Presidential candidate of the Peoples Democratic Party (PDP), Alhaji Atiku Abubakar has explained the steps he would take to place Nigeria on the path of economic development if elected in the February 25, 2023, presidential poll.
He said this in a statement he personally signed on Monday in Sokoto.
According to the former vice president, Moody’s downgrading of the nation’s Credit Rating from B3 to Caa1 is a worrisome development.
Atiku said Moody’s observations about Nigeria’s deteriorating fiscal and debt position is direct indictment of the nation’s political leadership and an affirmation that the All Progressives Congress (APC) lacks the critical competence to tackle Nigeria’s economic challenges.
The PDP flagbearer said that if elected in 2023, he would immediately review government’s spending and eliminate all leakages.
He said that he would cut fiscal support to underperforming state-owned enterprises and review the government’s procurement processes to improve spending efficiency.
Atiku also promised to reduce the dependence on debt to finance government’s recurrent and capital expenditure.
Atiku said, “Late last week, Moody’s Investors Service (The Moody’s) sadly, but not unexpectedly, downgraded the Nigerian Government’s Credit Rating from B3 to Caa1. This is a very significant downgrade.
“Moody’s notes the FGN’s deteriorating fiscal and debt position and its lack of capacity to respond to same; it notes the ‘exacerbating policy trading-off’ between debt servicing and the financing of critical sectors, including education, health, and other social programmes; it also notes the government’s inability to curtail its addiction to deficit financing and its appetite for more funds from the Central Bank’s Ways and Means.
“All three observations are a direct indictment of the country’s political leadership for its failures in the management of our fiscal resources. The APC-led government lacks the critical competencies to initiate and implement innovative solutions to our problems and deliver on their mandate with the desired impact.
“If given the opportunity to lead the country, I will act differently and change the economic direction of Nigeria for the better. I will undertake far-reaching fiscal restructuring to improve liquidity and the management of our fiscal resources.
“Among others, I will undertake an immediate review of government spending with a view to eliminating all leakages arising from subsidy payments.
“Second, I will stop all fiscal support to ailing and under-performing State-Owned enterprises.
“Third, I will take steps to improve spending efficiency by gradual reduction of government recurrent expenditures.
“Fourth, I will undertake a review of government procurement processes to ensure value-for-money and eliminate all leakages.
“Finally, I will focus on non-debt financing by promoting a private sector-led Infrastructure Development Fund for the financing and delivery of key infrastructure projects.”