The Nigerian government has utilized funds from Nigerian Treasury Bills and Bonds issued in 2024 to settle Ways and Means advances from the Central Bank of Nigeria, totaling N4.83 trillion. This information was revealed by Minister of Finance and Coordinating Minister of the Economy, Wale Edun, during a presentation at the Lagos Business School Breakfast Club on “Reconstructing the Economy for Growth, Investment, and Climate Resilience Development.”
In a move approved by the National Assembly last year, the outstanding debit balance of N7.3 trillion from the Ways and Means Advance in the Consolidated Revenue Fund of the Federal Government was securitized. CBN Governor Olayemi Cardoso announced that the central bank will no longer provide Ways and Means advances to the government until the balance is settled.
Edun emphasized that this action is part of the government’s strategy to attract stable foreign capital to key sectors of the economy. The Federal Government aims to achieve a 3.5% economic growth in 2024 by focusing on increasing oil production to 2 million barrels per day, boosting agriculture sector growth to 3%, and enhancing trade activities to support a positive current account.
“We have outlined a comprehensive plan to increase budgeted revenue by 78% year-on-year in 2024. However, the implementation of an improved government revenue assurance model is crucial. Our target is to reduce the budget deficit to 3.9% of GDP from 6.1% in 2023,” Edun explained.
This strategic approach aims to stimulate economic growth and development in Nigeria, setting the stage for a more sustainable and prosperous future.
