A former Governor of Lagos State and current Minister of Power, Works and Housing of Nigeria, Babatunde Fashola has answered those criticising the Nigerian Government for borrowing money.

While addressing journalists in Ilorin, the capital of Kwara State, he asked such people to provide an alternative to sourcing funds. “Those who say we shouldn’t borrow must have an alternative answer to where we will get the money," he said. "Those who don’t support borrowing, are they ready to support increased taxes?”

He blamed the slow pace of works on the federal roads across the country on the paucity of funds. He went on to defend the decision of the government to borrow monies to fund its various projects in the country.

“Where do we get the money,?” Fashola queried. “It is not from President Muhammadu Buhari’s salary or the National Assembly’s salary; we are talking about quantifiable, substantial billions of naira that need to be spent to pay. “That is how you move money around the economy because once you pay the contractors, they order sand, cement, iron rods. They don’t keep all those things. Where the money stops, supply stops.”

Fashola went ahead to assure the public that the government would continue to improve the economic wellbeing of the people through infrastructural development in the country.

very good question

lawaljuliuss:
very good question

Shey that is if the borrowed money would not be embezzled!

K

Both borrowing and misguided and misapplied taxation on no and low production are bad.
Pre-structure the 36 States so that the Responsibilities for Security, Resource control and Electioneering management can be shared with the 36 State Governments.

So, has perpetual borrowings solved the problem?

Why don't we try to enact laws that would curb extreme population growth so the little we have can suit us..

Bill Gates has said it, Macron has said it, Angela has said it, Theresa has said it, UN has said it, UNICEF has said it, Ecowas has said it.. these are the people we borrow from.

Nature has a way of controlling untamed populations, we are seeing the signs as insecurity is rising on a daily, unemployment is growing rapidly... must we wait till it consumes us all.

We keep talking about the days of our fathers and how things were a lot better, and how they got employment even before they left school, the only difference is because they were not 201m owing a debt of $65bn while having $42bn as reserve.

How did they become rich enough to lend to you? Did they become rich by borrowing?



Go and find out what those countries u borrow from do and do it .- Peter obi.

He blamed the slow pace of works on the federal roads across the country on the paucity of funds. He went on to defend the decision of the government to borrow monies to fund its various projects in the country.

“Where do we get the money,?” Fashola queried. “It is not from President Muhammadu Buhari’s salary or the National Assembly’s salary; we are talking about quantifiable, substantial billions of naira that need to be spent to pay. “That is how you move money around the economy because once you pay the contractors, they order sand, cement, iron rods. They don’t keep all those things. Where the money stops, supply stops.”

The oil revenue is not enough

Nigeria needs oil to be at $139....it is our fiscal break-even. Oil is at $70-80.

So, either we raise taxes, or borrow to meet needs....or fast and pray that oil goes up to $150 per barrel (Hey, Ramadan starts in the next few days...that's a good prayer point).

We also need to cut subsides, cut jobs, and cut corruption, and start jailing people without prejudice for corrupt acts.

And we need to vote PDP and APC out of office (ok...in my dreams)

mekaboy:
How did they become rich enough to lend to you? Did they become rich by borrowing?



Go and find out what those countries u borrow from do and do it .- Peter obi.

Well, by industrialization...which needs a well funded and supported power industry.

But in Nigeria, fuel subsidy means poor investment in our oil sector...because fuel is sold at below market price....meaning no investment in things like gas...meaning we flare gas well well

We also don't pay power bills that would adequately fund our power industry (Ghana pays far more than we do in bills...which is why they have light most of the time)....

So, we rely on, and fight over oil.

tactius:


Well, by industrialization...which needs a well funded and supported power industry.

But in Nigeria, fuel subsidy means poor investment in our oil sector...because fuel is sold at below market price....meaning no investment in things like gas...meaning we flare gas well well

We also don't pay power bills that would adequately fund our power industry (Ghana pays far more than we do in bills...which is why they have light most of the time)....

So, we rely on, and fight over oil.

A reduction in the cost of governance will reduce borrowing. We borrow to consume and we remain poor.

We make noise about diversification while we search for more oil.

Our presidents eat foreign food, drive foreign cars, send their children to foreign schools, go to foreign hospitals, borrow from foreign countries. How will Nigeria develop with leaders who don't believe in the country?

Onyemadonald:
A former Governor of Lagos State and current Minister of Power, Works and Housing of Nigeria, Babatunde Fashola has answered those criticising the Nigerian Government for borrowing money.

While addressing journalists in Ilorin, the capital of Kwara State, he asked such people to provide an alternative to sourcing funds. “Those who say we shouldn’t borrow must have an alternative answer to where we will get the money," he said. "Those who don’t support borrowing, are they ready to support increased taxes?”

He blamed the slow pace of works on the federal roads across the country on the paucity of funds. He went on to defend the decision of the government to borrow monies to fund its various projects in the country.

“Where do we get the money,?” Fashola queried. “It is not from President Muhammadu Buhari’s salary or the National Assembly’s salary; we are talking about quantifiable, substantial billions of naira that need to be spent to pay. “That is how you move money around the economy because once you pay the contractors, they order sand, cement, iron rods. They don’t keep all those things. Where the money stops, supply stops.”

Fashola went ahead to assure the public that the government would continue to improve the economic wellbeing of the people through infrastructural development in the country.

SOURCE: https://www.trendingaccounting.com/2019/05/those-who-dont-support-borrowing-are.html

Lazy government i don't support both borrowing and tax increment. What i want the government to do is to till the grounds and make money. We have a lot of untapped resources in Nigeria to do whatever we dream of. Restructure this country so that each state will till her ground.

tactius:


The oil revenue is not enough

Nigeria needs oil to be at $139....it is our fiscal break-even. Oil is at $70-80.

So, either we raise taxes, or borrow to meet needs....or fast and pray that oil goes up to $150 per barrel (Hey, Ramadan starts in the next few days...that's a good prayer point).

We also need to cut subsides, cut jobs, and cut corruption, and start jailing people without prejudice for corrupt acts.

And we need to vote PDP and APC out of office (ok...in my dreams)

Even when the oil revenue was high we still had debts from previous borrowings, the problem we are facing as a country is mismanagement of resources, lack of discipline on the part of our leaders more, borrowing wont solve our problem we need to look inwards and by that focus on human capital development like what the Asian tigers did though it seems a longtime solution but Its worth it.

Nevertheless, for a quick remedy, we could resort to regulated direct printing of money to increase money stock which will be followed simultaneously with increase in local production of goods and regulated importation.

Only visionless people think the only way to get money is by borrowing and Taxing ..Does Fashola realise that if he fixes our road and power supply that alone will attract more wealth for Nigeria

SarkinYarki:
Only visionless people think the only way to get money is by borrowing and Taxing ..Does Fashola realise that if he fixes our road and power supply that alone will attract more wealth for Nigeria

can you give them the money to do the roads and power you mentioned ??

adekolaelect:
can you give them the money to do the roads and power you mentioned ??

take your low IQ away from here and keep supporting nonsense

SarkinYarki:


take your low IQ away from here and keep supporting nonsense

humm paining

mouna c me, c dis rocket siyentis o.
u don do wok finish, wey u dey yan dis nonsense?
wia house, wia lyt, wia road?
shu!