uckennety:


Yet there currency is better than ours

You know nothing about economics and current affairs.

Abagworo:


You know nothing about economics and current affairs.

Yet I know dia currency v power dan ours

Abagworo:


The question is

1 Why was the past Government borrowing successively for 8 months to pay salaries before hand over in May 2015?

2 What could anyone have done better to manage the situation?

Don't ever quote my comment with useless obfuscation of facts after feeding and ruminating on APC's inbred lies .

What do you mean by borrowing to pay salaries?

Do you paraventure misconstrue borrowing for substitute, with "borrowing for "debt" because of non-approval (instead of non-availability) of budgeted recurrent expenditures on April, 2015 (after 2014 budget ran it one year course on March, 2015) because it wasn't. The fact is that 2015 budget was signed into law on 10th May, 2015.

Was May, 2015 Salary borrowed? You think $5 billion NLNG royalty was magically prepared in a week and dropped for Buhari's Government?

Secondly, I don't know if you meant borrowing as an element of annual budget, which is always a norm in most democracies as the payments are also part of every annual budget.

I can see the strain of zombiesm that effected you is incurable.

MadamExcellency:


What is this one saying?

Stop these lazy man's excuses, nobody is buying them any longer, tell the government to get experts and stop all these stupid comparisons

Is Benin Republic not financing most South-Eastern (Igbo) businesses (importation) that relocated there since Buhari became president?

A pure capitalist country like Nigeria can survive zero Forex using trade by barter, let alone when Nigeria got a vibrant diaspora communities that send more than $60 - $100 billion in six months to Nigeria under hash monetary policies.

The worst is that no country will be willing to lend this government a dime without taking us for slavery because Buhari is not business friendly and as I can see, he is not willing to change.

It seems U've lost currency of international news, frm Saudi,Venezuela, Iran , Iraq to Russia n others. Why r ol the aforementioned countries in Crises.
Is Benin an oil dependent economy?

President99:
It seems U've lost currency of international news, frm Saudi,Venezuela, Iran , Iraq to Russia n others. Why r ol the aforementioned countries in Crises.
Is Benin an oil dependent economy?

"Currency restrictions" was part of what killed Nigeria's economy by blocking every other avenue we get Forex while rationing the little left over. Foreign Investors - gone, capital market - destroyed beyond repair, local manufacturers - no raw materials and no equipment/machinery to produce.

Pure capitalist economy like Nigeria can break even with a combination of goodwill and "trade by barter" system hence no excuses.

Buhari had the most coveted political capital sought after around the world in his first 100 days in Office to turn Nigeria into el dorado and he blew it, only to come now after refusing expert advices and start making excuses.

MadamExcellency:


Don't ever quote my comment with useless obfuscation of facts after feeding and ruminating on APC's inbred lies .

What do you mean by borrowing to pay salaries?

Do you paraventure misconstrue borrowing for substitute, with "borrowing for "debt" because of non-approval (instead of non-availability) of budgeted recurrent expenditures on April, 2015 (after 2014 budget ran it one year course on March, 2015) because it wasn't. The fact is that 2015 budget was signed into law on 10th May, 2015.

Was May, 2015 Salary borrowed? You think $5 billion NLNG royalty was magically prepared in a week and dropped for Buhari's Government?

Secondly, I don't know if you meant borrowing as an element of annual budget, which is always a norm in most democracies as the payments are also part of every annual budget.

I can see the strain of zombiesm that effected you is incurable.

You be complete idiiot to address me that way. Anu ohia! Next time be civil and address issues than abuse me. Borrowing for recurrent expenditure is clear sign of economic decline. It is not same as borrowing for capital projects.

http://www.vanguardngr.com/2015/05/govt-borrows-n473bn-to-meet-up-with-recurrent-expenditure-says-okonjo-iweala/

The reason I brought this up is because some of you think Nigerians have short memory and try to sell the false info to us that Buhari inherited a healthy economy.

Abagworo:


You be complete idiiot to address me that way. Anu ohia! Next time be civil and address issues than abuse me. Borrowing for recurrent expenditure is clear sign of economic decline. It is not same as borrowing for capital projects.

http://www.vanguardngr.com/2015/05/govt-borrows-n473bn-to-meet-up-with-recurrent-expenditure-says-okonjo-iweala/

The reason I brought this up is because some of you think Nigerians have short memory and try to sell the false info to us that Buhari inherited a healthy economy.

I have explained this to you in the previous comment you quoted. Leave the headlines and learn from my explanation of political terminology.

2014 budget consummated on March, 2015 while the budget was waiting approval hence the "borrowing for substitute" in April, 2015. The government then signed the 2015 budget into law on May 10, 2016 hence no mention of borrowing for May 2015 Salaries.

It was illegal to pay April, 2015 Salaries when the budget consisting of recurrent and capital expenditures hasn't been signed into law.

Now I agree Nigeria is a CRAZY nation!!

What exactly did Buhari do?? These fools said the last govt was borrowing and dey met nothing!! They didn't borrow and they met nothing and we should thank them for spewing dis incorrigible balderdash!! After maximizing profits from fuel and removing subsidy, dey still want us to thank dem 4 duping us. Oil is $45 but we pay 145 for fuel. Peg prices at will and dump trial by error policies on d gullible masses. Do u know how much Venezuela buys fuel? Did gas prices also drop too abi u think every1 is as dumb and unschooled as ur CinC?

MadamExcellency:


"Currency restrictions" was part of what killed Nigeria's economy by blocking every other avenue we get Forex while rationing the little left over. Foreign Investors - gone, capital market - destroyed beyond repair, local manufacturers - no raw materials and no equipment/machinery to produce.

Pure capitalist economy like Nigeria can break even with a combination of goodwill and "trade by barter" system hence no excuses.

Buhari had the most coveted political capital sought after around the world in his first 100 days in Office to turn Nigeria into el dorado and he blew it, only to come now after refusing expert advices and start making excuses.

I was about to say dis!! Gen Abdusalami met oil at $11. An economy like Nigeria can weather ANY storm due to its capitalist nature. The dude even collected gas revenue. Nigerians are now looking for reasons why we should b greatful for mediocrity. Shey oil price drop 4 1984 too? He go dey shout Agriculture. What did he do to diversify the economy and boost agriculture in 1984? Went up in arms against Margaret Thatcher and made things even more difficult. The man is plain annoying I swear

MadamExcellency:


"Currency restrictions" was part of what killed Nigeria's economy by blocking every other avenue we get Forex while rationing the little left over. Foreign Investors - gone, capital market - destroyed beyond repair, local manufacturers - no raw materials and no equipment/machinery to produce.

Pure capitalist economy like Nigeria can break even with a combination of goodwill and "trade by barter" system hence no excuses.

Buhari had the most coveted political capital sought after around the world in his first 100 days in Office to turn Nigeria into el dorado and he blew it, only to come now after refusing expert advices and start making excuses.

Nigeria can no longer boast to be the biggest
economy on the African continent, as it lost the
spot to South Africa after the naira plunged to
new lows.
With a gross domestic product (GDP) of $296
billion, according to Bloomberg and the
International Monetary Fund (IMF), Nigeria
dropped to become Africa’s second largest
economy, after holding the position for two
consecutive years.consecutively.
Here are five reasons why Nigeria lost its
place:
CRUDE OIL CRASH
According to Lukman Otunuga, research analyst
at FXTM, the crash in oil prices on the
international market is the prime reason
Nigeria, an oil-dependent nation, lost its place
to South Africa.
“The extended periods of depressed oil prices
and persistent global uncertainty have caused
the world’s previous largest economy in Africa
known as Nigeria to lose its title to South
Africa,” Otunuga said in a note to TheCable.
Oil prices have fallen by over 65 percent since
2014, having a direct toll on the Nigerian
economy.
NAIRA ‘FLOATING’ DEVALUATION
South Africa’s economy regained the position of
Africa’s largest in dollar terms, due to the
crash of the naira against the dollar. As the
naira fell against the dollar, the South African
rand — on the other hand — appreciated against
the dollar.
In 2016 alone, the rand has appreciated by
over 10 percent against the dollar, while the
naira has fallen by over 40 percent.
Analysts believe that if the naira was floated
earlier in the life of President Muhammadu
Buhari’s administration, the over 40 percent
drop from 197 to 310 against the dollar could
have been avoided.
INFLATION
In 2016 alone, NBS figures show that inflation
in Nigeria has spiked by over 71 percent,
moving from 9.6 percent in January to 16.5
percent by June.
As the inflation spiked, some businesses went
down and many jobs were lost.
According to NBS, over 1.5 million people have
come into the unemployment bracket in the past
year. As inflation spiked, Nigeria lost some
economic activity, which hitherto kept the
economy robust.
GOODLUCK JONATHAN AND FOREX
SCARCITY
Foreign exchange still remains a scarce
commodity, following a number of questionable
decisions from the Central Bank of Nigeria
(CBN) monetary policy committee.
The naira was pegged at 197/$1 for 16 months
without reflecting the reality in the falling
crude oil price.
In 2008, when the global economic crisis was
biting hard, Nigeria still maintained a GDP
growth of 6.3 percent, due to fiscal buffer (in
foreign reserves and excess crude account),
saved from the Obasanjo days.
If the Goodluck Jonathan administration saved
as much as the Obasanjo days, the 2014/2015
crude oil crash would also have had little or no
effect on the Nigerian economy. Forex scarcity
would not have surfaced at all.
SLOW POLICY DECISION AND
DIVERSIFICATION
President Buhari said before and after his
election into office that he was going to
diversify the Nigerian economy away from oil.
He seems to remain resolute to his plans, by
broadening the tax base through the Federal
Inland Revenue Service (FIRS), while pursuing
agriculture and mining.
But like Ngozi Okonjo-Iweala, former minister
of finance, said, Nigeria and other African
countries are lazy about the diversification
talk, failing to recognise that it takes decades
to fully diversify.
With slow diversification in trying times,
coupled with slow economic decisions, the
economic fall seemed inevitable.
According to Otunuga, “although this new
development may dampen sentiment, it should
be kept in mind that Nigeria is in an ongoing
quest to diversifying away from being heavily
export reliant.
“This year, 2016, has been a challenge with the
nation descending into a technical recession
while inflation skyrocketed to shocking levels.
Steps have already been taken to jump-start
economic growth in the long run with optimism
that the nation could reclaim its previous title
as the largest economy in Africa.”
Follow us on twitter @thecableng
Copyright 2016 TheCable. Permission to use
quotations from this article is granted subject
to appropriate credit being given to
www.thecable.ng as the source.
N.B what this article tells U, is that it's a blatant lie to exonerate GEJ's FOREX exhaustion n oil price crashed.
Read more about Alaska state in USA hw they been faring since oil. crashed