Nigeria’s developmental challenges worsen as debt servicing gulps 99% of revenue

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Due to the twin evil of oil glut and COVID-19 pandemic, Nigeria’s 2020 first quarter revenue nosedived leading to deployment of 99 per cent of revenue to debt servicing. SANYA ADEJOKUN here looks at the issue.

 

Often times, individuals run into liquidity crises and need help from banks or other financial services companies or even friends to be able to sort themselves out. It could be to settle school fees, buy a car or even purchase foodstuff! So what happens when a country runs into a similar situation? For a number of emerging economies, issuing sovereign debt is the only way to raise funds, but things can go sour quickly. How do countries deal with their debt while striving…



Source: Nigerian Tribune