The Emir of Kano, Muhammad Sanusi II, yesterday, declared that Nigeria was on the verge of bankruptcy, if subsidy on petroleum products and electricity tariff were not withdrawn.

Sanusi, who spoke at the 3rd National Treasury Workshop organised by Office of the Accountant General of the Federation in Kano, advised President Muhammadu Buhari’s administration to withdraw subsidy and utilise the funds in development projects such as education, health and infrastructure.

He explained that it was not wise to spend 70 per cent of the nation’s income on servicing debts, while only 30 per cent was spent on funding subsidies, such that loans had to be the last resort to even pay salaries.

Sanusi said: “It’s like a vicious circle. The country is heading towards bankruptcy. What happened is that the Federal Government does pay petroleum subsidy, pay electricity tariff subsidy, and if there is rise in interest rates, Federal Government pays.

“What is more life threatening than subsidy that we have to sacrifice education, health sector and infrastructure for us to have cheap petroleum?