The federal government has blamed the administration of former President Muhammadu Buhari for the current economic woes, saying his decision to excessively print the Naira through ways and means of over N20 trillion without corresponding productivity has put the country into a mess.
The Minister of Finance, Mr Wale Edun, who stated this on Wednesday when he appeared before the Senate Committee on Finance chaired by Mr Sani Musa, said the government of President Bola Tinubu is determined to audit the N22.7 trillion ways and means granted by the Central Bank of Nigeria (CBN) to finance its budget shortfalls in the immediate past administration.
He also announced plans to mop up the excess liquidity from the financial system and use it to pay the central bank to give the government a balanced book.
“We talked about inflation, and you have helped to solve that. Where has it come from?
“It came from eight years of just printing money not matched by productivity. It’s not like when you earn dollars and you free the naira alongside it, although there’s even a better way than that. But that’s still not as bad.
“It’s not as if the money is matched by productivity increase in output. It is not. What happened was that for eight years, the weak were left to their own devices. It is the privileged few that took everything. That’s the reality. So, that money supply must be brought back.
“You distinguished senators have helped. You have given us the mandate to raise N7 trillion, which we will do by sucking money from the market, using it to pay back the central bank and give the government a balanced book. We are going to audit even the N22.7 trillion printed aimlessly,” Mr Edun said.
Responding to other questions raised by lawmakers, the Finance Minister addressed the issue of waivers on customs duty running into trillions of Naira, which falls under his jurisdiction.
He promised to overhaul the system, rejig it, and implement a technology and payment system that would correct all anomalies in place.
He further disclosed that a total of N13 trillion was collected as non-oil revenue in 2023.
Responding, the committee chairman assured that the lawmakers would continue to interface with the federal government and find a lasting solution to the worsening economic crisis