A disaffected insider within President Goodluck Jonathan’s administration as
well as several banking executives have told SaharaReporters that Nigeria faces
a deep economic crisis and massive social gloom after the 2015 general
elections. Speaking from different perspectives, the sources said President
Jonathan had virtually vacuumed the Nigerian treasury to serve his re-election
campaign, leaving Nigerian banks in dire straits and many states on the verge
of failing to pay salaries this month.
“The truth is that Mr. President has almost emptied the treasury, and some of
us close to him are even beginning to get worried about what will happen after
the election,” said the political insider.
The bankers echoed the sentiment. “The reason the naira has taken such a
dramatic plunge over the last three or so months is that politicians moped up
the hard currency for elections,” said one banker. “I have never seen anything
on this scale, where politicians snatch up every hard currency in sight, whether
dollar, Euro or pound sterling,” he added. Asked who was primarily responsible
for the situation, the banker said he would not engage in partisanship. “All I
know is that this country is now in a frightening economic position—and all
these politicians running up and down to retain or take power have created the
situation,” he asserted.
But another banker was not shy in pointing a finger at Mr. Jonathan. “The
president has been indifferent to the economic crisis caused by the ongoing
campaigns. And the reason he is indifferent is that he is the major culprit,” said
the executive. He added that the distribution of largesse by Mr. Jonathan had
now become “one of the few lucrative businesses in Nigeria.”
The bankers said massive layoffs were inevitable in the banking and other
sectors of the Nigerian economy. They said numerous companies that depended
on imported machinery or other components sourced from abroad were bleeding
cash. “Many Nigerian companies are experiencing severe cash flow problems.
Many of them are defaulting on long and short-term loan repayments. So the
banks are suffering heavily as well,” one banker told SaharaReporters.
Two of the bankers disclosed that the banking industry would have laid off
thousands of workers, but that officials of the Jonathan administration
pressured them to wait until after the elections. “It will take a long time before
banks recover from the current shocks in the system. There’s no bank strong
enough not to retrench staff,” one said.
The stress in the banking sector, with the prospective job losses, will be
compounded by massive retrenchment in the civil service at the Federal and
state levels, one source predicted. Our source inside the Presidency revealed
that Mr. Jonathan plans to follow former President Olusegun Obasanjo’s style
by removing fuel subsidies as one of his first economic acts. “The truth is that
it’s a must that fuel subsidy has to go because the money is not there to
continue [paying for] them,” he said.
As part of an arrangement to receive slush funds from oil marketers, Mr.
Jonathan and Ms. Alison-Madueke allowed numerous marketers to make
fraudulent claims and get paid for importation they never made. That criminal
collusion has put Nigeria in a situation where the oil marketers are being owed
N450 billion. “Nigeria will have to deal with this and other debts from
fraudulently inflated invoices once the elections are over,” one banker said.
The scam also helped create a recent fuel scarcity in the country. As the fuel
situation threatened to become a politically costly crisis, Mr. Jonathan asked
the oil marketers to offload fuel they had been “round-tripping” in order to
collect unearned subsidy payments.
Bankers agreed that the government would find it extremely difficult to pay that
debt after the election without rolling back or eliminating subsidies altogether.
In recent months, oil marketers as well as operators of the privatized power
sector received massive financial handouts from the Jonathan administration. In
turn, they donated billions of naira to Mr. Jonathan’s re-election campaign.
President Jonathan has gone on a dollar-spraying spree since the general
elections were postponed by six weeks. Our sources disclosed that the
president had doled out more than $200 million, using generous cash gifts to
entice various traditional rulers, politicians and activists, especially those in the
southwest and parts of the north, to endorse him.
Several sources said much of the president’s campaign cash is from shady oil
deals brokered by Petroleum Minister Diezani Alison-Madueke. The massive
theft of Nigeria’s crude oil remains an open scandal, and one of the richest
sources of funds for the campaigns. Last September, Al Jazeera reported that
the theft of Nigeria’s crude oil was at its highest rate in years, adding that
several hundred thousand barrels of crude are stolen each day.
The continuing crisis of crude oil thefts has persisted despite the Jonathan
administration’s security contract to Global West Specialist Agency, a company
owned by Government Ekpemukpolo (popularly called Tompolo). The contract to
Mr. Tompolo’s company was for the supply of 20 patrol vessels to enable
Nigeria’s military authorities to better secure the coastline and stem oil theft.
Mr. Tompolo’s firm was also engaged as a consultant to prevent crude oil
heists.
The rating firm of Standard & Poors yesterday said that the Nigerian economy
faced a clear and present danger. Nigeria’s external reserves have been
significantly depleted in the past year, said a banker, adding that many state
governments were already looking for loans to pay workers’ salaries.


Source: saharareporters.com/2015/03/12/nigeria-faces-post-election-gloom-treasury-emptied-oil-marketers-owed-n450b-mass

SMH, its obvious its d country'sq money they r wasting, definitely its not der personal money. Imagine dem pumping dis money into educatatn sector or any oda sector later they will tell us naija is broke. Useless govt

Saharareporters is not a credible source

halfcurrent:
Saharareporters is not a credible source

in every rumour there is an iota of truth.

Yea, Shocking but very true. Many state government are already talking of downsizing and/or seeking loans to pay its workers. Things are almost hitting rock bottom for the economy. I realy fear for the In-coming President, political landmines and economic booby traps everywhere!

I weep for Nigeria and its people. There is fire on the mountain and some bastards still want him to continue to do more.

Nigeria is on the edge and needs a complete turnaround. A president who dines with Osugbo, pastors and imams all in a single swoop isn't just thinking about SERVICE to the NATION. He is a desperado trying to hold to the continuous raping of the commonwealth of the Nation.

Nigeria is in crisis bit pity some idiotic bigoted head are more concerned about the church BUHARI need to go baptized than the reality of the evil inherent in the continuation of this inept and thieving government.

This is expected naaaa!!!
The election campaign fund of both leading parties cost a lot of money compared to what we have seen in decades.

For those who don't know, this is why naira value has been depreciating all this while. This is something i have known for a while. If you know anyone who is high up in the food chain in CBN, ask them, they will be honest about it.

The problem we have in this country is, people aren't willing to find out the truth because the revelation might not soothe them. We prefer to live in denial than to accept the truth as it is.

This is one of the reasons i love Sahara Reporters. they try, as much as possible, to bring to light what others would never, and that is why some people dislike them. Those are the people who don't want the truth coming out, because it doesn't soothe them.

No wonder buhari said he will inherit empty treasury

Chai!!! see lies

let me see any jobles hegoat nd shegoat dat will type gej till 2019, mumu clowns

halfcurrent:
Saharareporters is not a credible source

Why not confirm the information before conclusion. Are we not seeing the evidence e.g the president sharing dollars. Can you tell me they are his hard earned money? or because they have access to the treasury major them spend it any how?
Have you for once ask yourself the real cause of fuel scarcity in most part of the country? OPEN YOUR EYES TO REALITY

This same thing happened in Ghana two years ago,

Today the country is ripe with poverty

God save Nigeria

Shikenan,magana banza, we need change

ejiro2130:
This same thing happened in Ghana two years ago,

Today the country is ripe with poverty

God save Nigeria

Ghana is "ripe" with poverty? where did you get that nonsense from? if you want to compare poverty levels in nigeria and Ghana, go to the united nations human development index and find out for yourself. most times, you nigerians talk as if you dont have brains inside your heads! fuckeduppedness! nigeria is rated among the poorest in africa

Those that are shouting GEJ till infinity, we be in soup too when the psunami will strikes.

Transformation must go

change must come

okay....





Meanwhile are u having problems with your joystick size or having premature ejac?? Check my profile/signature

halfcurrent:
Saharareporters is not a credible source

your moniker is the credible one

SambisaaForest:
Ghana is "ripe" with poverty? where did you get that nonsense from? if you want to compare poverty levels in nigeria and Ghana, go to the united nations human development index and find out for yourself. most times, you nigerians talk as if you dont have brains inside your heads! fuckeduppedness! nigeria is rated among the poorest in africa

Ooh Jesus, which zoo did dis one escape from why should I go to a website when I can go to the country when I want??

What's poverty?? When 40% of miners in your country are sacked, when your inflation is at 50% when fuel price goes up every month, when ur currency loses 34% of its value in 12months.

If that is not a nation ripe with poverty the what is it??

I warned everyone about this in 2011. Shoeless is dangerous!

Many didn't listen.

halfcurrent:
Saharareporters is not a credible source

Ok I understand. Their source is not credible if you don't like the news! Hypocrite!!!

Lies and lies.That Buhari change cannot emerge because Jonathan will defeat him again

Okay nah,since buhari knws he is going to meet empty treasury why won't he stay back and allow the clueless one to bear the cost of wat he has done....why is he so bent on going there knwing fully well that the box is empty.i
I still don't understand it

Pls u ppl shud allow this GEJ man to complete his tenure..GEJ failed,GEJ failed u guys won't allow him to repeat class abi no b if person fail class him go repeat...

GEJ silently transforming Nigeria

The question we should be asking ourselves is, what will President Jonathan do better if he is re-elected on March 28, that is if any election will take place.

The last few years saw an usual high cost of crude oil netting the country massive gains, now that the National Assembly have further pegged the price of crude to $53 as against $65 per barrel highlighted by our Econs Minister, how will President Jonathan run his government for the next four years based on a budget-deficit scenario.

Judging by the fact that in most cases, hardly does the incumbent do anything worthwhile in their 2nd term - most times it ends in disgrace or such leader becomes a lame-duck. E.g. President Obama of US, Governor Fashola of Lagos etc.

Listen to this magg0tic foooool! stvpid igbo goat from the Federal Republic of Fooools

Do you know the number of your fellow MUMUs arriving in Ghana every day in search of economic refuge? do you know the number of phone calls I receive each from desperate shitnigerians wishing to relocate to Ghana?

at least in Ghana, people don't eat from the dustbin as they do in your magg0r-infested sh1thole. grown-up men don't fight a bottle of coke at state functions. In Ghana, people are not kidnapped for a ransom of a bottle of coke and gala

we don't have baby factories. we don't have boko haram. 90% of your fellow suffering and smiling mudder fuggers survive on less than $! a day such a deluded lunatic inside a fucking sh1thole

boo haram in the north, kidnappings, fake drugs, otokoto,baby facstories in the wouth east, oil bunkering in the SS, armed robberies and ritual murders in the SW. hahahaha what a certified sh1thole

life expectancy is a miserable 52 years in your God-forsaken sh1thole, compared with 64 years in Ghana
90% of shitnigerians surivve on less than $2 a day, compared with 50% of Ghanaians
one out of five chronically malnourished children in africa live in nigeria
500 women in your impoverished counntry die out of 100,000 child births
pnuemnia kills 200,000 children in your sh1thole annually
malaria kills 300,000 in nigeria, while 97% of the population is at risk
according tothe WHO, shitnigeria has a rate of 143 deaths per 100 live births, compared with 74 in Ghana

Thank God for edots sha, we will continue to flush them own the toilets. such a fvcking goat! fuckcedupppedness!






[s]

ejiro2130:



Ooh Jesus, which zoo did dis one escape from why should I go to a website when I can go to the country when I want??

What's poverty?? When 40% of miners in your country are sacked, when your inflation is at 50% when fuel price goes up every month, when ur currency loses 34% of its value in 12months.

If that is not a nation ripe with poverty the what is it??

[/s]

Is it only PDP that is sharing money to solicit for support?
Please the truth is APC is doing same I know GEJ will be blame as he is the leader.

But don't blame him alone, blame all our political leaders too.

seun, lalasticlala front page.

I'm not surprised. Where do you think the money used in forming and funding the different socio-political and economic organizations rooting for Jonathan's re-election are gotten? How about the one give to traditional rulers?

This election should just go once an for all . We are tired of hearing this an tht jonathan should go aso rock is not is father house must he die there , oh gosh the guy is truly clueless no wonder his name is Jonathan.



Sai Baba