Holds 3rd AGM virtually
By Nkiruka Nnorom
Nova Merchant Bank has said that domestic borrowing, overdrafts from the Central Bank of Nigeria (CBN) and drawdown from existing deposits held in accounts of extra-budgetary funds are the only options available for the federal government to finance the gap in the 2020 budget.
The bank stated this in its Monthly Economic Insight saying since the 2019 budget deficit was largely financed by the CBN to the tune of about N2.9 trillion through drawdown on ways and means, the federal government might adopt the same approach in 2020.
According to the bank, the FG’s actual new domestic borrowings may sum up to N1.24 trillion with the CBN financing the excess of the gap.
By Nkiruka Nnorom
Nova Merchant Bank has said that domestic borrowing, overdrafts from the Central Bank of Nigeria (CBN) and drawdown from existing deposits held in accounts of extra-budgetary funds are the only options available for the federal government to finance the gap in the 2020 budget.
The bank stated this in its Monthly Economic Insight saying since the 2019 budget deficit was largely financed by the CBN to the tune of about N2.9 trillion through drawdown on ways and means, the federal government might adopt the same approach in 2020.
According to the bank, the FG’s actual new domestic borrowings may sum up to N1.24 trillion with the CBN financing the excess of the gap.