₦airaland Forum

PhockPhockMan:
The inability of the previous government to plan and save for the future during the crude oil price boom is why Nigeria is presently going through economic turbulence, president Mohammadu Buhari said on Monday.

mmsen:
Saudis are corrupt and wasteful too. Don't assume that all of thah money went where im should. How do you all of hhe various princes support their lifestyles?

patchsk:
Buhari is simply a fool

patchsk:
Buhari is simply a fool

FlamesD:
Go say that to your APC governors that took the last administration to court because they never wanted the administration to save for rainy days. Now that they have got what they wanted and spent same on your campaign, try and use EFCC your watch dog to probe them. When you are done, Nigerians will know that you genuinely fighting corruption.

[size=14pt]Tinubu Tackles FG, CBN On Excess Crude Oil Sales Account[/size]
Feb 22, 2001



https://www.osundefender.org/wp-content/uploads/2013/09/TINUBU.jpg



The Lagos State Governor, Senator Bola Ahmed Tinubu, yesterday joined issues with the Federal Ministry of Finance and the Central Bank of Nigeria (CB N) over the recent face-off between the different tiers of government on the excess crude oil sales reserve account of US$ 1. 8 billion which is about N198 billion.

Expressing concern at the impression being created that the economy is rudderless, Tinubu argued that the central issue transcends the release or non-release of the fund into the Federation Account.

In his words: “The fundamental issues and principles at stake go much deeper. They are more broadly about the rule of law and the supremacy of the constitution on one hand, and the need for cooperation and coordination in a true federal structure, as a basis for sustaining and strengthening our fledgling democracy on the other hand”.

Governor Tinubu [size=14pt]disagreed with the CBN's position that release of the excess crude reserves to the states and local governments, though legitimate, [/size]would lead to inflation; cause a rundown of the nation's foreign reserves; weaken the exchange rate further and run counter to agreements reached with the IMF.

The Governor contended that "in a period of excess capacity and low purchasing power, there should not be undue inflationary pressures from an injection of funds into the economy. Instead, such a development should be beneficial to economic activity and growth, despite the fact that there are supply rigidities and inefficiencies which would limit the potential benefits”.

On the purported likely impact on foreign reserves, Tinubu argued that "in an import-dependent economy such as ours, it is inevitable that an upturn in the level of economic activity would engender a fall in foreign reserves. This is not necessarily a bad thing. Rather, it would be immoral to appear to be building up high foreign reserves in the midst of grinding poverty”.

He stressed further that if the N198 billion released is matched by an equivalent US$1.8 billion, there should not be a fall in the value of the Naira as the supply of dollars would be in place to match any increased demand”.

Tinubu also said it would be unfair for the federal government to agree unilaterally to commit revenues due to other tiers of government, to an agreement with the IMF or anyone else.

Attributing inflationary pressures in the economy largely to the federal government's overspending and printing of money to finance such expenditure, Tinubu said "It is hardly fair for the FGN to overspend and then seek to correct the inflationary effect on the economy by starving other tiers of government of their rightful funds”.

Stressing that there is no basis for CBN or any authority to flout the constitution and deny states and local governments their own share of the Federation Account, Tinubu noted that "the excess crude reserve account is itself an illegality, carried over from the military era, as there is no provision in the law or the constitution for federally - collected revenues to be diverted to such an account”.

Advocating constructive dialogue on the management of the economy Governor Tinubu said "it is time for us to sit down and dialogue about how to move from where we are now, to where we need to get to, while respecting true federalism in fiscal and other matters”.

From: http://asiwajubolatinubu.com/archives/news/2001/02/22/20010222N01.html

FG, States, LGs Share N568.4 Billion for Oct
15 NOVEMBER 2013


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Also, $1billion was proposed for distribution to complement shortfall in expected revenue." The $1billion is a compromise by the FG over its words in September not to augment shortfalls anymore.

Responding to the presentation, the chairman of the States Commissioners of Finance and Ebonyi State Commissioner of Finance, Mr Timothy Odaah, lamented that the statutory allocation was getting smaller and smaller. "It appears this is the worst in terms of returns. This is the least in allocations as far as this year is concerned. We are mourning the dearth of funds and this is a wakeup call for states and local governments to buoy up their internally generated revenue."

While appreciating the "magnanimity" of President Goodluck Jonathan to approve the $1billion from the excess crude account and to be shared among the federal, state and local governments, Odaah expressed disappointment with the returns made by the NNPC.

He said that [size=14pt]the states had requested for $2bn[/size] to complement for the shortfall in revenue but got only $1billion. In September, Odaah and fellow commissioners had walked out of the Accountant General of the Federation (AGF) when the federal government said that the framework of the 2013 budget was no longer realistic and it won't augment shortfall in revenue. Odaah raised issues with the statutory allocations of previous months.

More from: http://allafrica.com/stories/201311150323.html

Standing5:
true talk sha even though wailers will still shout blame game . . .

thaoriginator:
[size=15pt]if Buhari is a fool then your dad is what? Fooler abi? No, foolest I guess.[/size]

EYOUYO:
If not for God's special intervention tro Pmb I don't no if anything would b left for dis God blessed Nation.

Rick9:
Can't wait for 2019 to come let's undo this mistake

chriskosherbal:
I think is high time we move forward as a nation.

PhockPhockMan:
Imagine, it seems they don't know that they were elected to solve problems no to blame blames.
When they were in opposition, they used Amaechi’s governor’s forum to harass and blackmail FG to share every kobo meant for saving.
Today, they're making noise.
The reality is that APC's only blue print was how to grab power not how to rule.

Quakertellicus1:
Of course I don't rule THAT out.....but their economists are the ones saying they spent 100bn USD buffering their currency (and the Saudis love their strong currency too much)....and anyway they have brought in measures like a sovereign wealth fund, government bonds and so on.And there is talk of ''diversification''.

Keep in mind that Saudi also needs oil to stay at $70 and above to balance the books....and that oil is at $50 per barrel. That's a loss of $20 per barrel.

patchsk:
Buhari is simply a fool

omolola15:
We all know that's why we are where we are today. But due to the hatred of some people, they'll call it the blame game. But deep down they know you are right sir.

longleg:
But it's you "sure you're among" who was clamouring to know the reason behind the economy downturn. Now you're supporting the reason. Let us appreciate the fact that we have someone who is ready to help the country and support him and if it ended up otherwise, embrace the fact that we are used to it. May God help our dear Nigeria.

PhockPhockMan:
Are you for real, Which way Buhari has helped this country?
Don't dare mention corruption war, because we know it's political arm twisting tactics.