By Aaior K. Comfort

Edo State Governor Godwin Obaseki has characterized Nigeria as “technically bankrupt,” citing the country’s inability to meet its financial obligations.

In an interview on Channels Television’s “Politics Today” on Thursday, Obaseki criticized the Federal Government for failing to adapt and restructure to address Nigeria’s economic challenges. He argued that the country’s current fiscal practices are unsustainable and reminiscent of past financial crises, likening the situation to bankruptcy.

“Nigeria is technically bankrupt,” Obaseki stated. “We don’t have enough resources to cover our expenditure, and we are not reducing our spending or increasing our earnings. This is akin to a bankruptcy situation where restructuring is necessary to reorganize and meet obligations, but Nigeria has yet to do this effectively.”

Obaseki highlighted that the Federal Government’s centralized management of the economy and resources is problematic. He noted that while Nigeria produces 1.3 million barrels of oil daily, only a fraction of the 147 oil wells in Edo State are operational, indicating inefficiencies in resource management.

“The Federal Government cannot continue to micromanage the country and its assets effectively,” he added. “We need a new approach that allows individual states to leverage their economic opportunities while contributing appropriately to the central government.”

The governor criticized the current federal structure as outdated and suggested that a new economic and administrative framework is necessary for Nigeria’s progress. “The current structure is expired and does not fit the needs of our economy,” Obaseki said. “We need a fresh structure to effectively manage our economy; otherwise, we will remain stagnant.”

Obaseki’s comments reflect ongoing debates about Nigeria’s economic management and governance structure, underscoring calls for comprehensive reforms to address the nation’s financial and structural issues.