NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

Let me ask you a layman’s question: why are we looking at exchange rate? Are the governors spending or paying workers in dollars?

BabaAduras:


Let me ask you a layman’s question: why are looking at exchange rate? Are the governors spending or paying workers in dollars?

Same thing Tinubu said that has brought the country here, you forget that the workers use the same Naira to buy products imported with dollars, most contracts are executed with imported materials....

mrrandomguy:
Let us tell ourselves the truth, propaganda against Tinubu's government is a waste of time. The level of corruption in our states (and local governments) is beyond control.

People blame BAT but are not holding their state governors accountable. Many don't even know who the deputy governor of their state is, talkless of the local government chairman.

These people you call don't even do anything significant cos the state governors tell them what to do and most time they hold onto there allocation. What Nigerians are more concerned is the actual issues that bring hardship into the country.

arsenal33:
hold Tinubu responsible for giving your governor extra money. But ignore your governor for not using the money for the citizens of the state.

that is not what I asked you.

Why should Tinubu be left alone?

Why did he say he was removing subsidy which he said was too expensive only to start sharing billions to state governors?

Would it not have been better to keep the subsidy?

mrrandomguy:
Let us tell ourselves the truth, propaganda against Tinubu's government is a waste of time. The level of corruption in our states (and local governments) is beyond control.

People blame BAT but are not holding their state governors accountable. Many don't even know who the deputy governor of their state is, talkless of the local government chairman.

Sense will not finish u.
Governors are eating plenty money.


Let's ask ourselves: name 1 state in Nigeria that has improved aesthetically in the last 30 years; or 1 state that u can say that the inhabitants are well employed in the last 30 years; or has improved very well.


Remove abuja and Lagos and u begin to ask ur self what governors have been doing, dispensation to dispensation.

Look at Delta, benin, cross river, port Harcourt, ibadan, osun, zamfara, Bauchi.. Etc

Non!

Even akwaibom isn't where it's supposed to be today.

Them no get all citizens account details?

NairalandForumo:


Same thing Tinubu said that has brought the country here, you forget that the workers use the same Naira to buy products imported with dollars, most contracts are executed with imported materials....

We are not talking about workers spending power yet. Rephrasing my questions, why are the governors and the LGA chairperson not paying increased salaries and palatives after getting increased allocations? How does dollar exchange rate impact the payments they have to make in naira?

Pay the salaries and palatives, let any worker that is interested in any dollarized item worry about his/her buying power. Truth is governors and LGA chairpersons are not importers, why should their spends and payments by impacted by exchange rates?

These set of government levels are supposed to be most impactful on the masses, but they are the most corrupt. Funny enough, the masses are not holding them accountable.

Do you know your LGA chairperson? Have you ever asked what he/she did with allocations to the LGA? That is the closest government official to you, not BAT. Start your challenge from the LGAs, then move up to State Governors and then to the President.

I live and work in the US, the challenge of the government starts at the School PTAs and School District Councils, then to the Mayors/County Executives, then to the Governors, then to the President. Everyone at each level is held to strict level of accountability.

Until we focus the challenge at every levels of government, we will be kidding ourselves as nothing will change.

NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

Abeg get small sense na
Are the governors paying salary in dollars?.
If you like keep covering them up and continue to blame Tinubu for your infertile sperm. He's your president and u can't do nada about that.

NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

Let us look at it in another way:

1) Naira is the official medium of exchange in our country, Nigeria. So, using the dollar as a basis does not arise.
2) The governors could have increased the salaries of their civil servants, even by 10%, since they have been collecting increased monthly allocations.
3) The governors should be paying off their debts to local contractors, which would lead to increased money in circulation.
4) The governors should implement palliative interventions with full sincerity from the increased allocations.
5) The governors should allow the local government chairmen access to use their share of the allocation properly at the grassroots since LG chairmen are closest to the grassroots.

NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

quick question,
Why are you changing Nigeria budget to dollar? Why not change it to weaker currencies like Zimbabwean dollars?

Are governors paying salaries or contractors in dollars?

what you failed to realize is that devailation actually favors budget. Government expenditure is not in dollars but naira.

And if they are going to pay a contractor that demands 1 billion naira for a job when dollar was 100 naira, they are still going to pay that contractor same amount when dollar is 200 naira.

Unless there is some sort of negotiation.

Same thing with salaries.

lexy2014:


that is not what I asked you.

Why should Tinubu be left alone?

Why did he say he was removing subsidy which he said was too expensive only to start sharing billions to state governors?

Would it not have been better to keep the subsidy?

I have just told you not to leave tinubu alone. Hold him responsible for giving your governor extra money that he us entitled to receive on behalf of the citizens. Make you no hold your governor, dey there dey form ignorance

mrrandomguy:
Let us tell ourselves the truth, propaganda against Tinubu's government is a waste of time. The level of corruption in our states (and local governments) is beyond control.

People blame BAT but are not holding their state governors accountable. Many don't even know who the deputy governor of their state is, talkless of the local government chairman.

Alot of Nigerians are educated illiterates, they will attack your post as usual and call you Tinubu supporter.

Only in Nigeria you will see a so called educated person blaming president but neglected the ones assigned to take development closer to him. State government are the reason Nigeria is not moving forward, they are not but mere waste of resources.

End state government and deal directly with our 774 local governments or simply share the country into six geo- political zones.

#Endstategovernment#

BabaAduras:

We are not talking about workers spending power yet. Rephrasing my questions, why are the governors and the LGA chairperson not paying increased salaries and palatives after getting increased allocations? How does dollar exchange rate impact the payments they have to make in naira?

Pay the salaries and palatives, let any worker that is interested in any dollarized item worry about his/her buying power. Truth is governors and LGA chairpersons are not importers, why should their spends and payments by impacted by exchange rates?

These set of government levels are supposed to be most impactful on the masses, but they are the most corrupt. Funny enough, the masses are not holding them accountable.

Do you know your LGA chairperson? Have you ever asked what he/she did with allocations to the LGA? That is the closest government official to you, not BAT. Start your challenge from the LGAs, then move up to State Governors and then to the President.

I live and work in the US, the challenge of the government starts at the School PTAs and School District Councils, then to the Mayors?County Executives, then to the Governors, then to the President. Everyone at each level is held to strict level of accountability.

Until we focus the challenge at every levels of government, we will be kidding ourselves as nothing will change.

I love your contribution except local governments part. I don't want to believe that you believes local governments is still functioning as it should in Nigeria?

99% of local governments administrators are puppets in the hands of governors. About 70% of them are just care takers collecting only salary from state governors. The situation is so bad that we don't even know if local governments exist or not.

I was very much alive when local governments were still functioning well, everyone know the chairman, including all councillors within their community. We had direct access to them as all of them can be seeing moving around like ordinary citizen. Street roads, widows, primary health care, elementary schools, street light, tractors and free fertiliser for farmers were well provided by local governments.

Infact, whenever I remember this, I weep for Nigeria.

nairalandkachy1:


https://leadership.ng/n5-108trn-in-8-months-hardship-unabated-in-states-despite-huge-allocations/?fbclid=IwAR2vNXbV9X6bPKwXqGXWmpXV1shS5iXluWvksnlysCUuxMkg8aS6TbNTg3c

Hmnnn...Wickedness, Akeredolu's death still did not teach them any lesson.

arsenal33:
I have just told you not to leave tinubu alone. Hold him responsible for giving your governor extra money that he us entitled to receive on behalf of the citizens. Make you no hold your governor, dey there dey form ignorance

that is not what I asked you.

1. Why should Tinubu be left alone?

2. Why did he say he was removing subsidy which he said was too expensive only to start sharing billions to state governors?

3. Would it not have been better to keep the subsidy?

NinjaMetahuman:
quick question,
Why are you changing Nigeria budget to dollar? Why not change it to weaker currencies like Zimbabwean dollars?

Are governors paying salaries or contractors in dollars?

what you failed to realize is that devailation actually favors budget. Government expenditure is not in dollars but naira.

And if they are going to pay a contractor that demands 1 billion naira for a job when dollar was 100 naira, they are still going to pay that contractor same amount when dollar is 200 naira.

Unless there is some sort of negotiation.

Same thing with salaries.

You got almost everything wrong, the same way Tinubu is getting it wrong, till people like you and Tinubu begin to see a country running as a business entity that is running, you guys might keep missing it....

I would have explained a whole lot of things here, but I will just say the major problem here is the purchasing power of the naira....

You might not still get it but what you should ask your self is why businesses are closing down even when most or them don't import anything or pay any salaries in dollars, that should give you a hint....

The truth is if Tinubu does not increase the state budgets, some state governors might have to join the protest going on because they might not be able to meet up with any reasonable thing in the state after paying salaries...

Tripodent:


Let us look at it in another way:

1) Naira is the official medium of exchange in our country, Nigeria. So, using the dollar as a basis does not arise.
2) The governors could have increased the salaries of their civil servants, even by 10%, since they have been collecting increased monthly allocations.
3) The governors should be paying off their debts to local contractors, which would lead to increased money in circulation.
4) The governors should implement palliative interventions with full sincerity from the increased allocations.
5) The governors should allow the local government chairmen access to use their share of the allocation properly at the grassroots since LG chairmen are closest to the grassroots.

You got almost everything wrong, the same way Tinubu is getting it wrong, till people like you and Tinubu begin to see a country running as a business entity that is running, you guys might keep missing it....

I would have explained a whole lot of things here, but I will just say the major problem here is the purchasing power of the naira....

You might not still get it but what you should ask your self is why businesses are closing down even when most or them don't import anything or pay any salaries in dollars, that should give you a hint....

The truth is if Tinubu does not increase the state budgets, some state governors might have to join the protest going on because they might not be able to meet up with any reasonable thing in the state after paying salaries...

Bahdguyishere:

Abeg get small sense na
Are the governors paying salary in dollars?.
If you like keep covering them up and continue to blame Tinubu for your infertile sperm. He's your president and u can't do nada about that.

Oga this is not about politics...

You got almost everything wrong, the same way Tinubu is getting it wrong, till people like you and Tinubu begin to see a country running as a business entity that is running, you guys might keep missing it....

I would have explained a whole lot of things here, but I will just say the major problem here is the purchasing power of the naira....

You might not still get it but what you should ask your self is why businesses are closing down even when most or them don't import anything or pay any salaries in dollars, that should give you a hint....

The truth is if Tinubu does not increase the state budgets, some state governors might have to join the protest going on because they might not be able to meet up with any reasonable thing in the state after paying salaries...

BabaAduras:

We are not talking about workers spending power yet. Rephrasing my questions, why are the governors and the LGA chairperson not paying increased salaries and palatives after getting increased allocations? How does dollar exchange rate impact the payments they have to make in naira?

Pay the salaries and palatives, let any worker that is interested in any dollarized item worry about his/her buying power. Truth is governors and LGA chairpersons are not importers, why should their spends and payments by impacted by exchange rates?

These set of government levels are supposed to be most impactful on the masses, but they are the most corrupt. Funny enough, the masses are not holding them accountable.

Do you know your LGA chairperson? Have you ever asked what he/she did with allocations to the LGA? That is the closest government official to you, not BAT. Start your challenge from the LGAs, then move up to State Governors and then to the President.

I live and work in the US, the challenge of the government starts at the School PTAs and School District Councils, then to the Mayors?County Executives, then to the Governors, then to the President. Everyone at each level is held to strict level of accountability.

Until we focus the challenge at every levels of government, we will be kidding ourselves as nothing will change.

You got almost everything wrong, the same way Tinubu is getting it wrong, till people like you and Tinubu begin to see a country running as a business entity that is running, you guys might keep missing it....

I would have explained a whole lot of things here, but I will just say the major problem here is the purchasing power of the naira....

You might not still get it but what you should ask your self is why businesses are closing down even when most or them don't import anything or pay any salaries in dollars, that should give you a hint....

The truth is if Tinubu does not increase the state budgets, some state governors might have to join the protest going on because they might not be able to meet up with any reasonable thing in the state after paying salaries...

mrrandomguy:
Let us tell ourselves the truth, propaganda against Tinubu's government is a waste of time. The level of corruption in our states (and local governments) is beyond control.

People blame BAT but are not holding their state governors accountable. Many don't even know who the deputy governor of their state is, talkless of the local government chairman.

olaolulazio:
Hold your governors responsible and leave Tinubu alone

This is the same way y'all blamed Jonathan for everything, it's now your kinsman's turn and you want to exonerate him, abi?

yemmit90:


I love your contribution except local governments part. I don't want to believe that you believes local governments is still functioning as it should in Nigeria?

99% of local governments administrators are puppets in the hands of governors. About 70% of them are just care takers collecting only salary from state governors. The situation is so bad that we don't even know if local governments exist or not.

I was very much alive when local governments were still functioning well, everyone know the chairman, including all councillors within their community. We had direct access to them as all of them can be seeing moving around like ordinary citizen. Street roads, widows, primary health care, elementary schools, street light, tractors and free fertiliser for farmers were well provided by local governments.

Infact, whenever I remember this, I weep for Nigeria.

I totally agree with you that almost all LGA Chairpersons are puppets of the governors, but they are puppets that are totally corrupt. They accepted the control by the governors because they are only interested in their pockets/stomachs.

When we start questioning them and stoning them for doing nothing, they will think twice before accepting such toothless positions.

NairalandForumo:


You got almost everything wrong, the same way Tinubu is getting it wrong, till people like you and Tinubu begin to see a country running as a business entity that is running, you guys might keep missing it....

I would have explained a whole lot of things here, but I will just say the major problem here is the purchasing power of the naira....

You might not still get it but what you should ask your self is why businesses are closing down even when most or them don't import anything or pay any salaries in dollars, that should give you a hint....

The truth is if Tinubu does not increase the state budgets, some state governors might have to join the protest going on because they might not be able to meet up with any reasonable thing in the state after paying salaries...

I got it wrong, instead of telling me how It wrong, he went on rambling about tinubu.

Wrote 5000 words without countering anything I said.

lexy2014:


that is not what I asked you.

1. Why should Tinubu be left alone?

2. Why did he say he was removing subsidy which he said was too expensive only to start sharing billions to state governors?

3. Would it not have been better to keep the subsidy?

you just stubbonly refuse to get it.

arsenal33:
you just stubbonly refuse to get it.

you stubbornly refused to answer the simple questions.

1. Why should Tinubu be left alone?

2. Why did he say he was removing subsidy which he said was too expensive only to start sharing billions to state governors?

3. Would it not have been better to keep the subsidy?

NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

Allocations received by the States have increased by 60% but their wage bills have not increased ,in fact some States are still not paying 30,000 minimum wage, so where is the money going to sir?

Do you know what #20 Billion can do in the economy of Abia, Taraba, Osun or Jigawa States?

NairalandForumo:


You got almost everything wrong, the same way Tinubu is getting it wrong, till people like you and Tinubu begin to see a country running as a business entity that is running, you guys might keep missing it....

I would have explained a whole lot of things here, but I will just say the major problem here is the purchasing power of the naira....

You might not still get it but what you should ask your self is why businesses are closing down even when most or them don't import anything or pay any salaries in dollars, that should give you a hint....

The truth is if Tinubu does not increase the state budgets, some state governors might have to join the protest going on because they might not be able to meet up with any reasonable thing in the state after paying salaries...

Again, the fact that purchasing power is diminished/eroded is without contestations. The point your missing is the fact that prompt payment of salaries and contractors, increasing salaries and payment of palliatives will cushion some of the effects of the eroded purchasing power.

For a fact, some businesses will not close down if there is liquidity in the country. A situation where a few (governors in this case) are stealing and owing workers and contractors as we have is most potent killer of businesses and economy.

True, things are more expensive (the dollar impact), increasing workers salaries and cushioning with palliatives (as directed and implied by increased allocations), would have helped workers purchasing power.

During the recent fuel and items price hikes in the US, though salaries were not increased to avoid uncontrolled inflation, governments paid palliatives in form of tax reliefs and some companies and government entities just unilaterally made some one-time-payments to their workers. My company just paid everybody at all levels $5k as fuel subsidy. That was just to cushion the diminished purchasing power.

If we have responsive and responsible governors that are getting increased federal allocations, why would they need NLC-TUC or you and I to tell them the purchasing power of workers is eroded and that they need to divert some the increased allocations to help worker and contractors. That is why I said we start the challenge from the bottom.

I have a friend who got a contract from Ogun state government. He went to bank to borrow money to start the project believing he will get the mobilization fund to progress and complete the project. He has not been paid the mobilization fee, he could not progress the project, price of items and labor are on the increase and the interest is running on the loan he borrowed from the bank. Yet Ogun State government that is getting increased federal allocations refused to pay mobilization fee talk less of paying for the Value of Work Done. That is what is killing businesses my friend. It has nothing to do with dollars and very little to do with purchasing power.

The question of State governors not been able to do anything after paying salaries is best answered by asking the following questions:

1. Did the workforce increased after the increased allocation? The answer for that is NO. I have not read of any state government doing any massive recruitment.
2. Have they increased workers salaries? Again the answer is NO.
3. How were the governors paying the workers (that has not changed significantly) before the allocation increase?
4. What have they been spending the increased fund on?

We need to start asking hard questions of everyone at ALL the levels of government not just focusing on the presidency. That is my point.

kniks:
This s wickedness

And them say make people no protest, unchecked leadership.

NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

Nope, not entirely true.

Not all projects needs dollar for execution.

This your formula will work for CAPEX that requires import.

oyatz:


Allocations received by the States have increased by 60% but their wage bills have not increased ,in fact some States are still not paying 30,000 minimum wage, so where is the money going to sir?

Do you know what #20 Billion can do in the economy of Abia, Taraba, Osun or Jigawa States?

My brother, that's solid money.

NairalandForumo:
The increase in allocation doesn't really change much, I know some people will want to argue, but look at it like this, Nigeria placed a budget about 28trillion when the dollar was about 800naira.

Today the dollar is 1600, that means the value of that 28 trillion is half, what it means is that Nigeria might need 56 trillion naira to do what the 28 trillion could do at the time of the budget, then when you also add their normal corruption to it what will be left, so increase in state budget might not change much especially when the rate of inflation is faster than the increased allocations....

please educate them. They want to shift the blame from Tinubu. Was it not the same Tinubu who told GEJ not to blame the governors that once the head of the fish is bad it affects the body?

Naira was devalued by more than 100% while the state's allocation was increased by about 30%.
How effective was such an allocation increase?

This is not a defense of the governors, even if we agree that the governors are all thieves.

mrrandomguy:
Let us tell ourselves the truth, propaganda against Tinubu's government is a waste of time. The level of corruption in our states (and local governments) is beyond control.

People blame BAT but are not holding their state governors accountable. Many don't even know who the deputy governor of their state is, talkless of the local government chairman.

Truely said

Yusufisraelj:


Nope, not entirely true.

Not all projects needs dollar for execution.

This your formula will work for CAPEX that requires import.

You won't understand...