The Minister of Finance and Coordinating Minister of Economy, Wale Edun, attributed the current inflation in Nigeria to the N22.7 trillion printed by the Central Bank of Nigeria through Ways and Means overdraft during former President Muhammadu Buhari's administration. Speaking before the Senate Committee on Finance in Abuja, Edun highlighted that this massive printing of naira occurred without corresponding productive activities, leading to the current high inflation.
The Senate had previously resolved to investigate the N30 trillion Ways and Means overdraft obtained and spent by the Buhari administration, noting that the reckless spending of the overdraft largely contributed to the food and security crises in the country. A committee was set up to probe this matter as details of the spending were not made available to the National Assembly.
Edun emphasized that the consequences of eight years of printing money without productivity are now evident in the country's high inflation rate. He commended the Senate for authorizing the government to raise N7 trillion to pay back the Central Bank, thus aiming to achieve a balanced book. He assured the committee that the government's economic policies would lead to lower inflation and improved GDP growth rate.
The Minister highlighted the government's efforts to generate revenue from the non-oil sector, with over N13 trillion generated in 2023. He praised President Bola Tinubu's government for implementing bold measures to repair the country's finances, including addressing import duty waivers. The Chairman of the Committee, Senator Sani Musa, stated that the interactive session with the Minister would continue to explore short-term and long-term solutions to the country's economic challenges.
