₦airaland Forum

advanceDNA:
Yeah I get it’s not the aiye type ...

But what type is it..??

The Federal Government hopes to push its public debt stock to N50.22tn by 2023, with domestic debt at N28.75tn and external debt at N21.47tn.

This is according to the projections in the National Development Plan 2021-2025.

The Debt Management Office had disclosed that Nigeria’s public debt was N38tn as of the end of the third quarter of 2021, with the total debt stock rising by N2.540tn in three months from July to September 2021.

This shows that the regime of the President, Major General Muhammadu Buhari (retd.), plans to accumulate about N12tn debt in two years from 2021 to 2023.

However, based on the plan, the government targets a reduction in total public debt by 2025.

A tabular illustration in the document showed that the government targets N39.59tn debt stock for 2021, N46.63tn for 2022, N50.22tn for 2023, N50.53tn for 2024, and N45.96tn by 2025.

The government also discloses that it needs money to finance the plan of N348.1tn, and the borrowing framework in the plan is 45 per cent each for both foreign and domestic borrowing.

The plan read in part, “The plan will require an investment of about N348.1tn to achieve the plan objectives within the period of 2021-2025. It is estimated that the government capital expenditure during the period will be N49.7tn (14 per cent) while the balance of N298.3tn (86 per cent) will be incurred by the Private Sector. Of the 14 per cent, government contribution, FGN capital expenditure will be N29.6tn (9 per cent) while the sub-national governments’ capita

“The borrowing framework in the plan is 45 per cent each for both foreign and domestic borrowing while the other financing sources account for 10 per cent. Domestic bonds and concessional external loan financing, amongst others, will account for the borrowing strategies for the plan. Thus, the government will improve on current debt management strategies to ensure sustainability.”

Assets must be created to justify debt, infrastructure needs essential, says analyst

An investment analyst, Omosuyi Temitope, said that although the debt servicing to revenue ratio would exceed even by 2022, the government seemed to be borrowing for obvious reasons.

He said, “As a matter of fact, debt service to revenue would remain above 80 per cent in 2022, but there are obvious reasons the government needs to embrace more borrowing.

“First, no nation can achieve long-lasting development without some forms of borrowing to finance growth-enabling projects and programmes. Nigeria’s infrastructure needs are very essential to her sustainable and inclusive growth.

“Everyone can clearly deduce the negative impact of poor infrastructure on the nation’s growth, ranging from the high cost of doing business to the high cost of living amidst a general unimpressive living condition, just to mention a few.”

He, however, stressed the need for the debt to be sustainable through the creation of assets and value that justify the debt.

“Nonetheless, it is imperative for the government to ensure debt obligations are sustainable by creating assets and value that justify the ballooning debt stock,” he said.

Current debt rate is worrisome, borrowing pace not sustainable – Tella

On his part, a professor of Economics at the Olabisi Onabanjo University, Ago-Iwoye, Ogun State, Prof Sheriffdeen Tella, said debt level was worrisome and the government should not be considering more borrowing, urging the government to consider other ways of generating revenue.

He said, “Even at the level that we are now, it is worrisome, not to talk of planning to borrow more. It is unfortunate that the government is always thinking of borrowing, instead of thinking of other ways to generate revenue.

“They can ensure that public-private partnership projects are built, once operational and yielding capital, though whoever implemented it can generate their money plus interest and then the project becomes ours and we can generate revenue from those. There are projects that we can scale down until we have enough funds to implement and there are projects that can generate money on their own.

Go after wealthy Nigerians, who owe the country instead of borrowing – Economist

“Instead of always thinking of borrowing, the government can go after those that owe the country, For instance, NEITI recently detected some money that is being held by some wealthy individuals, money that runs into trillions but the government isn’t going after those funds.”

He added that the government’s borrowing pace was not sustainable as revenue generated would be used to service debts.

“Also, our borrowing pace is not sustainable, because almost all the revenue generated by the country is used to pay the current debt and that is why the government doesn’t have enough to pay for a lot of its expenditure,” he added.

Rising debt profile raises sustainability concerns – CPPE

An economist and the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, said that the increasing debt profile of the government raised some sustainability concerns.

Yusuf, who is a former Director-General of the Lagos Chamber of Commerce and Industry, said, “The rising debt profile of the government raises serious sustainability concerns. Although the government tends to argue that the condition is not a debt problem, but a revenue challenge. But the truth is that debt becomes a problem if the revenue base is not strong enough to service the debt sustainably. It invariably becomes a debt problem.”

He also stressed the need to cut down expenditures and implement reforms that could reduce the costs of governance and ease the fiscal burden.

“What is needed is the political will to cut expenditure and undertake reforms that could scale down the size of government, reduce governance cost, and ease the fiscal burden on the government.

“It is imperative for the country to operate as a true federation which it claims to be. The unitary character of the country is making it difficult to unlock the economic potentials of the sub-nationals. It is perpetuating the culture of dependence on the federal government.

“It is necessary to scale down the size of government and cost of governance. Fiscal sustainability is driven by both cost and revenue. Therefore managing the major drivers of cost and revenue is imperative. As far as possible, the government should push back in sectors or activity areas where the private sector has the capacity to deliver desired outcomes. We should see more concessions and privatisations at all levels of government,” he said.

He added that the debts, which should be concessionary, should be used to strictly fund capital projects that would boost the productive capacity of the economy.

“It is important to ensure that the debt is used strictly to fund capital projects that would strengthen the productive capacity of the economy. This is the position of the Fiscal Responsibility Act.

“Additionally, emphasis should be on concessionary financing, as opposed to commercial debts which are typically very costly,” he added.

FG has been borrowing irresponsibly – Moghalu

A former Deputy Governor of the Central Bank of Nigeria and former presidential candidate, Kingsley Moghalu, condemned the constant borrowing of the Federal Government, saying it was irresponsible.

He said, “I condemn the borrowing plan in its entirety. I think the Federal Government of Nigeria has been borrowing irresponsibly and mortgaging the future of the youth of Nigeria.

“This should stop. The damage will be very difficult to repair. There is no need for Nigeria to be borrowing at the rate it is borrowing and the huge sums it is borrowing.

“There is an element of callousness in this. They are doing everything as possible to borrow before 2023, and then walk away and hand over the problem to someone else.”

FG is becoming reckless in borrowing – CACOL

The Executive Director of Centre for Anti-Corruption Open Leadership, Mr Debo Adeniran, said that the government is becoming reckless in borrowing at a fast pace.

He said, “The government is fast becoming reckless in the way it is borrowing, yes, it might have its reasons to have resorted to borrowing because of the infrastructural deficit and collapse which was in existence before this administration came in. but this administration needed to understand that it could not solve all the problems of more than 50 years overnight.”

He added that taking interest-yielding loans will likely enslave the citizens and future generations.

“And taking interest-yielding loans is likely to enslave us and the generations to come. Most of the countries that are giving us loans are entrapping us like China. All the infrastructures we are using their loans to build are very sensitive and if they are to take over it Nigerians will suffer,” he added.

He advised the government to recover looted funds, which would be useful in funding infrastructure projects.

“What I believe that the government could have done is to recover looted funds and what the looters procured with the proceeds of their crime, that will go a long way in covering some of the infrastructural gaps that we are bridging with the loans,” he said.

dyangprof:
Abeg, also state the figures in words...for most us who can't quickly comprehend the stated figures

In words pls

Iyaebe:
I will always be truthful,deal with that

Iyaebe:
Good one,men will never be this kindhearted, they'll rather start sleeping with her than to adopt her as a daughter

JooEeL:
Imagine calling a whole people "Riverians"? People of rivers. They have no identity other than Riverians.

And it doesn't sound ridiculous to you?

When blacks begin to reason more properly and discover yourselves, that would be the first solution to their well-grounded problems.

Armed persons for several hours late Saturday attacked 15 communities in Gusau, the Zamfara State capital, killing at least seven people.

Residents said the attacks started from late on Saturday, Christmas Day, to the early hours of Sunday.

Apart from the people killed, at least 33 women were kidnapped by the armed bandits, the residents told BBC Hausa in interviews monitored by PREMIUM TIMES.

The villages attacked include Geba, Kura, Duma, Gana, Tsakuwa, Gidan Kada and Gidan Kaura.

The residents said most of the villages were deserted on Sunday evening for fear of more attacks with residents taking refuge in Damba Estate in the state capital.

“They took 10 women in Kura village. In Bayauri, we knew they took nine women including young ladies, while seven women were taken in Gana and went to Duma and abducted another seven in the early morning of yesterday Sunday,” one of the residents told BBC Hausa.

He added that those who escaped the attack in Kura said seven people were killed but they could not retrieve their corpses for proper burial.

A resident of Damba Quarters said: “They’re here in Damba with mostly women and children in the open. They’ve not found shelter but we at least make them safe here.

“No food, no decent clothing. I feel bad for them and the situation is terrible. It’s as if there is no government in this country,” the Damba Quarters resident said in the interview.

The Zamfara State Commissioner for Information, Ibrahim Dosara, confirmed the attacks but said security agents chased the bandits away from the villages.

“They were soldiers stationed in all the areas and they quickly went in when Geba community was being attacked. When the soldiers reached Geba, three residents have been wounded already but they save them and chased the bandits away,” he told BBC Hausa.

Mr Dosara denied that the 15 communities were not protected during the attacks.

The police have yet to react to the latest attacks.

The police spokesperson in Zamfara State, Mohammed Shehu, did not respond to calls and SMS sent to him by PREMIUM TIMES.

Zamfara is one of the states most affected by banditry in Northern Nigeria with terror groups attacking communities at will. Other states are Sokoto, Katsina, Kaduna and Niger.

Thousands of people have been killed or kidnapped this year by the bandits despite the heavy deployment of security operatives to the area.

Emergingnation1:
The rate at which people are killed in SW for ritualist is very alarming

Baawaa:
They are not wise

frozen70:
Pls advice her to go for ivf if she can afford it

At times too, she may not be the fault

Chairman of South East Governors’ Forum and Governor of Ebonyi State, David Umahi, at the weekend, appealed to the All Progressives Congress (APC) to support the geo-political zone to produce next president of the country in 2023.

Umahi assured that any Igbo man, who mounts the presidency would fix the problems of the country in four years and make the nation proud.

He said Igbo people love the nation and want to be part of its development and transformation contrary to the opinion being expressed in some quarters that the Igbo people were hellbent on breaking away from the country.

He said Igbo people were only passionate about taking their fair share of the opportunities available in the country, and not leave the country.

He spoke when he received Kebbi State Governor, Atiku Bagudu, and his Jigawa counterpart, Badaru Abubakar, who paid him a Christmas homage at his Umunaga Uburu countryhome.

He restated his love and belief in the unity and oneness of Nigeria, adding that he would continue to support President Muhammadu Buhari because he is a detribalised leader.

He thanked the visiting APC governors for taking good care of South East residents in their states, noting that their actions have shown their love and believe in one Nigeria.

“I have been to Jigawa State and these leaders you see here have continued to demonstrate that they love this country.

“You go to Kano, you go to Jigawa, you see how our people are being treated, if you see what these people have done for this country, you would doff your cap for them.

“I believe in the unity of this country, I believe in the oneness of this country and I have no apology for my love for Mr. President. When you go close to him, you will see a man that is detribalised.

“When I didn’t see the light in the party I belonged, the party I was the stabiliser, the spirit of God started talking to me and I went back to my father, Mr. President, went back to my brothers and I said this is the time.

“This is the place that all governors are equal, I want to thank them tonight, this relationship means well for this country, this relationship is the relationship that supports Mr. President, and I will ask Nigerians, let us de-emphasise party politics, it doesn’t do us any good.

“Ebonyi State is 100 percent APC and there is no going back, apart from my love for these two brothers, we have to reintegrate with the North for the unity of this country.

“The Igbo are hardworking, try them for four years, we are not going anywhere, we are part of this country and we have investments everywhere and we are very happy being Nigerians.”

Abubakar thanked Governor Umahi and Ebonyi people for the hospitality shown to them, and eulogised him for the massive infrastructural transformation in the state.

“It is with great pleasure for us to join you at the eve of Christmas for us to show our respect to our brother, Umahi.

“Umahi is a true brother in the progressives, on our way, we saw numerous projects and I started asking whether he is getting extra allocation.

“This your son is an asset to this Nation. On behalf of the progressive governors and the APC chairman who would have loved to be here but he missed his flight but he says his heart is with us, we thank you for the warm reception.

“We have seen your signature in every sphere, infrastructure, education and we want to say the progressive governors are happy with you, so we wish you a merry Christmas as we see a shining star in Ebonyi,” he said.

helinues:
The Imolites should just allow the politicians to settle their scores within themselves without getting involved.

Focus should be on next Imo Guber election cos na as how we dey manage Buhari to complete his 2nd term, so as Imolites go manage for Hope to complete his first term

helinues:
Something they Pdp didn't follow, why would they see the SC judgement coming .

When they could have addressed all the suits filed by Hope through media, hire competent lawyers and also follow the court cases by paying media to broadcast it live.

The Judges could have been careful with their judgement . You don't underate the power of media in such circumstances cos it would go worldwide

helinues:
This is one of the reasons why Pdp is a useless party. They neglected Ihedioha during the court cases.

Regarding Imolites, though they might not have seen the SC decision coming, but it should have been rejected through peaceful protest across the state. If the majority are saying NO through protest, FG and SC would have no option than to opt for reelection

DemMannaScam:
Okoro awusa is paying for his sins now
The supreme court miscreant will also pay for his sins too

Na turn by turn, no cap!

helinues:
But truth be told, Imolites should not have allowed that Supreme Court kangaroo judgement to stay.

That's broad day light robbery

NwokoloOwa:
God will do it. Mark today.