Nigerian Leader Asks for $30 Billion in Foreign Loans

Nigeria’s President Muhammadu Buhari wants $30 billion in foreign loans for infrastructure and other projects over the next three years to overcome a recession in Africa’s biggest economy.

Buhari sent letters Wednesday to parliament seeking approval to borrow $29.6 billion – more than the entire budget – for power, railways, roads, education, health and water resources.

The African oil giant has been unable to secure loans of $5 billion to plug this year’s budget deficit. The World Bank reportedly is demanding further reforms. In June, Buhari’s government belatedly floated the naira currency, losing 40 percent of its value.

Nigeria is suffering a foreign currency crunch forced by slumped oil prices and militant attacks that have slashed petroleum production. Oil provides 70 percent of government revenue.

Source: Voice of America.