Over N4.4tn debts not recovered bad omen for Nigerian economy: AMCON

*The Asset Management Corporation of Nigeria has said if the huge debt is recovered, the fund would be enough to capitalise over 2 million Micro Businesses with N2 million cash injection each or 200,000 Small and Medium Enterprises with N20 million per SME, which would create over 10million jobs in the country

Alexander Davis | ConsumerConnect

As regards the need to shore up the government’s revenue to finance more capital projects in the country, the Asset Management Corporation of Nigeria (AMCON) has urged all agencies of the Federal Government and relevant stakeholders to join its debt recovery drive as the company strives to retrieve outstanding N4.4trillion debts.

The Corporation in a statement issued Sunday, January 10, stressed that failure to recover the debt would further worsen the downturn in the country’s economy.

AMCON said the N4.4trillion is bigger than the entire 2021 capital expenditure budget of the Federal Government, which stands at N3.85trillion.

The statement discloses “the Asset Management Corporation of Nigeria (AMCON) has raised a New Year alarm, calling on all agencies of the Federal Government and all stakeholders to join its debt recovery drive to guide against the huge opportunity cost of not recovering its huge total current exposure.”

The company explains if it recovers the loans, money can go a long way in reviving the iron and steel sectors, and in improving electricity in Nigeria.

This would involve the employment of more manpower which in turn would reduce the crime rate in the country, it stressed.

Likewise, AMCON explained that if the huge debt is recovered, the fund would be enough to capitalise over 2 million Micro Businesses with N2 million cash injection each or 200,000 Small and Medium Enterprises (SMEs) with N20 million per SME, which would create over 10million jobs in the country.

The statement added: “AMCON assured that it is determined to recover these debts because the money belongs to Nigerian taxpayers.”

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