Amidst revenue pressures facing the 2024 national budget, the Federal Government, FG, has indicated that it would no longer allow Central Bank of Nigeria, CBN, to print money by Ways and Means to fund the budget deficit.
Disclosing this in a chat with journalists in Lagos, the Minister of Budget and National Planning, Atiku Bagudu, however, indicated that the government will resort to issuing bonds, adding that the strategy will also attract private investments.
He stated: “The central bank is not going to print money for the government anymore. If, to the extent that we would borrow from the Central Bank, it is going to be within what the law allows.
“The law allows that we can borrow but not more than 5% of the previous year’s revenue. What we have been doing wrong is to go beyond that 5% limit.
“And if we are to borrow, we will issue bonds. It’s an option. People can invest. It even provides opportunity for some private investors who have money to buy government bonds. There are those who are looking forward to it.”
