The minister said printing money for eight years by CBN without productivity is the major factor that caused inflation and other economic challenges in the country.
The Minister of Finance and Coordinating Minister of the Economy, Olawale Edun, says the Central Bank of Nigeria (CBN) under the leadership of Godwin Emefiele printed a total of N22.7 trillion naira notes in the last eight years under the Ways and Means loan granted to the administration of former president Muhammadu Buhari.
The minister stated this on Wednesday during an interactive session with members of the Senate Committee on Finance at the Senate complex, Abuja.
In May 2023, the Senate approved former President Buhari's request to obtain a N22.7 trillion Ways and Means loan from the CBN to finance its budget shortfalls.
During the interactive session with the lawmakers, Mr Edun said printing money for eight years without productivity is the major factor that caused inflation and other economic challenges in the country.
"We talked about inflation, and you have helped to solve that. Where has it come from?
"It came from eight years of just printing money not matched by productivity. It's not like when you earn dollars and you free the naira alongside it, although there's even a better way than that. But that's still not as bad.
"It's not as if the money is matched by productivity increase in output. It is not. And what happened was that for eight years, the weak were left to their own devices. It is the privileged few that took everything. That's the reality. So that money supply must be brought back.
"You distinguished senators have helped. You have given us the mandate to raise N7 trillion, which we will do by sucking money from the market, using it to pay back the central bank and give the government a balanced book. We are going to audit even the N22.7 trillion printed aimlessly" Mr Edun said.
The minister, however, assured members of the committee that the federal government would continue to find a lasting solution to the worsening economy.
Mr Edun specifically told the lawmakers that rather than seeking loans, President Tinubu's administration would increase the revenue generation of the country.
Responding, the Chairman of the Senate Committee on Finance, Sani Musa, assured that the lawmakers will continue to interface with the federal government and find a lasting solution to the worsening economic crisis.
