“All that we had borrowed up to 1985 or 1986 was around $5 billion and we have paid about $16 billion yet we are still being told that we owe about $28 billion. That $28 billion came about because of the injustice in the foreign creditors’ interest rates. If you ask me what is the worst thing in the world, I will say it is compound interest.” The then President of Nigeria Olusegun Obasanjo, August 2000
The disappointing outcome of the G8 Okinawa summit regarding the initiative for debt relief for impoverished and indebted countries of the Global South, led the then President of Nigeria Olusegun Obasanjo to remarked one of the historic quotes on Africa debit hardship.
How did borrowing just $5 billion end up in having to pay $44 billion in total?
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