₦airaland Forum

Sandydayz:
Aiit i accept even though am right... As a gud girl that i am

Sandydayz:
Hmmmmmm
Whynhetruth... Am done

kaboninc:
Why her you fearing?
Go to Shurch, you wee not go...you wee be shading woman hup han down Nairaland

I piryy for yhuuu
That thing yhu her looking for, yhu weeee soon geerriit

Sandydayz:
Never done that.. It's the other way round Entitled?

kaboninc:
Hmmmmmm

kaboninc:
Heheehehe....

Oya come let me gif you anorer one....

Sandydayz:
Not true ooo Who's giving 5k?

Sandydayz:
Baby can u pls speak english for me?


See who's asking! Who abandoned who?

elampiro:
That was a discussion on proposed budget. The passed and approved budget is what I posted
Mine has the figure which was eventually passed by Senate and approved by Jonathan.

Some of the things you argue now, I have already addressed on this thread but you didn't read the flow. In December 2014 NOI reduced Capex to 676 billion in 2015 proposed budget from 1.4 trillion in 2014 budget. In February as oil price fell too low to less than $60 she again halfed the Capex to 387 billion.

However at the end 500 billion was passed and approved on $53/barrel oil price benchmark.

elampiro:
[s]The 2015 Capex budget was meant to be financed from loans. But things got too bad that the total loan negotiated and secured for 2015 is being used to finance salary payment. Half of the loan secured was already used to fiance salary payment to the tune of trillions of naira between January and April alone.

You asked if we cannot borrow. The 2015 budget is already being run on deficit from borrowing. Then what are we borrowing against, or you think the creditors are Father Christmas?

As for the projects, Onolememen said in March, that only 33 of 210 ongoing projects can be continued in 2015. Again that was when oil price was still above $60/barrel. He also said what was allocated to his ministry of works to operate expenses was just $11 billion instead of $100 billion in 2014.

Read the below and pay attention to the highlighted.
............




Nigeria borrows to pay salaries with cash crunch worsening

May 06, 2015
A cash shortage caused by low oil prices has forced Nigeria to borrow heavily through the early part of 2015, with the government struggling to pay public workers, officials said Wednesday. “We have serious challenges. Things have been tough since the beginning of the year and they are likely to remain so till the end of the year,” said Finance Minister Ngozi Okonjo-Iweala.

Nigeria, Africa’s top economy and largest oil producer, has been hammered by the 50 percent fall in oil prices, with crude sales accounting for more than 70 percent of government revenue. “As it stands today, most states of the federation have not been able to pay salaries and even the federal government has not paid (April) salary and that is very worrisome,” said Imo state Governor Rochas Okorocha.

Okonjo-Iweala said the federal government had a projected borrowing allowance for 2015 of 882 billion naira ($4.4 billion/4 billion euros). But 473 billion naira had already been used up to meet recurrent expenditures, including public worker salaries. “We have front-loaded the borrowing programme to manage the cash crunch in the economy,” the minister told reporters.

While Okonjo-Iweala said the severity of Nigeria’s cash crunch requires daily management, the problem will almost certainly be off her desk in less than a month. President-elect Muhammadu Buhari will be sworn in on May 29 and is not expected to retain any of the key ministers appointed by outgoing president Goodluck Jonathan[/s]

http://www.vanguardngr.com/2015/05/nigeria-borrows-to-pay-salaries-with-cash-crunch-worsening/

7lives:
Uncle Tom you are entitle to your grudges with GMB, but as long as naira does not go below 240, we are still on the right track.

4Play:
There are no free lunches in economics.You cannot defend a currency if you have insufficient foreign reserves. If you try to, you will either deplete your reserves or cause a huge divergence between the official and parallel exchange rates. A more recent and apt example was the Abacha era: 22 and 85 Naira to the dollar at the official and parallel markets respectively.
If the CBN persists in an Abacha style forex policy, forex will become scarce and the demand for forex in the official market will have to be rationed. This rationing will cause prices to go up as the previously imported goods can no longer be imported and as many importers source their forex from the parallel market. So the inflation and job losses will happen anyway. Abacha economics simply delays the inevitable, creates distortions and an attractive avenue for round tripping.
By allowing the market to set the exchange rate as has been recommended by JP Morgan, the increase in import costs curbs dollar demand naturally whilst making Nigeria an attractive destination for foreign investors as the cheaper Naira denominated assets prove a lure. It is by this means that equilibrium is achieved as the Naira finds it natural rate at a better level than would be the case if a ham-fisted attempt is made by the CBN to fix a level.
All this will be obvious in due course.

Whynotthetruth:
Roof shattering indeed ...Now did you read this;

7lives:
How will he defend his paymasters if he acknowledge the bolded.

Whynotthetruth:
What's the relationship between looting you used above and increasing salary thanks to NLC agitation and realities on ground which showed that 7500 a month isn't sufficient to feed a civil servant...Did agriculture not receive plausible attention that we even experienced dry season agriculture under Jonathan?.. Solid Minerals is riddled with litigations thanks to Obj though Jonathan succeeded in taking out most of them...

7lives:
How will he defend his paymasters if he acknowledge the bolded.

6)Jonathan met about $47.7b in FR and left about $29.9b thanks to exchange rate differentials, subsidy variation, and recurrent expenditure increase. Yes, Oil sold at its peak so also did other legal expenditures. Remember, Obj paid 7500 to workers while Jonathan paid 18000(more than 150% increase); Obj paid 9700 to NYSC, Jonathan paid 19800(check percentage difference too). Not minding other great infrastructure investment like Abuja/Kaduna standard gauge, Lagos/Ibadan road, East/
West road, etc

7lives:
Another liar exposed.

hinwazaka:
#INTELLIGENTSIA
Unlike the piece of crap put out yesterday by the unintelligent PASSING whatchamacallit, this is a cleverly put together article. To know where this economy is heading, all you need to do is research on the Abacha opaque government. The President, was an important member of that government, and so believes in the practices that were prevalent in that regime. In such an administration, practices such as Monopoly, scarcity, closed economy, non conformity to global economic practices, Agricultural illiteracy, nepotism, regionalism, bigotry, high mortality rate, moribund infrastructure and institutions, abuse of protocol and the law, economic madness, lack of fiscal policies E.T.C. This practices will become the order of the day, in a year from now. That is the only way PMB knows how to run a government. Youths on this platform who are in support of the President, are the next thing to a home for retards. They will be the worst hit in this government, while this practices, will surprisingly improve the businesses of the eastern elephants, who thrive better in such an environment. When the dust settles, the eyes of the blind SW's will bring out more water than the Kainji dam.

elampiro:
Supplentary budget when Jonathan borrowed to fund part of this budget, and NOI said they had been borrowing trillions of naira. to pay salary since January?

Onolememen said their were no fund to continue projects. I don't get you.

elampiro:
Your link is undated. So how do we know when NOI said all that?

My link has a date of May 19th and said Jonathan had approved the budget.

4Play:
There are no free lunches in economics.You cannot defend a currency if you have insufficient foreign reserves. If you try to, you will either deplete your reserves or cause a huge divergence between the official and parallel exchange rates. A more recent and apt example was the Abacha era: 22 and 85 Naira to the dollar at the official and parallel markets respectively.

If the CBN persists in an Abacha style forex policy, forex will become scarce and the demand for forex in the official market will have to be rationed. This rationing will cause prices to go up as the previously imported goods can no longer be imported and as many importers source their forex from the parallel market. So the inflation and job losses will happen anyway. Abacha economics simply delays the inevitable, creates distortions and an attractive avenue for round tripping.

By allowing the market to set the exchange rate as has been recommended by JP Morgan, the increase in import costs curbs dollar demand naturally whilst making Nigeria an attractive destination for foreign investors as the cheaper Naira denominated assets prove a lure. It is by this means that equilibrium is achieved as the Naira finds it natural rate at a better level than would be the case if a ham-fisted attempt is made by the CBN to fix a level.

All this will be obvious in due course.

TRUTHTOPOWER:
PDP senator, sponsored by Fayose (your hero), member of adhoc committee on power affirmed that the fear of PMB restored sanity to the power sector. challenge her for speakingTruthToPower. see her remarks here:
informationng.com/2015/09/ekiti-senator-confirms-buhariphobia-behind-improved-power-supply.html
"IT IS THE FEAR THST THE NEW ADMINISTRATION MIGHT MOVE AGAINST THEM LED TO THE IMPROVEMENT" IN POWER SUPPLY· NOW CHALLENGE HER IN LIGHT OF HER "CREDENTIALS" or this is an exception to your credential rule NOI case· 989900

Sandydayz:
Can never abadon/dump u

elampiro:
How?

When in about 5 months ago Onolememen told us only 33 out of 210 ongoing projects would be continued in 2015? When contractors and Jonathan govt both agreed hundreds of billions were owed contractors?

When tens of thousands of construction workers were sacked since January?

elampiro:
This is a wrong info.

The approved budged. CAPEX IS 500 BILLLON. The budget was based on oil benchmark of $53.

The ongoing budgets were not funded. Did not not read the contractors reports early this year? .
.......








Jonathan signs N4.425tn 2015 budget


MAY 19, 2015
Investigation by our correspondent on Monday revealed that Jonathan decided to sign the budget into law a couple of days back without fanfare.

As of the time of filing this report, it could not be confirmed why the President had kept the development away from public knowledge.

The Senate had passed the 2015 budget on April 28, following the passage of the same bill by the House of Representatives on April 23, with an expenditure outlay of N4.493tn, up from the N4.425tn proposed by the Executive.

There have been concerns among Nigerians on whether Jonathan will sign the budget before May 29 when he will formally hand over to Muhammadu Buhari or he will leave it behind for the incoming administration which is believed may still prepare a supplementary budget.

But a Presidency source told our correspondent that the President signed the budget about two weeks ago immediately after the document passed by the National Assembly was transmitted to him.

The source, however, said he did not know why the President chose to sign the document without making it public.

When contacted, the Special Adviser to the President on Media and Publicity, Dr. Reuben Abati, also confirmed that Jonathan had signed the budget.

Although he also did not give any reason why the signing was not made public, Abati said the President signed the document “some weeks back.”

The Senate, in passing the budget, slightly reduced the N2.607,601, 000,300 proposed by the Executive to N2.607,132,491,708 as recurrent expenditure and simultaneously scaled down the capital expenditure from N642,848,999,699 estimated in the proposal to N556,995,465,449.

The Chairman, Joint Senate Committee on Appropriation and Finance, Mohammed Maccido, explained that the details of the figure approved by the Senate in the document were not different from the version passed by the House of Representatives.

He added that the budget would be driven by $53 oil benchmark, an exchange rate of N190 to one US dollar; 2.2782m per barrel crude oil production per day; and a deficit gross domestic product of -1.12 per cent. http://www.punchng.com/news/jonathan-signs-n4-425tn-2015-budget/