₦airaland Forum

aribisala0: Lagos state borrowed 80 billion at the same interest rate Last Month. Difference Lagos generates 80 billion in 3 months. It will take Osun 3 years to generate 20 billion. While I believe the interest rate is high for Lagos it is a small debt for Lagos. What Osun has done is the equivalent of Lagos borrowing 1 trillion naira at 14.5 % . If Lagos does that will there not be an uproar

your analogy somehow fails on error of omission or commision. You have painted Osun State revenue stream as if it is only from IGR, they still rely heavily on FG's allocation. the total revenue of osun state as much as i know monthly is close to 4 billion monthly (roughly 20 % of it from IGR).

The difference between Lagos State and Osun state is that one is viable, the other is technically not, without FG allocation, that is the sad reality. As such steps must be taken to change the situation, this i think is what the state govt wants to do.

aribisala0: NO we are not communicating I did not say I did not know an optimal rate and you did not ask the optimal rate at which Osun should have obtained the bond. Maybe that is what you meant to say but certainly not what you said. I said I don't know to your question on what 22 billion would be worth in 7 years.

I said and have been saying all along it should NOT have obtained the bond.

That is my view. Firstly how much does Osun state owe right now after all Oyinlola's shenanigans.

I really do not see where you are going with this line of discussion .
Let us not ignore the forest to focus on firewood.

Ok, you have still not mentioned, what you think the optimal rate should be . i would be glad if you can give a range and possibly benchmarks.

you understand the time value of money , i am sure .

22 billion of today will have a value way way less than that in 7 years from now almost certainly.
i.e a project you will spend 22 billion to achieve now, might cost you thrice as much in 7 years (66 billion) if not more.

i think the important point is that the money is rightly invested in worthwhile ventures, failure to do that is catastrophic.

If the investments in the projects will help in boosting the IGR to enviable heights and possibly to the point where they can be viable as a state, independent of FG's allocation, then why not go for the bond offer ?

i asked earlier, what is the "optimal rate or commendable rate " that Osun state should have obtained the bond ? which i believe you said you dont know, then how do you know the 14.75% rate is condemnable?

aribisala0: No one knows and that is part of the risk IN ANY COUNTRY not just Nigeria. The markets are right to think about that. But we are thinking about the perspective of the state . I.e. is it good for Osun State.

Where will that Principal come from?? Osun is generating 500 million a month . Where will 22 billion come from in 7 years?.

They will reschedule the loan and service it for ever and that is why we are raising questions.

If don't have an idea of the "commendable rate", then how do you have an idea of the "condemnable rate" ?

aribisala0: 14.5% interest rate is not the sign of confidence.On the contrary it reflects the exact opposite. There are long term(30 year funds) on the market They are not just accessible to debtors with weak or bad credit and that is why Osun State cannot access those funds.

What this exposes,in fairness to Osun, is most Nigerian State governments are not viable financially.
Nothing political here and this is not really Aregbesola's fault but borrowing the UNPAYABLE is NOT the way to go.


A stare that raises less than 15 billion a year in IGR borrows more than its annual IGR at 14.5 which means servicing THIS debt with 20% of IGR . PLus there are OTHER DEBTS from OYINLOLA and also taken by him. We must ask can they ever pay the Capital

Imagine a man borrowing twice his annual income at 14.5% .

I don't think the State IGR will remain stagnant over the years, as long as there is a steady commitment by the state government to raise the IGR, possibly geometrically . I am aware the state IGR has doubled from what it use to be.

For those against the bond offer rate.

What then is the "commendable rate" for a fixed development bond of 7 years ? 2% , 5% , 10% or .....?

Do you understand the time value of money , especially in a country like Nigeria ?

From my understanding the principal amount will only be matured for payment in 7 years?

Will N22 billion of today in Nigeria has the same value of N22 billion in 7 years from now ?

This is not a commercial loan, it is a bond !

anonimi: For someone who is keen to celebrate mediocre awards to thieving governors:

https://www.nairaland.com/1085017/ogun-state-governor-amosun-emerges

https://www.nairaland.com/1065854/governors-forum-greets-acn-governor#12430410


I guess I should know where you are coming from and what you are all about.
Enjoy the crumbs from your paymasters while the [size=14pt]Yoruba people get r.aped by these pseudo-progressive "saviours".[/size]

BTW, how much did Awolowo raise from the capital market or borrow from banks for the groundbreaking achievements during his administration over the entire Western region
How much did the UPN governors borrow as debt to saddle future, unborn generations in the Southwest & old Bendel state to deliver on the four cardinal programmes of their party that included

* FREE education with books
* FREE primary health


[size=15pt]Association of Conmen in Nigeria (ACN)[/size]

What is the difference between six and half a dozen

Your nuisance value is legendary, Face this discussion if you can OR go to helll!

anonimi: Your question is partly answered by the quote below from one of Gbawe's justification posts:



* Now does anyone know how many kilometres for these TWO roads?
* Are they to be constructed afresh from forests?
* Or are they to be renovated/rehabilitated/renovated?
* N22b just for rural state roads that already exist
* Aregberascal must have learnt something from the "excellent" Lagos governor who handed over Lekki government road to his godfather, Tinubu to collect fraudulent tools and used mobile policement to quell activists who protested!!!

[size=14pt]Association of Conmen in Nigeria (ACN)[/size]

Again, what is the difference between six and half a dozen

Do you actually think you are making sense? How did you conclude that 22billion is meant for two roads?

That you are physically lazy to read or intellectually lazy to comprehend does not mean you expose yourself openly.

Commissioner for Finance, Economic Planning and Budget, Dr. Wale Bolorunduro, who disclosed this during an interaction with Business Editors at Osogbo, the state capital, said the process has reached regulatory level at the Securities and Exchange Commission (SEC).

According to him, the bond with seven years long term payment would be utilised to fund developmental projects like roads, housing, water and agriculture.

Bolorunduro listed the Gbogan-Osogbo, Osogbo-Iwo roads among those to be given priority by the government after accessing the bond.

If you will criticize, make it constructive, that way it will elevates the discussion, not the rubbishh you have done

@OP, you have passed a greater message from your road trip than all the other road trip threads i have seen on this site.

God will make you his divine treasure.

But this man could not win the gubernatorial election conducted in his state this year ?

He came a distant third or fourth in the 2012 governorship bye election in Adamawa State.

I think your permutation is faulty.

Sick people in the hospital need to be told "GET WELL SOON", but coffins near them implicitly says "DIE SOON"

iv4fb: confirmed removed in many banks. in as much as it looks like a good innovation, i see traps. If i'm a bank, why should i maintain my atms since i make nothing out of them?

Can you please keep the negativity you imagine for now, we will cross that bridge, whenif we get there.

Osun State Governor, Rauf Aregbesola, has linked the wave of terrorism in the country to the manipulative tendency of the political class.

Aregbesola stated this in Osogbo on Monday during the inauguration of a N100m micro-credit scheme initiated by Senator Sola Adeyeye, who represents Osun-Central senatorial district in the Senate.

The governor said, “What we are doing is providing economic empowerment for our people on equal basis without regard to religion, ideology, ethnicity, social status and party affiliation.

“In some other parties, they bring money and gifts acquired from questionable sources to their party secretariat and start sharing to the members.

“Once the largesse is exhausted, the members are back, asking for more. When the gifts cease, the members become freelance terrorists, holding the nation and the rest of us to ransom.

“In our own case, what we are providing for the people is the capacity to be self-sufficient through hard work. This is the Omoluabi ethos that makes hard work the gateway to wealth creation.”

He added that the actions of some elected politicians negated the reason why they were elected, stressing that the electorate should be rewarded with service by public officials.

Noting that some elected officials serve their own interests while the masses suffer, Aregbesola said the interest of the electorate should be the preoccupation of the political class.

The governor added that the scheme was initiated to empower the youth and the unemployed in the senatorial district.

He said, “With this micro-credit gesture, Senator Adeyeye will be building on the great effort of the Action Congress of Nigeria in the state.”

Aregbesola stated that the scheme was reminiscent of Osun Youth Empowerment Scheme established by his administration to employ 20, 000 youths.

In his remark, Adeyeye expressed happiness over the support given to the scheme by the state government.

He said the loan would be distributed on equitable basis across all 116 wards in the Osun-Central senatorial district.

The Senator said, “The minimum credit per person is N25,000 while the maxim amount has yet to be determined. The idea of the micro-credit scheme is to lessen the hardship involved in getting loans from banks.”

http://www.punchng.com/news/politicians-encouraging-terrorism-aregbesola/

berem: abeg make them sack more jare! their own don too much.those indisciplined agberos need to be flushed out and let cool headed people be employed.but eh,why are there more of southwesterners in LASTMA?

Because LASTMA is an acronym for LAGOS STATE traffic management authority. Lagos State is a south-western state ! Chikena !!!

@ OP, what happens to competitive edge or advantage ? State A's Strength is State B's Weakness.

That integration evokes the power of synergy where 1+1 = 3. Without the integration, your 1 + 1 will always be equal to 2. All States in the South west have their area of strength, and must harness them, for those areas where they are weak, they look up to other states within the integration ring. The DAWN documents prepared for all the South West states address some of this concerns.

r231: what is your email address please

I wont drop that here !, check the mail again now, i am sending it the 3rd time.

r231: please email nairalandcharity@gmail.com

How come i get no response after sending e-mail to that address ? i have sent e-mail twice now, but no response. Please drop the account details here.

UNITARY SYSTEM OF GOVERNMENT

Ikengawo: I think this is the end result of the SW trying to become a 1 party state.
Nigeria is still the land of paddi paddi, and rivals are enemies here.
If that 1 party you have invested in isn't the party in power, power is against you. The SW really doesn't have a voice in high power it seems because the last election showed elections can be won without them. I think it's sad and don't condone this but that's the fact.

Back your fact with figures or else it will simply be shittty talk.

South west - 58 % of total votes to Jonathan

South South - 95 % of total votes to jonathan

South east - 97 % of total votes to jonathan

North West - 32% of total votes to jonathan

North east - 37 % of total votes to jonathan

North central - 62%

BTW, Does it really matter, those highly placed SWesterners in time past, how much of their influence have they brought to bear in solving the Sw regions pressing problems ? Those Afenifere leaders are on their own.

Ishilove: Raise stick and smash! The target gives a mighty "KWAAAAAA!" and drops dead. Stuff carcass into a basket, fling the murder weapon into the forest and sneak back to your room, where a pot is already on the boil.

You stuff carcass in a basket , blood drips from the basket as you hurry to your room.

*blood trail is then traced to the front of your room * You are then summoned by the village priest to swear in okija shrine to not stealing chicken!!!

I still want to believe it is not true

Whatever his failings in his private life as a Governor ,he doesn't deserve to die.

I sincerely pray he comes back to his position healthy.

ahf: Let's see how it plays out.

The banks with poor ATM service would get poorer

The banks with good ATM service would become poor, cos it no longer brings them the benefit of charging "other
banks customers", time would tell. Let's see what the regulators would do to address this.

The only urge for banks is to make "their own customers" by all means use their own ATM, because in that case,
probably no cost would be borne by anyone.(bank inclusive)

Why are you too concerned about the banks getting poor or poorer ? Do you own a bank?

What is important is you can use your ATM card at any bank at no charge! Kapish!!

ahf: Please kindly explain

It simply means you can use your ATM card at whatever bank, and you wont be charged a penny.

Unlike before, if you use your ATM card at any other bank apart from your operating bank, you will be charged N100.

ahf: I cant understand this policy.

Most people have learnt to use their banks ATM and only to use other banks at last resort.

I don't know why they tinkering with the policy.

Why are you so afraid of change? Change doesn't bite. Embrace it.

This is more value at no cost.

Abagworo: I seem to disagree with Rochas on this one. It is one of the dangers of populist government. These contractors could be made enemies of the people by this publications. I don't know if there's any law against this act. I can just call the contractor handling my village roads and threaten him.

Your Logic is so weak, Have you heard the word "transparency" & " accountability"

Ogun State seems to be attracting heavy investment in the industrial sector in recent times, i hope the trend continues.

Great news!

The last i heard, the awardees were paid 10% and placed on "voice mail" several months thereafter.

I think it is a shittty programme, 1,200 awardees from over tens of millions un-employed and ready to-be entepreneurs in the country. It is at best, a state government programme. The Federal Government is paying lip service and window dressing the issue of un-employment in the country, it is a ticking time bomb waiting to explode. The revolution no go get PART 2.

mtseeeew !

Gani Fawehinmi & Wole Soyinka

He was declared wanted since june 2011, as his whereabouts was a mystery, even though he sometimes speaks to the press from destinations unknown to the police. one of the PDP oyo state chapter relics