I Told Them This Money You Want To Borrow, If Naira Depreciates To ₦500 It Will Be ₦1tn – Sanusi
“I will give you an example from my experience in Kano. The previous government wanted to borrow $1.8 billion from China to build 75 kilometers of rail.
“Forex then was ₦197 to a dollar. As a trained economist and former Governor of the Central Bank of Nigeria, I could see the growth in the money supply, and I was sure that the naira was not going to remain at that artificial level of ₦200 for a long time.
“Part of my job was to advise the government. I told them, look, this amount of money you want to borrow, if the naira depreciates to ₦500 to the dollar, this money will become ₦1 trillion.
“Your internally generated revenue is not up to ₦20 billion; you will need about ₦100 billion per annum just to service the debt. It is not sustainable.”
-Muhammadu Sanusi II, Emir of Kano | Interview With Saturday SUN
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