Minister of finance, Wale Edun, on Tuesday, January 20, said the federal government plans to boost Nigeria’s economy with domestic resources and reduce its dependence on borrowing.
Edun made the remarks while speaking at the ongoing 56th World Economic Forum (WEF) in Davos, Switzerland.
His comments come as Nigeria implements fiscal reforms aimed at strengthening the economy and improving sustainability.
The minister emphasised the need to prioritise revenue generation and domestic resource mobilisation.
According to Edun, while Nigeria remains open to accessing international bond markets if necessary, the government’s primary focus is on mobilising internal resources to fund development.
He outlined ongoing efforts to raise tax revenue and strengthen fiscal sustainability amid mounting global economic pressures, noting that the administration is pursuing strategies to expand revenue while cutting back on borrowing.
“The issue now is to focus on revenue, focus on domestic resource mobilization,” Edun said.
“We’re hoping to rely less on borrowing.”
The minister added that although international capital markets remain an option, domestic reforms are central to the government’s fiscal policy direction.
Since taking office in 2023, president Bola Tinubu’s administration has introduced several economic reforms aimed at driving growth and stabilising public finances.
These include removing currency restrictions, ending the fuel subsidy, and overhauling the country’s tax framework.
Edun noted that the government’s tax reforms are designed to raise revenue to 18 per cent of gross domestic product (GDP) next year, up from about 14 per cent currently.
He stressed that the federal government’s policies are geared towards long-term economic sustainability, reducing reliance on external debt, modernising the economy, and strengthening investor confidence.
Comments