AUSTERITY BLUES... Just one month after oil prices started dropping,we are already in panic mode a serious economic depression,the Dollar is above 180 in the black market and the Naira has officially been devalued in an import based economy solely dependent on oil revenue to service its budget... Upon all the excess generated from the difference between our official benchmark of $178 per barrel to the actual price of crude which hovered between $105/$110 we are already broke? Do the maths, $30 excess times 2 million barrels a day,thats $60,000 million a day Times 3 years,that should run into Billions of $ This is just excess revenue generated from the difference btw benchmark and actual price... When Sanusi said $20 billion Dollars was missing/or was deliberately not remitted into the federation account,what happened ? They said if $20 billion is missing America will know Now no bi only America know,We all know ! Lagos state is the only state that can survive this economic catastrophe. Lagos state Internally generated revenue hits 384.25 Billion naira which represents 75% of lagos state budget... Lagos state is most prepared to adjust to a prolonged slide in oil prices... All other states are feeding bottle states who run cap in hand for monthly allocations.... If oil prices continue to slide at this rate,most states will shut down by next year... True federalism is the answer but unfortunately we have not even started threading that part... Even the state governors that we scream are trying what have they done to improve their internally generated revenue(IGR) ? Yes theve built new roads,but where does the road lead to? A manufacturing plant ? A mechanized farm? A functioning refinery ? A gold mine ? A coal coated power plant ? Yes some Money miss road Governors had so much money they did not know what to do with it? What did they do ? Built a 30,000 capacity stadium at a homongeous amount tagged The nest of champions How do you create champions on empty stomach? Now that weve failed to qualify for the nations cup,that stadium will not host a competitive match for At least 2 years...Who is going to keep Maintaining the stadium? What what expense ? Can we survive executive cluelessness, Political instability and an economic crises ? Diaris wahala oh.... (c) AWJ
Posted on: Wed, 26 Nov 2014 06:52:56 +0000