Here is the top line...
Total budget N4.425 trillionNaira.
This implies a flat spend vs 2014.
If you factor in inflation , the federal govt will be spending 8% less that they did last year. Tight... Really tight...
Also assume 75% effectiveness IE - only about 75% of this budget will be spent. Sometimes it's 55% effective.
Other indices to consider.
Fiscal deficit N1.075 trillion naira. This is the difference between income and expenditure. So we will likely earn N1 trillion Naira less. It's another way of saying, we will earn N3.4trillion Naira and plan to spend N4.5 trillion Naira. Smart... Na waa ooo. So expect a few bonds to be issued!, a few gilt edged securities etc.
Debt servicing will take up N953b.
Education N392b... If you put it in perspective ... Harvard business school has a budget of near N1 trillion Naira. So ... Let's keep on with 'free education' , some states have now extended it to all levels including Masters degree!!
Health ... N237b - free health for all shall continue.
Works N25b - this means we will be able to pay for only 25km of federal road in 2016... Before you moan, there is a new way of dealing with road construction ... SWF is sourcing financing from private sources and the roads will be concessioned!! It's still a secret so you do not fill up the streets in the name of protests..
Military ... N338b.
Police N303b.
Interior N153b.
Let's put this in perspective - we were spending average N1 trillion subsidising fuel consumption.. NA waa for this rich country!!!!! Recall our protest of January 2012..
Subsidy has a meagre N135b - this is to settle spill overs from 2014 debt. The fuel queue might just last a little longer until we get real!!!
Did you ask .. How much for power? Oil and gas ?
It looks like power has been fully privatised!! Oil and gas ? I'm not sure.
This mirrors the scenario in the states though but most states have over 50% going to Capex!!
Big note ... Recurrent expenditure will pick up 70% of all these. That is what we use to pay salaries, train our people in govt, maintain offices and all... I have no issue with this providing we get these guys to be more productive. This is a difficult task. To be honest, our civil servants are very poorly paid .. May be we are just getting the level of productivity we pay for!! Food for thought...
My dear country is a rich country, a very very rich country indeed!!!!
But , Be informed , stay informed...
Next, I will present the budget summary of the following states ..
Lagos , kano, kaduna , IMO ( I have a special interest here) rivers , delta.
They make interesting read ... All but none planned to spend money they do not and will likely not get !!!!
Does this not call for really being strategic ... I mean being very selective.. And cutting off all the nonsense!!
Don't blame ... Just appreciate, understand ... The real matters!!!
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