Peter Obi tackles FG, states over borrowings ahead of Labour Party summit

Peter Obi, Labour Party's presidential candidate

The Labour Party presidential candidate, Peter Obi, has berated the federal and state governments over what he sees as unbridled and irresponsible borrowings.

He did this on Wednesday ahead of his party’s Thursday summit where he and his running mate, Datti Baba-Ahmed, will speak.

Obi, in a series of tweets shared on Monday, stated that borrowing should only be used to finance “productive ventures.”

Besides, he accused some states of failing to pay back bail-out funds.

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He said: “As a matter of urgency, Nigeria must stop borrowing for consumption, but only borrow to invest in regenerative development projects and other productive ventures.

“It’s ironical that states that received fiscal bailouts did not invest them properly; did not repay the loans, and are still borrowing beyond their revenue earnings.

“Also, it has become imperative to restrict Federal borrowings to the statutory 5% of the previous year’s revenue. – PO.”