Nigeria’s Finance Minister and Coordinating Minister of Economy, Wale Edun, has attributed the country’s prevailing inflation crisis to an excessive naira printing spree conducted by the Central Bank of Nigeria (CBN) under the administration of former President Muhammadu Buhari.
During an engagement with the Senate Committee on Finance, Edun disclosed that from 2015 to 2023, approximately N22.7 trillion was printed through Ways and Means overdraft for the Federal Government.
Edun underscored that the extensive printing of the Nigerian currency occurred without accompanying productive activities, exacerbating the inflationary pressure currently faced by the nation.
He emphasized that the reckless printing of money without commensurate productivity was the primary factor driving the high inflation rates in Nigeria.
The revelation follows the Senate’s recent decision to probe the N30 trillion Ways and Means overdraft obtained and utilized by the Buhari administration, highlighting concerns over the lack of transparency regarding the utilization of the funds.
The Finance Minister’s testimony underscores the urgent need for a comprehensive investigation into the circumstances surrounding the substantial overdraft, as the details of its expenditure have not been fully disclosed to the National Assembly.
Edun stressed the detrimental effects of eight years of printing money without corresponding productivity, which have manifested in the current inflationary crisis, adversely impacting the country’s economy and populace.
The Senate Committee’s engagement with the Finance Minister reflects a concerted effort to address the root causes of Nigeria’s economic challenges and institute measures to mitigate future risks.
Edun’s acknowledgment of the inflation’s origins sets the stage for a thorough examination of fiscal policies and practices aimed at restoring economic stability and fostering sustainable growth in Nigeria.