₦airaland Forum

arresa: Troll on with your stupidity and ignorance, my work here is done...

Go and bring the debt data

No point arguing with these Morons.

Analysis is badly flawed and has ethnic (Igbo v Yoruba ) connotations.

ibedun: No point arguing with these Morons.

Analysis is badly flawed and has ethnic (Igbo v Yoruba ) connotations.

They are all trolls and illiterates...

I wonder why my question hasn't been answered by the OP though...

EasternLeopard: I have not explained the micro-credit partnership with microfinance institutions and you have drawn conclusion

May I ask you

Are you here to discuss or argue

If you cared to go through my posts you will see where I mentioned privatization and involvement of investors.

Pls ask questions politely for clarity



I believe many SW people who are sincere with facts will agree with me

If any Igbo had defended bad debt, I will also caution his view

Two corrections:

1. I have not brought in any ethnic coloration to my responses so I wonder where the ad hominen in your last sentence came from. You diminish public discuss when you flippantly introduce ethnicity.

2. I am not arguing with you, rather i am pointing you to where you can get an education about this topic of public finance in which you are obviously interested but seem ill equipped to discuss.

Kind regards.

ibedun: No point arguing with these Morons.
Analysis is badly flawed and has ethnic (Igbo v Yoruba ) connotations.

100% spot on. I looked at the topic and the unintelligently lopsided argument tendered by (surprise, surprise) the 'panadol' experts from the SE and I decided to give the silly thread a wide berth. I was wondering how long and how many pointless back-and-forth it was going to take till you, Aresa and others saw the real problem of the perpetual need for senseless malevolent confrontation driving the behaviour of the OP and his kinsmen who never seem to see anything at all good in any socio-economic drive of the SW. Whether it is Aregbesola's school feeding program, lauded throughout the universe, or social pension for the elderly in Osun and Ekiti, our SE brothers must be the sole voices of condemnation, mindless negativity and lack of objectivity.

It is fairly basic economics we are talking about here anchored on the solid premises of growing a transformational middle class, empowering vital human development, economically leveraging on competitive advantages optimally, empowering accelerated growth of the SME sector, attracting industrialisation and inflow of FDI et al through the delivery of solid infrastructure and social initiatives most States of Nigeria cannot afford in 100 years if issues remain about States indolently pointing begging bowls towards Abuja. Furthermore, what these clowns and bitter charlatans fail to take into account is the huge increase in IGR new administrators have secured throughout the SW, when IGR is virtually static in their States of origin, which means the SW can indeed comfortably and responsibly take on a greater debt burden as the trade-of for securing rapid development. Earn more and you can borrow more. Simple as that.

SW Governors, as a core operational policy, laid the groundwork to enhance their ability to borrow more and thus develop at their own pace thereby removing the dependence on the indolent and self-destructively corrupt centre. This was always the main aim of the aggressive effort to increase and continue increasing IGR. The goal, ultimately, is for SW States to be self-financing and weaned off the regression the FG condemns us all to. That long term ambition will not be achieved without feasible short term borrowing. When , as one example, Aregbesola eloquently illustrated what Osun needed to tackle its infrastructural deficit then it is obvious to even a child, albeit an honest one, that external borrowing is required to bridge the gap, even a little, between what Osun receives as income (federal allocation + IGR + sundry accrual) and what is needed to deliver modern, transformational infrastructure.

If some think hoarding and stockpiling money , because some clueless governor in their region did such, is now a model everyone must follow then I deem them total 'olodos' as per the concept of "other people's money" , if used properly, as an aid of aggressive personal/State/National development. Such backward folks would do well to mind their own business and stop poking their nose in things they are not intelligent enough to understand and are always ethnically biased towards disparaging anyway.

I personally have far many more mortgages, and thus owe more, than the traditional person who takes one home loan per lifetime. I may be far more indebted than others in the short term but managing my home loans well (Professional landlord rental and portfolio management) means I never struggle to service what I owe and acutally derive a very healthy income while moving towards building financial asset that will be worth far,far more than the average home owner will have at loan completion. Plus I will draw a private pension 80% of the population can only dream of. Is it for everyone? No but it works for me and what want I want out of life same as I am sure a single home, and thus a single mortgage, works for conservative folks too. The same simple theory can be applied to States and Nations. Ludicrous how one has to come here to contend with bias-driven mischief from misinformed and ignorant folks who would do well to try and better themselves instead of engaging in empty, dull and emotion-driven arguments. Ironic and even laughable the OP has the temerity to deem others "ignorant".

EasternLeopard: Provide evidence for your claim that FG did not give APC states their full allocations

i'm sure u did not do u ur research well b4 coming up with this. Haven't u heard amaechi, aragbe, fayemi, oshomole etc speak about this?

Phame: i'm sure u did not do u ur research well b4 coming up with this. Haven't u heard amaechi, aragbe, fayemi, oshomole etc speak about this?

Assuming they are right

Did you verifying if PDP states received their full allocations

EasternLeopard: Assuming they are right

Did you verifying if PDP states received their full allocations

their silence on d issues proves they get their full allocation. Kwankwanso said one fund meant for all of them were given to those in jang's camp of govnors forum ane, those in amaechi's camp were denied the fund.

Phame: their silence on d issues proves they get their full allocation. Kwankwanso said one fund meant for all of them were given to those in jang's camp of govnors forum ane, those in amaechi's camp were denied the fund.

You know that in Nigeria we practice politics of bitterness

That is why we must verify statements uttered by politicians.

Well if you statement is true, GEJ bleeped up big time

But find a means to verify

Phame: their silence on d issues proves they get their full allocation. Kwankwanso said one fund meant for all of them were given to those in jang's camp of govnors forum ane, those in amaechi's camp were denied the fund.

You know that in Nigeria we practice politics of bitterness

That is why we must verify statements uttered by politicians.

Well if your statement is true, GEJ bleeped up big time

But find a means to verify

Pappymason I said this last year and we can see the result today


See the economic illiterates waste of Nigeria who replied me




Gbawe ibedun aresa tonyspike phame

Ovamboland:
This is one of the most ignorant post i have come across on NL in a while dressed in a grab of intellectual discussion but the political capital the OP is trying to derive is not difficult to see as it has mainly focused on the Western region which happens to be the bastion of the main opposition party to the GIP at federal level.

It reminds me of a message i received on my FB page purportedly authored by a leading MOG saying ' You shall never borrow again' say amen to the prayer. I routinely ignore such messages with required response but i decided to see the comments and found about 21,000. I was able to through less than 2000 response and all was the sheepish, unthinking amen. Only one dude had enough commonsense and courage to ask 'but the richest Nigerian still borrows' to which he got vicious replies for his temerity.

I also remember i recently got a loan equivalent to over 30 million invested in real estate, money instruments and capital market so i could not type amen as i intend to raise larger sums to finance other projects depending on how the current investments turns out. This how i understand the modern economy works.

It is therefore disheartening that someone at this point in time is carrying the 'you shall not borrow again' mentality to governance and public finance. One would have expected that the focus should be on the sustainability of the loans such that the ability to pay is not in doubt and proper evalaution of the purpose of such loans. It is common knowledge that millions of naira is lost when workers spend half of their productive time in traffic either because the road is bad or non-existent.

By the time a responsible government calculates what it's economy loses on daily basis while waiting to save enough money over say 2 years from it's current income the wise thing will be to approach finance mechanism to have the infrastructure today and pay for it over the next say 3 years.
How will a state like Osun not build roads to it's farms to ensure the produce does not rot in farms and gets delivered to Lagos at minimum and competitive cost and thereby earn larger produce levies? How will tourist access Miccom golf course and other hotels in larger numbers so that the government can get it's consumption tax if there are no roads? Which profitable business will viable in horrible environment It such monies not put to good use that ends as 'stomach infrastructure' as election approaches.

Even in advanced countries some necessary ventures are not profitable or the profit motive will harm productivity so the government provides the service and adsorb the cost knowing the increased productivity will improve the quality of life of citizens and increase it's revenue elsewhere. Such ventures include road construction, canals, rail roads, rural electrification, urban public transportation etc. which don't give quick profits but are crucial must haves for a society on the move.

Who is right today


You see why some of you mismanage your region.


I hope you understand now.

pheliciti:
It is interesting that you have, based on your position of ignorance, concluded that it is dangerous to Finance public infrastructure with borrowing. To imagine that you advice people to read Rich Dad Poor Dad to justify your points. Did you really read that book? Perhaps you want to read any o ' level economics textbook that has a chapter on Sovereign Financing. You may also source for an excellent book by Niall Ferguson, titled The Ascent of Money. It will give you a view on how other countries built their infrastructure using bonds and other like instruments. Most importantly, study well before spewing forth half baked views.

Hello ooooooooooo


Who is right today


Me or you


Don't argue blindly with a natural born economists

emmatok:
My friend Government has no Business doing Business, government has to provide enabling environment?(infrastructure, security e.t.c) for businesses to grow.

If businesses grows government will generate enough revenue to pay her loans.

Oshiomole applied your idea and failed

Why.?


Because most foreign investors like to invest in an already established businesses than establish new businesses.




Can the house clap for me.?


My foresight of today was perfect yesterday.

EasternLeopard:
Most of you hailing your APC and SW governors for investing borrowed money into infrastructure do not understand business finance and how a better understanding of business finance can help us better manage our public finance.

In business finance, borrowed money are invested into things that generates income

When borrowed money is invested into infrastructures that do not yield money or enough money to pay back, it is a bad debt which the states govts try to write off by collecting heavy multiple taxes or using their federal allocations.

What the states govt should have done first was to invest the loan into things that can generate enough profit to wipe off the loan and fund non/low income infrastructures.

Eg it is wise a govt invest $1million borrowed money into a profitable venture that can generate a yearly (after tax/loan interest) net profit of $100 thousand. Then using the $100 thousand to

1) Build those non/low income infrastructures in stages even though it will take longer time.

OR

2) Secure another loan whose yearly interest do not exceed $100 thousand. This loan will then be used to build non/low income infrastructures, while the $100 thousand will be used to wipe off its yearly interest in order to prevent accumulation. The taxes collected from people will be used to reduce the loan which in turn will lead to a cut down on the loan's yearly interest making it possible to start diverting gradually the $100 thousand into helping the taxes further reduce the loan and its interest.

A good govt borrowing will ensure that half of all the loans collected is invested into profitable ventures whose yearly profits is large enough to

1) Clear the loan and its interest

2) With the help of moderate taxes, clear other loans and interests

FOR THOSE OF YOU SUPPORTING BORROWING ASK YOURSELVES

Do your states govt has a strategy to offset these loans and its interests without resulting to heavy multiple taxations and federal allocations.

To add to your brilliant post; you don't take a loan in lien of revenue you have no guarantee over.

A kid who borrows money against his monthly allowance from his parent should not blame his inability to repay his debts on his parents when his parents cuts his allowance.

The SW borrowed even more than the ND where oil revenue comes from.

Osun budgeted 6 times what it generates in a year for 3 yrs in a row based on the presumption that oil will still remain high despite several calls by Ngozi warning of crash in future and the need to save.

The likes of oshiomole and Amaechi fought Ngozi because she hesitated to guarantee their loans.

PappyMason:
To add to your brilliant post; you don't take a loan in lien of revenue you have no guarantee over.

A kid who borrows money against his monthly allowance from his parent should not blame his inability to repay his debts on his parents when his parents cuts his allowance.

The SW borrowed even more than the ND where oil revenue comes from.

Osun budgeted 6 times what it generates in a year for 3 yrs in a row based on the presumption that oil will still remain high despite several calls by Ngozi warning of crash in future and the need to save.

The likes of oshiomole and Amaechi fought Ngozi because she hesitated to guarantee their loans.

Thank you


Unfortunately, some of them argued blindly.


The poverty that is about to hit SW will be like a tsunami.

EasternLeopard:
Thank you


Unfortunately, some of them argued blindly.


The poverty that is about to hit SW will be like a tsunami.

Don't bother debating the legion of YAMS here. They cling stubbornly to their foolish position and they see politics similar to supporting a football team. To them, politics is more of an affiliation defined by ethnoreligious sentiments rather than solid commonsense, morality and ideology.

Post your argument and ignore the shills.

EasternLeopard:
God bless you

Especially when you made this comment

" From observation over the years, I realized that the major problem facing Nigeria is not corruption per say but lack of strategic investment and development. Strategic development in this case means investing in key sectors with huge impact and capacity for a sustained economic development. This is the bane of our underdevelopment."

I wonder what will become of Odua republic if this public finance method is applied by the govt of Odua.

We Biafrans must also warn our leaders never to plough borrowed money into non direct profitable ventures and if situation demands that they do, then they must borrow extra which must be invested into profitable ventures whose profits are sufficient enough with the help of low single taxes to wipe off both loans and their interests.

It is unfortunate our graduates of economics have not written articles on mass media to warn our people and govt of such bad public finance

States govts behave like a man who in order to appear rich, decides to live on bank loans to finance his life with the promise to use his salary to pay back without putting into consideration the possibility that the company he works for might suffer poor sales over a long period forcing the company to reduce his salary

If oil sales reduce for a long period of time, we will have less for development because we will spend more on debts we must pay for.

Dear Biafrans I made this comment last year


And today, I am repeating the warning to all patriotic Biafrans



Dearpreye
Duru1
Descartes
Freedom4biafra
Freeglobe
Yujin
Easternlion
Easternpride
Ezeagu
Rose2014
Pazienza
Phockphockman
Pointb
Ipobdevil
Ikengawo
Ichidodo
Ihemba
Curlieweed
CSTR2
Carnegiefan
Anonimi
Etc

It's too late, OP.
No more warnings needed.

EasternLeopard:
Dear Biafrans I made this comment last year


And today, I am repeating the warning to all patriotic Biafrans



Dearpreye
Duru1
Descartes
Freedom4biafra
Freeglobe
Yujin
Easternlion
Easternpride
Ezeagu
Rose2014
Pazienza
Phockphockman
Pointb
Ipobdevil
Ikengawo
Ichidodo
Ihemba
Curlieweed
CSTR2
Carnegiefan
Anonimi
Etc

Very nice article and serious warnings.

This very epic and rare picture of yorubas protesting at the french embassy, now reveals why the yorrobers can't survive without Biafra.
They were more interested in the Oil in the then Eastern Region. Can we all see that 'One zoogeria' is the biggest fraud known to man? grin

Foto Credit: Pappymason


www.nairaland.com/attachments/3070967_374334biafra11jpgd343c8e7d023bbeaf7e85a2a2383fae8_jpegb2881fcefca335ffa2da3220079f3641

EasternPride:
This very epic and rare picture of yorubas protesting at the french embassy, now reveals why the yorrobers can't survive without Biafra.
They were more interested in the Oil in the then Eastern Region. Can we all see that 'One zoogeria' is the biggest fraud known to man? grin

Foto Credit: Pappymason


www.nairaland.com/attachments/3070967_374334biafra11jpgd343c8e7d023bbeaf7e85a2a2383fae8_jpegb2881fcefca335ffa2da3220079f3641

We need to create a thread for it

The Nigerdeltans still thinking Biafrans want their oil must see this.