Despite the Nigerian government’s attitude to go after loans from China and other parts of the world, recent data published by the Debt Management Office (DMO) in Nigeria show that Nigeria’s debt, after hitting its highest growth rate since 2012 has decelerated significantly.
Nigeria’s total debt stock stood at $86.4 billion as of December 31, 2020. So the growth rate has decelerated. However, what is critical to consider is what the debt has been used for. How much of the money borrowed was used for core projects? Was the disbursement of the borrowed money free of corruption? How has the debt helped to improve the economy? These and many more questions are demanding of answers from the Nigerian government.
Transparency in the whole process will help in boosting the confidence of the masses in the government. The level of trust in the government is currently minimal. Trust, a critical human capital plank in leadership continues to suffer in Nigeria, ostensibly reflecting a huge deficiency in human capital leadership in the country.