PARIS, MARCH 3, 2016: (DGW) - The Islamic Development Bank on Monday told the Nigerian Senate that over 80% of Nigeria's revenue is gulped by debt servicing and one of the countries in the world which spend its total earnings on debts repayment.
Nigeria, the bank said is a country that is saddled with a massive debt burden which does not augur well for Nigeria's economy. The Islamic Development Bank representative in Nigeria, Abdallah Kiliaki made this disclosure when he paid a visit to Shehu Sani, the Senate Committee Chairman on Local and Foreign Debts, saying that money used by Nigeria to pay debts was enormous although Nigeria's GDP ratio was low at 17%.
Meanwhile, Senator Shehu Sani while responding said that Nigeria's foreign and local debts stood at $60 billion. Mouth agape with incredulity, the IDB representative in Nigeria advised the urgent need for diversification of the economy into other areas particularly agriculture that will pave the way for production processing and export driven economy.
He reminded the Senate Committee Chairman, Shehu Sani that visiting is deemed absolutely necessary to enable them look at the debt profile of any country before '' giving a new contractual sort of financing'', he concluded.