The International Monetary Fund has warned Nigeria and other oil-exporting countries over rising foreign debts, saying there is a need to make external borrowings sustainable.
The Fund, however, commended Nigeria for the recent reforms aimed at reducing infrastructure gap in the country, adding that it was in support of the measures.
The Assistant Director, Fiscal Affairs Department, IMF, Mrs. Catherine Pattillo, gave the warning and commendation on the sidelines of the release of the Fiscal Monitor Report by the Fund in Washington DC, United States, on Wednesday.
Pattillo said, “The concern in a number of oil exporters is that unless there is action now, that debt, which has been rising in many countries, is a concern particularly because of the interest payments.
“So, if you have continuing rise in debt, the interest payments will rise, and then, it will consume a large part of any revenue…