Fresh World Bank loan: Labour attacks FG over $100bn withheld by IOCs

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The Nigeria Labour Congress on Tuesday berated the Federal Government over an additional loan it was seeking from the World Bank.

The NLC said rather than getting more loans, the Federal Government should focus on the recovery of more than $100bn the international oil companies owed the country.

The NLC President, Ayuba Wabba, who said this at the opening of the congress’ 2019 national leadership retreat in Enugu, also called for a review of the country’s taxation system so that the rich would be compelled to pay more taxes.

The labour leader, who urged government to cut down the cost of governance, was backed by an expert and Nigeria Employers Consultative Association, which cautioned the Federal Government against continuous borrowing.

Wabba made the call barely two days after the World Bank approved Nigeria’s request for $3bn loan for the expansion of the power transmission and distribution networks.

According to the Debt Management Office, the nation’s total public debt rose by N3.32tn in one year to N25.7tn as of the end of June 2019.

The Federal Government owed N20.42tn as of June 30, 2019, while 36 states and the Federal Capital Territory had a total debt portfolio of N5.28tn.

In 2017, the revenue target was N5.08tn out of which N2.7tn was realised. The Federal Government’s revenue projection for 2018 was N7.16tn out of which only N3.96tn was achieved. In 2019, the Federal Government’s projected revenue was put at N6.98tn. As of June this year, about N2.04tn had been realised.

Source: Punch News NG

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