wirinet:
The more I read excerpts from madam world Bank the more disappointed I become. She thinks Nigerians are fools, but it is she that is making a fool of herself.
I wish I could copy and paste some of the ridiculous statements she made in this page.

First the Excess Crude Account is illegal and foreign to the constitution, there are no laws governing it's creation and operation. So anything done in that regard is illegal.

The money in the Excess Crude Account does not belong to the FG, but to all three tiers of government, so even if it was illegally created and managed by the FG, monies cannot be spent from the account without the accent of the three tiers. Okonjo-Iweala is talking like the money is the FGs, to spend or save as she likes.

The book says "He was strongly supported by Governor Adams Oshiomole of Edo state, who was very vocal in his disapproval and suspicions of the Federal Government’s management of the Excess Crude account"
The main problem was the Governors did not trust Okonjo-Iweala and her principal with their money.

Finally, the governors were not after FG's money, they wanted their own money, is it by force to help them save their money for them. What happens to the share of the money controlled by Okonjo-Iweala? Why did she not save the share of the Excess Crude Account under her control?

wirinet:
The more I read excerpts from madam world Bank the more disappointed I become. She thinks Nigerians are fools, but it is she that is making a fool of herself.
I wish I could copy and paste some of the ridiculous statements she made in this page.

First the Excess Crude Account is illegal and foreign to the constitution, there are no laws governing it's creation and operation. So anything done in that regard is illegal.

The money in the Excess Crude Account does not belong to the FG, but to all three tiers of government, so even if it was illegally created and managed by the FG, monies cannot be spent from the account without the accent of the three tiers. Okonjo-Iweala is talking like the money is the FGs, to spend or save as she likes.

The book says "He was strongly supported by Governor Adams Oshiomole of Edo state, who was very vocal in his disapproval and suspicions of the Federal Government’s management of the Excess Crude account"
The main problem was the Governors did not trust Okonjo-Iweala and her principal with their money.

Finally, the governors were not after FG's money, they wanted their own money, is it by force to help them save their money for them. What happens to the share of the money controlled by Okonjo-Iweala? Why did she not save the share of the Excess Crude Account under her control?

seguno2:


I thought that Obasanjo moved her to Foreign Affairs and she resigned
How do you know that she did not offer appropriate advice, which Obasanjo rejected that led to her final disengagement?
Please stick with the facts.
Cheers

bankylan:



You sounded like someone that wrote GCE in the 80s, got admitted to study Pol Science or Sociology in the early 2000s after combining GCE and NECO and later graduated with a third class.

Imagine this 'nobody' in every sense talking as if he can even define himself , let alone talk about economic matters or castigate a successful economist who is respected all over the world.

It is better you save your borrowed data to improve yourself economically.............I know years of stagnation after watching NTA and reading dailies at road junctions have made you to be highly critical and have this pseudo sense of being informed................but please, get yourself a life coach that can help on how to make comments in a socially acceptable manner.

KratosCorp:
Only a mentally unstable kid tends to think that he can eat his cake and still have it.

KratosCorp:
Only a mentally unstable kid tends to think that he can eat his cake and still have it.

OmoEpe:


Not early 2015, the idiots started borrowing to pay salaries from September 2014.
It will NEVER be well with their generations

TonyeBarcanista:
Interesting...

So Akpabio supported sharing of ECA funds? Or is it my eyes deceiving me?

Why was he posing as if it was only Amaechi and Oshiobaba that were against it?

Anyway, I was against the depletion of ECA then and still against it. But the culprits are the FG then and all the Governors save Peter Obi.

aribisala0:


The exact same Obasanjo.

The very same Obasanjo under whom she served as Finance Minister when the withholding took place and she was the one who actually did the withholdng without qualms.

So if she served under a baboon I wonder what kind of animal she is and where she should dwell??

Let us leave stories

The fact is the ECA was started by Obasanjo and was substantial even though receipts were much lower than under GEJ. Obsanjo never had $70 oil but still paid off our debt at the same time

wirinet:
The more I read excerpts from madam world Bank the more disappointed I become. She thinks Nigerians are fools, but it is she that is making a fool of herself.
I wish I could copy and paste some of the ridiculous statements she made in this page.

First the Excess Crude Account is illegal and foreign to the constitution, there are no laws governing it's creation and operation. So anything done in that regard is illegal.

The money in the Excess Crude Account does not belong to the FG, but to all three tiers of government, so even if it was illegally created and managed by the FG, monies cannot be spent from the account without the accent of the three tiers. Okonjo-Iweala is talking like the money is the FGs, to spend or save as she likes.

The book says "He was strongly supported by Governor Adams Oshiomole of Edo state, who was very vocal in his disapproval and suspicions of the Federal Government’s management of the Excess Crude account"
The main problem was the Governors did not trust Okonjo-Iweala and her principal with their money.

Finally, the governors were not after FG's money, they wanted their own money, is it by force to help them save their money for them. What happens to the share of the money controlled by Okonjo-Iweala? Why did she not save the share of the Excess Crude Account under her control?

wirinet:
The more I read excerpts from madam world Bank the more disappointed I become. She thinks Nigerians are fools, but it is she that is making a fool of herself.
I wish I could copy and paste some of the ridiculous statements she made in this page.

First the Excess Crude Account is illegal and foreign to the constitution, there are no laws governing it's creation and operation. So anything done in that regard is illegal.

The money in the Excess Crude Account does not belong to the FG, but to all three tiers of government, so even if it was illegally created and managed by the FG, monies cannot be spent from the account without the accent of the three tiers. Okonjo-Iweala is talking like the money is the FGs, to spend or save as she likes.

The book says "He was strongly supported by Governor Adams Oshiomole of Edo state, who was very vocal in his disapproval and suspicions of the Federal Government’s management of the Excess Crude account"
The main problem was the Governors did not trust Okonjo-Iweala and her principal with their money.

Finally, the governors were not after FG's money, they wanted their own money, is it by force to help them save their money for them. What happens to the share of the money controlled by Okonjo-Iweala? Why did she not save the share of the Excess Crude Account under her control?

wirinet:
The more I read excerpts from madam world Bank the more disappointed I become. She thinks Nigerians are fools, but it is she that is making a fool of herself.
I wish I could copy and paste some of the ridiculous statements she made in this page.

First the Excess Crude Account is illegal and foreign to the constitution, there are no laws governing it's creation and operation. So anything done in that regard is illegal.

The money in the Excess Crude Account does not belong to the FG, but to all three tiers of government, so even if it was illegally created and managed by the FG, monies cannot be spent from the account without the accent of the three tiers. Okonjo-Iweala is talking like the money is the FGs, to spend or save as she likes.

The book says "He was strongly supported by Governor Adams Oshiomole of Edo state, who was very vocal in his disapproval and suspicions of the Federal Government’s management of the Excess Crude account"
The main problem was the Governors did not trust Okonjo-Iweala and her principal with their money.

Finally, the governors were not after FG's money, they wanted their own money, is it by force to help them save their money for them. What happens to the share of the money controlled by Okonjo-Iweala? Why did she not save the share of the Excess Crude Account under her control?

KOPT33:


You're missing a very obvious point and I will be so kind as to lay it out for you.

In 2015, General Muhammadu Buhari came to power, amidst dwindling national reserves and fallen crude oil prices, which worked to make lean our treasury.

Those days, one of the rallying cries of the new administration was: "The GEJ government did not save any money; and, we met an empty treasury." Nigerians were egged on to hate and calumny on account of the reality of the leanness of the sovereign purse. PMB is reported to have said: "I met an empty treasury."

The prevailing climate of the time which heavily vilified the outgoing administration for all the ills of the land suddenly had another outlet to lampoon the past president with.

It is not a contestable fact that the treasury was indeed depleted: that much is known. However, due to the narrative that was bandied by the incoming administration, blame was solely heaped on the outgoing administration, all without consideration of extenuating factors.

Now, you might want to ask yourself:

1 - was the treasury depleted?
2 - If yes, were those funds legally disbursed?
3 - Could the fund in the ECA have been saved for leaner times?
4 - Could the Federal Government have insisted on saving the ECA funds without approval from the constituent units of the federation?

If you have no answers to these questions, I will lay it out for you. Please, be attentive.

The treasury was not depleted.

wirinet:
The more I read excerpts from madam world Bank the more disappointed I become. She thinks Nigerians are fools, but it is she that is making a fool of herself.
I wish I could copy and paste some of the ridiculous statements she made in this page.

First the Excess Crude Account is illegal and foreign to the constitution, there are no laws governing it's creation and operation. So anything done in that regard is illegal.

The money in the Excess Crude Account does not belong to the FG, but to all three tiers of government, so even if it was illegally created and managed by the FG, monies cannot be spent from the account without the accent of the three tiers. Okonjo-Iweala is talking like the money is the FGs, to spend or save as she likes.

The book says "He was strongly supported by Governor Adams Oshiomole of Edo state, who was very vocal in his disapproval and suspicions of the Federal Government’s management of the Excess Crude account"
The main problem was the Governors did not trust Okonjo-Iweala and her principal with their money.

Finally, the governors were not after FG's money, they wanted their own money, is it by force to help them save their money for them. What happens to the share of the money controlled by Okonjo-Iweala? Why did she not save the share of the Excess Crude Account under her control?

chronique:



NOI helped us negotiate a discount of 60% off our debts of over $30bn. We paid $12bn while $18bn was written off for us.

ArmedRobber:
does eca crude oil account belongs to only federal??

What did mother inlaw of looters do with federal govt share of the account??

chronique:


The way you are sounding, one will think you are talking from a position of knowledge of the things you're saying, not knowing you're just talking from a position of ignorance. Under the Obj government, the ECA(excess crude account) was created and it was causing conflict and governors were insisting it was an illegal account and it continued to yar 'Asia's tenure. By the time Jonathan came in,same issue was still in contention and he decided to create the swf(sovereign wealth fund) account which was passed into law by the national assembly and it replaced the excess crude account. Where you saw her mentioning excess crude account there, is to make it easier for readers to understand as that was the previous name it was known as. Even after the swf account came into existence, it was still referred to as the ECA cause that was what we were already used to.

Before you start talking about an account that is illegal, make sure you know which is which. Under OBJ, it was illegal cos it wasn't backed by law but under GEJ, it was legal as it was duely passed into law with legislative backing.

aribisala0:


If you believethat you will believe anything.

The reality which has been echoed by Soludo is that we got a bad deal a terrible deal

Firstly most of those loanss were bogus or unverifiable we couldd have bargained tougher , Most African countries had their debts written off completely but the Paris club saw we had cash and took what was the largest single debt payment in history. I am not sure I agree with your figures buut let us leave that.

The fact of the mattter is we could have played hard ball and driven a hard bargain. Ngozi had divided loyalties and arranged a deal which has helped secure her carreer future as the darling of the West. That money could have transfrormed our econoomy in the power and rail sector . We had no need to pay it off and could have continued servcing it if we cannot pay will they seize Lagos??. The politicall climate in the West was for a debt Amnesty and Nigeria was the only country that made a meaningful payment because they saw the cash and they knew that most of the debt was bogus. We all remeber the amnesty campaigns


Again now they see a little cash and are giving us deadline to pay for helicopter and someho that is being touted as an accomplishment

wirinet:


Sorry to say, but you are talking from a position of ignorance. Excess Crude Account (ECA) is not the same thing as Sovereign Wealth Fund. Excess Crude Account that excess monies realized from sale of crude is kept. This excess crude money is the difference in revenue based on the budgeted crude price ( which is usually lower than the actual price) and the actual amount realized from the actual price.
This excess crude account is illegal because all revenue should first be paid into the consulated revenue account before it is shared.

The sovereign wealth fund however is contributions (mandatory ) by all tiers of government after they have received their share from the federation account. The contributions are to be managed by a body called Nigerian Sovereign Investment Authority, headed by the president and having all state governors as members.

The sovereign wealth funds was to act as investment for all tiers of government and as savings. The SWF was initially funded with $1billion take off grant from the federal government.
See http://lawnigeria.com/LawsoftheFederation/Nigeria-Sovereign-Investment-Authority,-%28Establishment-etc%29-Act,-2011.html for further information

The establishment of SWF did not cancel the ECA.

Okonjo-Iweala was talking about excess crude account and not Sovereign Wealth Fund. Are you telling us madam world Bank does not know the difference.

Up till date, the ECA is still in operation and it was from there Buhari was said to have illegally withdrawn money to pay for the helicopters.

chronique:


The funds we were using to service those debts was a waste and the debts accumulating to $30bn was cos we weren't even servicing earlier debts taken. Nobody would seize Lagos if we do not pay but let's not forget that we don't even have an economy that can stand alone and is buoyant enough for us to say we won't take loans again. Despite all the talk of OBJ helping to clear our debts, he still left a debt burden of over $3bn when he was leaving. Ngozi might not have been a 100% committed to Nigeria in the debt canceling deal but here is something you should know: the Paris club would never have written off our debts a 100%. Reason is that Nigeria is an oil producing nation, and we're actually richer than the smaller countries that got 100% debt relief. Failure to sort our debts with the IMF and the Paris club would have given us a very poor credit rating on the international scene and we wouldn't have been able to access any form of loans on the international scene and even if we get, it would be at very high risks. Moreso, a complete refusal to honour our debt repayment could lead to our assets overseas being seized and all sort of political issues could spring up. Way back, countries went to war when their debtors refused paying back their debts. Example is the United States occupation of Haiti in 1915.

aribisala0:

Are we not back borrowing again?? Have we not borrowed a lot more from China and others . In fact Kemi Adeosun at soe point was saying we are underborrowing
Today foreign debt is over $15 billion

Waste? Do you know the figure used in servicing the debt? How much do we use servicing debt today and mind you some debts are not yet mature

Others would argue if we put 12 billion into our economy it would have had a multiplier effect. Especially in power and railways

AZeD1:


Nobody is throwing blames but when you are writing a book about problems you faced, you should also say how you solved those problems.


Standard interview question in almost all organizations is "Talk about a conflict you faced in the work place and how you resolved it". I haven't read the book so I don't know if she said how she went about resolving it but if she didn't then what's the purpose of the book?

Then I app if u read the book first

chronique:



12bn in power and railway? Obj put $16bn in Nepa; do you have steady power supply as at today? What then is the guarantee that that $12bn would have been properly utilized when we haven't seen multiplier effect of $16bn? There's almost no nation that doesn't borrow or owe debts. The thing is that you shouldn't exceed your debt ratio. Governance is like running a business. Companies do not empty their accounts to carry out projects. They take loans to augment budgeted sums allocated to such projects.

KOPT33:


You're missing a very obvious point and I will be so kind as to lay it out for you.

In 2015, General Muhammadu Buhari came to power, amidst dwindling national reserves and fallen crude oil prices, which worked to make lean our treasury.

Those days, one of the rallying cries of the new administration was: "The GEJ government did not save any money; and, we met an empty treasury." Nigerians were egged on to hate and calumny on account of the reality of the leanness of the sovereign purse. PMB is reported to have said: "I met an empty treasury."

The prevailing climate of the time which heavily vilified the outgoing administration for all the ills of the land suddenly had another outlet to lampoon the past president with.

It is not a contestable fact that the treasury was indeed depleted: that much is known. However, due to the narrative that was bandied by the incoming administration, blame was solely heaped on the outgoing administration, all without consideration of extenuating factors.

Now, you might want to ask yourself:

1 - was the treasury depleted?
2 - If yes, were those funds legally disbursed?
3 - Could the fund in the ECA have been saved for leaner times?
4 - Could the Federal Government have insisted on saving the ECA funds without approval from the constituent units of the federation?

If you have no answers to these questions, I will lay it out for you. Please, be attentive.

The treasury was not depleted.

chronique:


Don't argue blindly. The Excess crude account is an illegal account and to bypass the technicalities and legal issues associated with it, the sovereign wealth account was created. The money that goes into that account, is money that comes from the excess profit made from sale of crude which used to be stored in the excess crude account before. I followed up on this drama all through the period it was causing problems and I'm well updated on how the swf account came into being. Swf account is same as ECA but this time, with legal backing.

Nigeria resumes payments into excess crude account – Minister
The Nigerian government has commenced payment into the Excess Crude Account, ECA, Finance Minister Kemi Adeosun has said.
https://www.google.com.ng/amp/s/www.premiumtimesng.com/business/business-news/230145-nigeria-resumes-payments-excess-crude-account-minister.html/amp

Buhari ‘withdraws $462 million from Excess Crude Account without National Assembly approval’

President Muhammadu Buhari has approved the withdrawal $462 million from the Excess Crude Account (ECA) to the United States for the procurement of 12 Super Tucano aircraft, without a prior approval of the National Assembly, This Day newspaper has reported.
https://www.premiumtimesng.com/news/top-news/265969-buhari-withdraws-462-million-from-excess-crude-account-without-national-assembly-approval.html

Legalising the Excess Crude Account
SESAN
1 MAR 2018

AFTER almost a decade-and-a-half of operating under a contested legal status, the Excess Crude Account is now undergoing a process of legalisation. Reports have it that a bill that will provide a legal framework for the continued existence of the account, dubbed Excess Revenue Fund Account, has already passed the second reading stage at the House of Representatives.

Although a welcome development, it is long overdue. In a democracy, where transparency is the guiding principle of governance, it is an absurdity to operate a public accounting system that is not only steeped in rampant corruption, but is also subject to arbitrariness and abuse. Elimination of these shortcomings is part of the things the new law would seek to address.
https://www.google.com.ng/amp/punchng.com/legalising-the-excess-crude-account/amp/

aribisala0:
What have ou said that is useful or relevant
There is no nation that doesn't borrow? so why hurry to pay back $12 billion. Only to start borowing again. Why not keep the $12 billion and negotiate a write-off without paying anything even if it was a smaller write off

Recently there was a Paris Club refund . Suggesting we overpaid. Under her watch. Why ay if you are going t borrow why not ccept whateer negotiate the write off figure. Why was it only Nigeria of all the African countries.? Whatevr the case do not tell us she helped negotiate anything. That is nonsense

wirinet:

As I said the excess crude account is still operational despite there being a Sovereign Wealth Fund.




Also read this report at recent attempts to legalize the ECA.

aribisala0:
I don't think the external reserve is relevant.. It is not government moneybut CBN money. Its depletion is a reflection of import demand and our lack of manufacturing capacity

External Reserves are NOT savings at all.Do not let the term "reserve" mislead you


If we have I trillion naira in circulation that 1 trillion is a CBN liability and the external reserves are CBN assets so effectively if you own 1 million then you have a share of the external reserve because the naira( CBN debt) only has value if backed up by CBN assets.

To Provide a fall back for the “ Rainy Day” Economies of nations sometimes experience drop in revenue and would need to fall back on their savings as a life line. A good external reserves position would readily provide this cushion and facilitate the recovery of such economies.

https://www.cbn.gov.ng/intops/ReserveMgmt.asp

chronique:



What do you mean by rush to pay $12bn? Do you know how long the debts had accrued for? They do not owe Nigeria an obligation to write any debt off, in the first place. Someone has owed me money that he couldn't pay back and to get a part of it, I had to ask him to forget about a certain amount and pay the difference. At the end, he still couldn't pay it. We could go on and on about this thing and you still won't see anything in it. I want to believe that you'd understand more about this debt thing, if you have substantial knowledge of economics,credit and finance. There is no developing country that can develop without talking loans and that's a fact. Secondly, you can't insist on not paying loans that had accrued for several years. We had the option to keep servicing a $30bn debt or pay a % of it and get a write off for the balance. It only made sense to take option two, than to take option one. You don't hold the aces as a debtor when negotiating with your creditor.

aribisala0:
To yourself you are making sense

deomelllo:







lol @ it is not government money but CBN money. Is CBN an entity under a different government?

The above quote is one of many responsibilities of the CBN and it states clearly one of the reasons why we have external reserves, it's benefits and functions.

External reserves are savings that Nations fall back on during economic hardships and that's even apart from the fact that it's our method of international trade payment and this is how we pay for what we import including raw materials for our industries.


We know very well how Jona and DasukiATM sent trucks to the CBN in the middle of the night to loot fresh dollars/$47 MILLION.

We also know how the same crooked, incompetent and corrupt Okonjo teamed up with Jona to loot massive $2 billion and gave it to DasukiATM to share with their cronies.


This is how they drained us.

We had to ration our foreign exchange and prioritize imports because it was depleted and dangerously low.