October 13, 2025
LEAD STORY 1

Why Buhari’s economic model can’t work – Emir Sanusi

The Emir of Kano, Muhammadu Sanusi ll, has said the economic model of the President Muhammadu Buhari-led government cannot work.

Speaking at the Kaduna State Economic Summit in Kaduna, on Wednesday, the former Governor of the Central Bank of Nigeria, CBN, said the Federal Government was borrowing unsustainably.

 Wondering when the Federal Government would stop borrowing if it is spending its revenues to pay interests on debts, Sanusi said government at all levels should realise that borrowing had reached its limit and should therefore look for ways to attract investments.

He said, “The Federal Government of Nigeria is spending most of its revenues on interests on debts, which means only 34 per cent of revenues is available for capital and recurrent expenditures.

“That model cannot work. If you look at the 2017 budget of the Federal Government, I sometimes wonder what Nigerian economists are doing?

“In the 2017 budget presented by the Federal Government, the amount earmarked for debt servicing is in excess of the entire non-oil revenue of the Federal Government, but that is not the problem. The problem is that it is a budget that is even going for more debts.

“Growth can only come from investments. It cannot come from consumption.  It cannot come from government balance sheet. It cannot come from borrowing because you cannot borrow unsustainably.”

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