Nigeria (CBN) has been lending to the federal government against its laws, which stipulate that the government is not supposed to borrow more than 5% of its previous year’s revenues from the CBN. In fact, the CBN breached this rule by lending up to 91.27% of the federal government’s 2021 revenues in 2022, throwing such fiscal guardrail into the dust. This process was breached serially, and the current securitisation was the validation of the illegality.

RepoMan007:
https://nairametrics.com/2020/03/29/covid-19-tinubu-asks-fg-to-print-more-naira-notes-outlines-economic-measures/

https://punchng.com/coronavirus-print-more-naira-notes-tinubu-tells-fg/

Treasure17:
Someone promised to change Nigeria from a consuming nation to a producing nation but Nigerians looked away.

RepoMan007:
Tinubu equally suggested printing of money to Buhari so what's the point trying to blame someone who did what you advised his Oga?

This political persecution and not normal government process.