Drain Pipes Episode 2: The Government Revenue:
Money is the lifeblood of the economy of nations. Banks are the veins through which these monies get into the economy and the demand/supply sides are the oxygen/cabondioxide we inhale/exhale for continues survivability in a circle.
Money is the lifeblood of the economy of nations. Banks are the veins through which these monies get into the economy and the demand/supply sides are the oxygen/cabondioxide we inhale/exhale for continues survivability in a circle.
In a robust economy, where the supply side ends is where the demand side begins, in a perfect circle continuously. For the health, prosperity, and stability of any nation, the nodes between the supply side must always support the rise in demand, thereby making citizens wealthier.
However, in Nigeria, our economy has always flowed from the supply angle to quench consumption demand. Where the country generates most of its revenue from a single commodity, oil to meet consumption, neglecting the necessary resources to power production and encourage growth.
That is why our big politicians care only to have a more beautiful house than have productive factories, more beautiful cars to drive, than roads to drive them on, drink more wine and produce nearly none of it. Have all the good things but never pay attention to its production.
The shocking thing is, we have sources of revenue to complements the needs of public good, yet these monies are generated in silos by each of the MDA's. Disbursement of these monies is at the sole discretion of the DG/Minister/ES. No accountability as to how much is generated.
On the expenditure, attention is only paid to retirement after spent. That's why the DG/ES/Minister etc work to have Auditors & Finance person on his/her good books in order to ensure proper documentation & filing of retirements. Most of these funds are siphoned to personal uses.
Nigerian Banks became the channel through which these monies get siphoned. They get so much deposit from public revenue generation sources that made them pay little attention to formulating creative ways of moving money down to the economic pyramid & encourage enterprising growth
After an audit in 2004, The Govt of Pres. Obasanjo through the help of the then minister of finance @NOIweala came up with the concept of TSA (Treasury Single Account) where monies from all revenue sources get accumulated in a single account, for proper planning of the economy.
Given the fact that the banks are practically living through govt revenue & most of the top persons in govt may greatly be affected once this is implemented. Fearing the drastic consequences to loss of political capital when deployed, @OfficialPDPNig govt decided to demur.
Again when @NOIweala came back to another @OfficialPDPNig administration under Pres. @GEJonathan, an attempt was made at deploying the TSA, but yet again, fearing the same consequences highlighted above, most of which is based on political patronage. That govt demured yet again.
While the economy is running on a bubble, political patronage consideration trumps everything, threatening the very existence of the Nigerian State. The country is forced to live in a perpetual recession. Because we are at the mercy of oil price rise, or doom with its fall.
After failing oil price in the fall of 2015 & the looming signal of recession, The Govt of @APCNigeria through the administration of Pres. @MBuhari dared the consequences & press the button, by giving the final approval to deploy TSA & block the leakages in our revenue sources.
Most banks began to feel the pressure and start quickly to develop creative ways to generate their hard earned income, making our financial market healthier, while high-level jamboree in the government offices of revenue generation, start to dry up. No more stealing or corruption
The patronage network began to break, sending money bag politicians into disarray and soon started a lot of propaganda against the current govt. unperturbed by those distractions, the Pres. @MBuhari pressed ahead. Behold, we are now rebounding back healthier and even stronger.
I choose to support the @APCNigeria & the administration of @MBuhari to continue because I can see the light at the end of the tunnel. Perhaps, we may start to get more factories, more beautiful roads etc in a more prosperous Nigeria. So, I chose the continuity of @MBuhari's govt
Therefore, let's move to # NextLevelNigeria, Let's support the administration of Pres. @MBuhari and VP. @ProfOsinbajo in order to solidify and consolidate on the achievements recorded so far.
Thank you very much.
We meet tomorrow for Episode 3.
Thank you very much.
We meet tomorrow for Episode 3.
