How we reduced Nigeria’s debt service ratio, cleared forex backlogs – Tinubu

"We inherited a reserve of over $33 billion 16 months ago. Since then, we have paid back the inherited forex backlog of $7 billion," he said.

President Bola Tinubu on Tuesday said his administration adopted a disciplined approach in the management of Nigeria’s monetary policy by reducing the debt service ratio significantly.

Mr Tinubu, who spoke in a televised Independence Day broadcast, said the more disciplined approach adopted by the Central Bank to monetary policy management has ensured stability and predictability in the foreign exchange market.

“We inherited a reserve of over $33 billion 16 months ago. Since then, we have paid back the inherited forex backlog of $7 billion,” he said.

“We have cleared the ways and means of a debt of over N30 trillion. We have reduced the debt service ratio from 97 per cent to 68 per cent. Despite all these, we have managed to keep our foreign reserve at $37 billion. We continue to meet all our obligations and pay our bills.”

He noted that the nation is moving ahead with its fiscal policy reforms.

“To stimulate our productive capacity and create more jobs and prosperity, the Federal Executive Council approved the Economic Stabilisation Bills, which will now be transmitted to the National Assembly.

“These transformative bills will make our business environment more friendly, stimulate investment and reduce the tax burden on businesses and workers once they are passed into law,” he said.