₦airaland Forum

speedyGonzales:
I don't see any evidence of your claim... especially since the TSA has not really been around that long and we do not have anybody with real economic understanding in the current administration yet!

what is the annual budget of these MDAs including NNPC and her likes?

Even wailers can't doubt the transparency of this government.

nwanna89:
If budget is 8 trillion, govt should try to spend more on capital projects. Lot of decay in infrastructure esp roads. Also i noticed Osinbajo seems to have been put in charge of economic affairs. While he is a well-read man, he is lawyer and is not an expert in that area. So i hope Buhari has plans to put one of the more qualified ministerial nominees in charge of drawing up a budget.

Maybe with 8 trillion naira budget, FG really does have plans to pay 5k and feed school kids

By virtue of the Third Schedule Part I (g) of the Constitution, the Vice President is the Chairman of the National Economic Council.

Flets:
This government should be reminded that elections are over. Enough of these noises as reality have set in already.

Lets do some simple mathematics.
Nigeria's total crude production currently hovers at 2M barrel per day, but I will assume 2.5M barrel for sake of optimism
Crude oil sells at slightly above $40/ barrel but I will assume $45/ barrel
Most JV agreements with Oil corporations stands at an average of 60% for Nigerian govt.
Cost of production of oil for most companies stand at almost 50% but I will assume 30% (optimist case) and then 70% profit
Only about 52% of total earnings goes to the FG, the remaining goes to state allocations and host state derivation
Assuming an exchange rate 200 naira per dollar and 365 days a year

Federal Government can make approximately 1.8 trillion naira from crude sales for 2016 optimally. Details below
so 2.5Million x $45 x 60% x 70% x 52% x 200 x 365 = 1.8 Trillion Naira

Historically, crude has formed about 70% of our budgets.... following same logic, total budget can only be 2.6 trillion Naira (1.8Trillion/ 70%)

Even if we increase taxes, collapse all tax and duty exemptions and without any diversification efforts by the current government, we will be lucky to add another 1trillion the 2.6 trillion to make it a maximum of 3.6 trillion.

So realistically speaking, 8 trillion FG budget is impossible for 2016. Propagandically speaking, APC govt have said it and they believe their zombies will believe it.

clap for ur craps, so u believe in what ur clueless corrupt ogogoro hero told u, did u put into ur calculation d 2.6t paid to subsidy thieves, u one madueke and co steal and d missing $20b unremitted to federal acc? With less corruption and blocking of every loopholes, 8tr is achievable

Jesusloveyou:
clap for ur craps, so u believe in what ur clueless corrupt ogogoro hero told u, did u put into ur calculation d 2.6t paid to subsidy thieves, u one madueke and co steal and d missing $20b unremitted to federal acc? With less corruption and blocking of every loopholes, 8tr is achievable

honestly i tot u r a pastor... y d insult na ?

Flets:
This government should be reminded that elections are over. Enough of these noises as reality have set in already.

Lets do some simple mathematics.
Nigeria's total crude production currently hovers at 2M barrel per day, but I will assume 2.5M barrel for sake of optimism
Crude oil sells at slightly above $40/ barrel but I will assume $45/ barrel
Most JV agreements with Oil corporations stands at an average of 60% for Nigerian govt.
Cost of production of oil for most companies stand at almost 50% but I will assume 30% (optimist case) and then 70% profit
Only about 52% of total earnings goes to the FG, the remaining goes to state allocations and host state derivation
Assuming an exchange rate 200 naira per dollar and 365 days a year

Federal Government can make approximately 1.8 trillion naira from crude sales for 2016 optimally. Details below
so 2.5Million x $45 x 60% x 70% x 52% x 200 x 365 = 1.8 Trillion Naira

Historically, crude has formed about 70% of our budgets.... following same logic, total budget can only be 2.6 trillion Naira (1.8Trillion/ 70%)

Even if we increase taxes, collapse all tax and duty exemptions and without any diversification efforts by the current government, we will be lucky to add another 1trillion the 2.6 trillion to make it a maximum of 3.6 trillion.

So realistically speaking, 8 trillion FG budget is impossible for 2016. Propagandically speaking, APC govt have said it and they believe their zombies will believe it.

You underestimate revenues from FIRS, NPA, Customs, Immigration, , those 4 agencies alone can easily rake in nothing less than 6 thrillion/annum. Put in mind that FG makes over 9 thrillion Naira in the yesteryears as total revenue, from which it keeps 52%, over 4.5 thrillion .
Customs in 2015 had a target of 944 billion naira, if loopholes are plugged, it will easily make over 1 thrillion naira in 2016, Single treasury account will also plug loopholes with many FG agencies.

chinchum:
You underestimate revenues from FIRS, NPA, Customs, Immigration, , those 4 agencies alone can easily rake in nothing less than 6 thrillion/annum. Put in mind that FG makes over 9 thrillion Naira in the yesteryears as total revenue, from which it keeps 52%, over 4.5 thrillion .
Customs in 2015 had a target of 944 billion naira, if loopholes are plugged, it will easily make over 1 thrillion naira in 2016, Single treasury account will also plug loopholes with many FG agencies.

I don't do hearsay... put the numbers down. Crude drives 70% of our budget, the remaining 30% is where those IGRs come in.

Forget about loopholes, you cant plug loopholes for non-existent funds.

orontogorah:
honestly i tot u r a pastor... y d insult na ?

dis saTANist just want us to think d way they think, want d economy to ruin, d way their clueless corrupt ogogoro hero ruin d economy, they are so pathetic, i can't stay with dis mentally deranged saTANist people like dis, they always make fools of themselves

Flets:
I don't do hearsay... put the numbers down. Crude drives 70% of our budget, the remaining 30% is where those IGRs come in.

Forget about loopholes, you cant plug loopholes for non-existent funds.

that shouldn't be ur concern, don't think because ur clueless corrupt ogogoro hero failed us, dis one with sincere heart by curbing corruption and blocking all loopholes wil also fail us, if our leaders are sincere with us, our problem wil be half solve

Flets:
I don't do hearsay... put the numbers down. Crude drives 70% of our budget, the remaining 30% is where those IGRs come in.

Forget about loopholes, you cant plug loopholes for non-existent funds.

The emboldened is your fallacy, it is NOT CAST IN STONE that crude must drive 70% of our budget.

Our Revenue Will Double with RIMS Introduction, Says NPA Boss

11 Sep 2015 http://www.thisdaylive.com/articles/our-revenue-will-double-with-rims-introduction-says-npa-boss/219917/

The Managing Director of Nigerian Ports Authority (NPA), Habib Abdullahi has said revenue generated revenue is set to double in the months ahead following the introduction of “Integrated Revenue Invoicing Management System (RIMS)” by the Authority.

RIMS, was launched week at an impressive ceremony, which attracted several stakeholders in the maritime industry.

The NPA boss said the introduction of RIMS was aimed at addressing the rot in the ports operations and blocking revenue leakages in the system.

Abdullahi told THISDAY in Lagos that apart from blocking the revenue leakages, going by the agency’s projections, its generated revenue would double in 2016 .

According to him, this would not only boost the nation's economy but would meet financial expectations of the federal government in the months ahead.

NNPC + NLNG + NPA+ NCS +NIMASA +FIRS +CBN are the top revenue generating agencies and you will be surprised how much can be made from each of them.

[size=16pt]FIRS Generates N4.69tn Revenue in 2014[/size]

The Federal Inland Revenue Service (FIRS) said on Thursday that it generated N4.69 trillion from taxes for the federal government in 2014.

FIRS said in its Quarterly Revenue Report issued in Abuja that the figure surpassed its target for the year by about N400 billion. The report showed that the 2014 revenue was about N106 billion less than that of 2013, which stood at N4.80 trillion.

According to the News Agency of Nigeria (NAN), the revenue was derived from petroleum profit and non-oil taxes, including income tax, gas income, capital gain tax, stamp duty and Value Added Tax (VAT).

The report also indicated that N2.45 trillion, representing 52.96 per cent, was collected from petroleum profit tax while N2.24 trillion, representing 47.04 per cent, was collected from non-oil taxes during the period.

A breakdown of the total collection showed that company income tax contributed N1.18 trillion; N10.83 billion from gas income; N2.59 billion from capital gain tax and N10.94 billion from stamp duty.

The VAT, comprising Nigeria Customs Service Import VAT and Non-Import VAT, according to the period, contributed N802.95 billion of the total non-oil taxes collection during the period.

The report also said that other non-oil taxes collected were Education Tax, N189.61 billion; N53.28 billion from Consolidated Account and N9.91 billion from National Information Technology Development Fund (NITDEF) levy.

The report further showed that N1.05 trillion was collected in the first quarter while N1.45 trillion was collected in the second quarter. It also indicated that N1.19 trillion was collected in the third quarter and N1 trillion was collected in the fourth quarter.

OrlandoOwoh:
By virtue of the Third Schedule Part I (g) of the Constitution, the Vice President is the Chairman of the National Economic Council.

Besides that, according to the constitution, The portfolio of the coordinator of the economy is specifically reserved for the Vice-president alone and no one else. This is what most people don't know. Okonjo Iweala was never supposed to hold that position. But, then again, under a GEJ led government, everything was upsidedown.

dustmalik:
Besides that, according to the constitution, The portfolio of the coordinator of the economy is specifically reserved for the Vice-president alone and no one else. This is what most people don't know. Okonjo Iweala was never supposed to hold that position. But, then again, under a GEJ led government, everything was upsidedown.

I wonder the type of VP Namadi Sambo was.

Flets:
I don't do hearsay... put the numbers down. Crude drives 70% of our budget, the remaining 30% is where those IGRs come in.

Forget about loopholes, you cant plug loopholes for non-existent funds.

These re the informations you re now privy to know courtsey of Buhari's transparency election promise. Our non oil sectors have been a drain pipes for years.

bigtt76:
That means more tax and less tax exemptions in the coming year.

110 million poor? So the remaining 70 million are rich? How come sir

Probably means that the 110 million live under a dollar a day.

And even that dollar a day thing is not a perfect measure (Use it in a country like the UK or US....and you would have essentially declared everyone there rich!). One of my lecturers in university did not like that ''dollar a day'' thing...he complained it was not accurate.

ok 8trillion if MTN brings 1 trillion na sanction all ds oil companies misbehaving. by d time d wind blows through all d ministries n agencies d budget funds will b available. i hope to see a beta implementation.

8 trillion? I thought President miser would work with 5million........ Mtchew!

DelGardo:
Change is here.

Bros, show me the change.

TonyeBarcanista:
Where will they get the money to fund the budget? I hope nobody is considering loan?

they are 'considering' it he said....

Flets:
This government should be reminded that elections are over. Enough of these noises as reality have set in already.

Lets do some simple mathematics.
Nigeria's total crude production currently hovers at 2M barrel per day, but I will assume 2.5M barrel for sake of optimism
Crude oil sells at slightly above $40/ barrel but I will assume $45/ barrel
Most JV agreements with Oil corporations stands at an average of 60% for Nigerian govt.
Cost of production of oil for most companies stand at almost 50% but I will assume 30% (optimist case) and then 70% profit
Only about 52% of total earnings goes to the FG, the remaining goes to state allocations and host state derivation
Assuming an exchange rate 200 naira per dollar and 365 days a year

Federal Government can make approximately 1.8 trillion naira from crude sales for 2016 optimally. Details below
so 2.5Million x $45 x 60% x 70% x 52% x 200 x 365 = 1.8 Trillion Naira

Historically, crude has formed about 70% of our budgets.... following same logic, total budget can only be 2.6 trillion Naira (1.8Trillion/ 70%)

Even if we increase taxes, collapse all tax and duty exemptions and without any diversification efforts by the current government, we will be lucky to add another 1trillion the 2.6 trillion to make it a maximum of 3.6 trillion.

So realistically speaking, 8 trillion FG budget is impossible for 2016. Propagandically speaking, APC govt have said it and they believe their zombies will believe it.

You have said the truth, but how many will heed, because most of us only read, but dont comprehend. Were will N8 trillion come from , even if barrel of oil goes to 150 dollar per barrel; which is not realistic. Taxes and bonds cant get us N4 trillion. I will not be surprised if this government only declare secret revenue generation, without making it public. God will bless Nigeria and take us out of the wood and save us from Lie and propaganda.

modelmike7:
I am 100% sure that Nigeria is in safe hands. God bless the Presidency.

gba!!

NgeneUkwenu:
It seems, you Guys don't understand the message or maybe the way the Punch Newspaper presented it.

Let me explain:

The 8Trillion Naira will be the total revenue generated by the Fed. Government in the next fiscal year. This will be made possible with the current introduction of TSA. No MDA (NNPC, NPA, NIMSA, Etc) will have a separate budget from that of the FG Govt. Unlike what we used to have. Therefore, the Fed budget will capture all their budgetary needs.

In the times past, these agencies generate, spend and pay a certain percentage of the surplus to the govt. They run the agencies as a separate country financially.

Zero Budgeting: Each Ministry/MDA will be given a "plain sheet of paper" to write what it needs for the fiscal year based on the economic policy of the Federal Government. With it, every kobo proposed by any agency or ministry will be justified. This is totally different from what was obtainable under PDP, where it operated what was known as budget padding, where the ministries just dust up the previous years budget and add some figures and Pronto, it becomes the new budget.

You see where you miss it (the part made in bold)?

Total revenue generated by FG does not belong to the FG alone.

Only 52% of all revenues accruing to FG's coffers belong to the FG...the balance is shared between the States and LGs.

Perhaps you need to take 52% of N8 trillion and see where it puts the FG...

TSA will surely help to seal some of the lickages of revenue that has hitherto caused deficit in our annual budget. God will continue to grant the current administration of PMB the widsom and courage to get us out of decade of mess and seage PDP has put us into.

orontogorah:
but i tot dey said nigeria was broke na...

what is the difference between broke and poor? Understand economics I beg

Advantage
1.Efficient allocation of resources, as it is based on needs and benefits rather than history.

2.Drives managers to find cost effective ways to improve operations.

3.Detects inflated budgets.

4.Increases staff motivation by providing greater initiative and responsibility in decision-making.

5.Increases communication and coordination within the organization.

6.Identifies and eliminates wasteful and obsolete operations.

7.Identifies opportunities for outsourcing.

8.Forces cost centers to identify their mission and their relationship to overall goals.

9.Facilitates more effective delegation of authority

10.Zero-based budgeting helps in identifying areas of wasteful expenditure, and if desired, can also be used for suggesting alternative courses of action.






This government means business

Almost N4tr increase with only N7b increase in capital expenditure. Na wao

Reasonable

chinchum:
The emboldened is your fallacy, it is NOT CAST IN STONE that crude must drive 70% of our budget.

NNPC + NLNG + NPA+ NCS +NIMASA +FIRS +CBN are the top revenue generating agencies and you will be surprised how much can be made from each of them

Dont forget that part of the money generated are used for salaries and other statutory obligations

is federal govt. Mad or wat...how mush is 8tr for a whole year wen obasanjor use same 8tr on energy (omotosho power plant precise) if they realy mean bussiness dey should increase d stuff jor cus i dt lik hearn story at d end of d year oo

psucc:
N8t and zero based!!! It's damn too high. Anyway I hope they know what that figure stands for. Or it's not Oshiomhole's number!!!!

Let it not be they are banking on loot recovery to come out with thus number o?

I don't want to hear, we did not say it. Osi baba I hope you are not playing another Garba Shehu here o?

that's what the government is working hard to diversify,also have a single account to reduce corruption, and also increase the revenue of the government and also reduce the ministerial portfolio. Imagine the amount that has been saved since this dispensation through non availability of the ministers?

kel4soft:
MDAs usually are not included in the Federal Government budget. Remember when the House of Reps investigated them and found out that 20trillion un budgeted were spent by this MDAs yearly. Is usually the drain pipes for past administration. So 8trillion naira is not that much if you include other MDAs since the introduction TSA.

Read this:

PDP can never rule this country again

busolakun:
TSA will surely help to seal some of the lickages of revenue that has hitherto caused deficit in our annual budget. God will continue to grant the current administration of PMB the widsom and courage to get us out of decade of mess and seage PDP has put us into.

Tomorrow they will tell us they didnot meant N8 trillion, that it was typographical error. We cross our hands as we all want the best for the nation.

orontogorah:
but i tot dey said nigeria was broke na...

Seems you have zero idea of how budgets are financed ..let me help you little..
1. Budgets aren't financed from already available funds