The federal government yesterday approved a new medium-term debt management strategy for Nigeria for the period of 2020-2023.
The Debt Management Office (DMO) confirmed this in a statement yesterday, saying the approval was made at the Federal Executive Council (FEC).
With the approval, Nigeria can now borrow as much as forty percent of its Gross Domestic Product.
The statement however noted that borrowing still fell below the fifty-five percent limit recommended by the World Bank for Countries in Nigeria’s category.
It added that the new Strategy had to be re-worked to reflect the global and local economic impact of the COVID-19 Pandemic and incorporates data from the revised 2020 Appropriation Act and the Medium-Term Expenditure Framework 2021-2023.
