The Nation (Nigeria)
ABCON advocates reforms to curb govt spending, public debt
THE Association of Bureaux De Change Operators of Nigeria (ABCON) has advocated reforms that will reduce government’s spending and also curb the rising trend in the nation’s public debt.
The association made the call at its Quarterly Economic Review for the second quarter of this year (Q2’21), noting that the vulnerabilities identified with the rising debt profile exposes the country to the risk of future high economic and development costs of having to deal with large debt overhangs.
Stressing the need for caution in decision making in government circles, ABCON said remarkable economic recovery is not certain and the rather unstable state of financial markets is indicating that the country could be on the verge of a major debt crisis.
On how to tackle the rising profile of the nation’s public debt, the association said: “There is, therefore, a serious need for the introduction of fiscal reforms that would scale down government spending and to consider restructuring the loan profile and especially properly examine the conditions tied to Chinese denominated debts.’’