No. 1. Nigerian GOVERNMENT BORROW FOR CONSUMPTION
This is not true. PMB has never borrowed a dime for consumption.
All our borrowings are for capital expenditure or to renew existing
debt. I can’t believe that highly respected Governor Obi that chosen
this deadly path of making defaming statements to score a point.
No. 2. PMB HAS BORROWED SO MUCH
THIS IS A LIE-IMPLICITLY PMB HAS NOT BORROWED A KOBO.
PMB has only borrowed less than $10bn since 2015. Total FG debt
as at June 2015 was $53bn while total FG’s debt as at June 2018
was $60bn. The difference is $7bn. Don’t forget that PMB has
saved over $20bn in our reserves. Implying he actually did not
borrow. Because the savings can easily repay the debt. Then why
borrow you would ask? Because the borrowings are for projects.
None was for consumption. Peter Obi why? SMH. Peter is highly
informed; an ex-Chairman of a Bank definitely knows what
borrowing for consumption means and how it differs with capital
borrowing. How do we excuse you Peter? Anyway, let continue
with debunking the lies. Let me further break it down. These loans
are tied to projects and the moratorium would last for up to 10
years in some cases with very small interest rates. This means
that until the projects are completed we would not likely start
repaying. A good example is the rail lines. When the trains start
plying Lagos Kano through Ibadan and other towns, the revenue
from there would repay the maturing tranches without hitch.
This is only Part 1. No doubt, we have established that PMB didn’t
REALLY borrow, right? Let go to Part 2. President Jonathan earned
over $380bn in oil revenue and squandered all. Just imagine that!
He earned $381.9 billion. Squandered all without much to show for
it. That wasn’t bad enough for him. Yaradua left about $50bn in
reserves. GEJ dipped his hands therein and depleted them. He
handed PMB partly $30bn. He owed contractors over N1 Trillion.
Please these are not monies that accrued in 2015 or late 2104.
Many contractors were last paid in 2012 and when it became
obvious that Government wasn’t looking their way, they pulled out
of site. PMB needed them to go back to work thus he paid them
about N2 Trillion and over N1 Trillion was incurred by President
Jonathan’s Government. This is a Government that is very dear to
Peter Obi, in fact he was inseparably part of (forget he formally
defected to PDP late) it. So, add this too and see that PMB, not
only is it true that PMB didn’t borrow, he repaid the debt GEJ
Let’s look at debt servicing. PMB has paid over N4 Trillion in debt
servicing since 2015. Recall that all new borrowings are either for
capital projects (which we are yet to start repaying) or renewal of
existing loans. Thus, the debt servicing should be attributed to the
wasteful borrowings of President Jonathan and PDP. Remove N6
Trillion (N4 Trillion paid for debt servicing and the N2Trillion paid
to Contractors), then you will understand very well. I am combining
US Dollars and Naira because official exchange rate for Dollars in
2015 and now are different and also because most of the
borrowings were either EURO Bonds or capital borrowings in US
Dollars. So, converting back to Dollars remains to best way to be
objective though the Naira Payments should still be recognized. It
is apparently clear that PMB has not borrowed in reality since he
assumed power and that Peter Obi has only thwarted facts.
No.3. IGR SHOULD BE JETTISONED.
It is not possible for Government to stop collecting tax. You can’t
be against IGR and against borrowings. Lol. How will Government
do it then? How else can FG get money without borrowing and tax?
Has it not since been established that oil revenue ONLY is grossly
inadequate to develop Nigeria? I can’t believe highly revered
Governor Obi is the one mixing up issues. Anyways, the tax
authorities are doing a great job. I only urge FG to CONTINUE use
the proceeds judiciously. I trust PMB sha.
No. 4. THERE IS INEQUALITY IN THE SYSTEM
I agree with Governor Obi. There is high inequality in the system.
But what a contradiction sir? In No. 3. above, you were against
taxation yet you want inequality to be corrected. This is funny.
How will Government do it na? Actually, it is only through taxation
that this inequality can be bridged as much as possible. A good tax
system targets the wealthy ones and use the proceeds to carter
for the poor ones. PMB has increased tax revenue and has
employed over 300k persons on Npower, millions via CBN Anchor
borrowings, thousands are being fed in public schools and some
very poor receive a small sum of 5k/month.
No. 5. AMCON REPORT AND THE FIVE TRILLION DEBT.
Governor Peter was angry that 350 Nigerians owe the banks over
N4.5Trillion debt. He wondered why the sum was not shared
amongst the Small and Medium Businesses in Nigeria. I think
Governor Obi didn’t know the origin of these toxic assets (bad
loans). Sir, it wasn’t Government that gave these monies to the
very rich. No. Banks lent the companies loans but they refused to
repay them. But because the banks would sink, highly intelligent
Emir Sanusi, recommended that an Assets Management Company
be created to take these bad loans and it was approved. FG thus
bought the bad loans to ensure the banks didn’t go under and they
(FG through AMCON) started pursuing them to repay. So I don’t
know why you are wishing that the loans would have been given to
SMEs. So Governor Obi, FG has no hands in granting the loans.
But wait a minute, I thought you guys said Nigeria was paradise
while your Party was in power? We had a wonderful economy yet
trillions of debts were not repaid or you didn’t know that these
monies were borrowed when PDP was in charge with their claim of
a world class economy? You only confirmed that PMB is cleaning
your mess. I think at this point I should inform you that your
beloved Senator Ben Bruce is among the debtors. He borrowed
billions from Union Bank and refused to pay. So check out.
No. 6. OUT OF SCHOOL CHILDREN
Your figure with without source and no proof. You can’t just say
that the number of out of school children have increased and you
want us to believe you. I just remembered when you said you had
only a wrist watch and I believed you, but you know how far now
lol. You disagreed with the Education Minister without citing your
source or any proof. No sir! The Minister’s statement is more
authentic except you can with evidence deflate it.
No. 7. EIGHTY-SEVEN MILLION NIGERIANS ARE EXTREMELY
Governor Obi made the above statement. THIS IS A LIE. To be
extremely poor means to earn N499 a day or less. There is no
report that shows that 87 million Nigerians earn N499 or less. It is
a fact that we are poor and Government should double its efforts
to bridge the gap. Both we do not have 87m of us being extremely
poor. First no report justifies that except an assumption by
Brookings and The Clock. Their statements remain an assumption.
We all know that from conductors, to shoe shiners, to
“vulcanizers”, to even beggars, most of these close the day with
N500 or more. If eighty-seven million Nigerians earn N499 or less,
it means they can’t eat well and at least after three months at least
400k (less than 0.5% of them) of them would start dying of
starvation. It is a lie. We must improve that lives of all Nigerians
that 87m don’t earn N500 / per. UNTRUE.
No. 8. UNEMPLOYED NIGERIANS: Governor Obi said that because
unemployment rate rose, it means that more people have lost their
jobs. No sir. You are wrong. Unemployment is not job loss.
National Bureau of Statistics (NBS) has NEVER published job loss
report since PMB became President. Your statement that high
unemployment is a proof of job loss is unfortunate. Please sir,
always verify the things you say. You are morally bound to speak
only the truth. When people graduate from school without
immediately getting a job, unemployment increases, that is not job
joss. When a young man or woman learning a trade concludes his/
her apprenticeship and is yet to start anything, unemployment
increases that is not job loss. These are a few examples. Stop
thwarting facts. It is nauseous.
No. 1. Nigerian GOVERNMENT BORROW FOR CONSUMPTION