Let's hope smth good comes out of this regime.

Bevista:
I'll help with some figures of the budget proposals of the FG from 2011, just to provide some perspective:

2011
Budget Proposed - N4.97Trillion
Oil Price Used - $75
Oil Production - 2.3mbbls/day

2012
Budget Proposed - N4.75Trillion
Oil Price Used - $70
Oil Production - 2.48mbbls/day

2013
Budget Proposed - N4.98Trillion
Oil Price Used - $79
Oil Production - 2.53mbbls/day

2014
Budget Proposed - N4.91Trillion
Oil Price Used - $75
Oil Production - 2.39mbbls/day

2015
Budget Proposed - N4.49Trillion
Oil Price Used - $53
Oil Production - 2.28mbbls/day

2016
Budget Proposed - N6.0Trillion
Oil Price Used - $38
Oil Production - 2.2mbbls/day

I am interested in seeing the revenue details from the budget to know exactly how government intends to fund the budget. My first instinct, though, is that leackages in revenue generating agencies (like NCS, NPA, NNPC, etc) have been blocked and all funds channeled into the TSA. That the government has been able to come up with that size of budget - even in the face of declining oil prices & lower oil production levels - without depreciating the official exchange rate of the Naira is truly remarkable.

But how did GEJ, with benchmark oil price of over $75 throughout his term, not be able to come up with a budget of up to N5T? One can say that, had PMB met an oil price of $75, we would be talking about a N10T budget. Kindly note that during GEJ term, oil price was actually higher ($105) than the budget benchmark and yet our Foreign Reserves and ECA was declining.

Wow!

Meriekriss:



Let's wait till this administration achieve the 6T budget before we question why GEJ did that or this..





Check my signature for your total interior decoration solutions

The figures he posted were proposed. Proposed vs Proposed.

So there is nothing like waiting for actual.

elampiro:


The figures he posted were proposed. Proposed vs Proposed.

So there is nothing like waiting for actual.

Anyone can come out and propose even unrealistic stuffs. The same way they proposed 5000k for the poorest and free school meals even wen it was glaring that it couldn't be achieved.. No point dancing over 8T budget proposal when no efforts have been made to diversify the economy.. The oil is even projected to get worse next year.. So am just being realistic here..

Meriekriss:




Anyone can come out and propose even unrealistic stuffs. The same way they proposed 5000k for the poorest and free school meals even wen it was glaring that it couldn't be achieved.. No point dancing over 8T budget proposal when no efforts have been made to diversify the economy.. The oil is even projected to get worse next year.. So am just being realistic here..

OK. But proposed budget are usually not far from actual.

elampiro:


OK. But proposed budget are usually not far from actual.

Really? Despite last administration proposing 5T,they still had deficit of over 1T despite higher price of crude oil then.

I just think one should be realistic when proposing sha.. It's easier to propose.. Implementation is the main issue..

Bevista:
I'll help with some figures of the budget proposals of the FG from 2011, just to provide some perspective:

2011
Budget Proposed - N4.97Trillion
Oil Price Used - $75
Oil Production - 2.3mbbls/day

2012
Budget Proposed - N4.75Trillion
Oil Price Used - $70
Oil Production - 2.48mbbls/day

2013
Budget Proposed - N4.98Trillion
Oil Price Used - $79
Oil Production - 2.53mbbls/day

2014
Budget Proposed - N4.91Trillion
Oil Price Used - $75
Oil Production - 2.39mbbls/day

2015
Budget Proposed - N4.49Trillion
Oil Price Used - $53
Oil Production - 2.28mbbls/day

2016
Budget Proposed - N6.0Trillion
Oil Price Used - $38
Oil Production - 2.2mbbls/day

I am interested in seeing the revenue details from the budget to know exactly how government intends to fund the budget. My first instinct, though, is that leackages in revenue generating agencies (like NCS, NPA, NNPC, etc) have been blocked and all funds channeled into the TSA. That the government has been able to come up with that size of budget - even in the face of declining oil prices & lower oil production levels - without depreciating the official exchange rate of the Naira is truly remarkable.

But how did GEJ, with benchmark oil price of over $75 throughout his term, not be able to come up with a budget of up to N5T? One can say that, had PMB met an oil price of $75, we would be talking about a N10T budget. Kindly note that during GEJ term, oil price was actually higher ($105) than the budget benchmark and yet our Foreign Reserves and ECA was declining.

If you want me to explain it to you.
Will you believe?
The 6trillion that fg is proposing is only possible with heavy borrowing of extra $10-$12billion dollars

Meriekriss:



Really? Despite last administration proposing 5T,they still had deficit of over 1T despite higher price of crude oil then.

I just think one should be realistic when proposing sha.. It's easier to propose.. Implementation is the main issue..

I didn't get what you meant in your first paragraph. Can you throw more light on the exact figures proposed by last administration visavis the final actual budget approved?

I agree there should be realistic proposal, but that has to be determined by those scrutinizing it for approval in the Senate/House of reps. So the figures pushed forward will have to be defended. Last year Okonjo Iweala had to reduce the proposed budget twice as oil kept falling, then finally increased it a little with heavy borrowing to support.

baralatie:
If you want me to explain it to you.
Will you believe?
The 6trillion that fg is proposing is only possible with heavy borrowing of extra $10-$12billion dollars

And assuming you were right, is that a lot more than what GEJ and his bandits were borrowing - even with record high oil prices?

@ $38 per barrel and 2.2million b/d considering 260 days the Govts daily earnings from oil will be

$38 X 2.2M X 260 =$21736 Million

@ N196 = $1

This gives $21736 Million X 196 = N4260256 million i.e N4.260256T

With this figures and considering the other loopholes that have been blocked this is more than a possible feat.

The government doesn't have to borrow if the price of petrol continues to hover around the 43$ benchmark.

Bevista:
And assuming you were right, is that a lot more than what GEJ and his bandits were borrowing - even with record high oil prices?

On the contrary the Jonathan administration did not have to borrow to that extentextent.let me break it down.

1,The fed budget is designed to be 53% oil revenue to 47% non oil revenue
2,the acruable revenue for federal budget is #3.6 trillion with a zero subsidy but its budget expenditure is #4.4 trilliontrillion
3,from 2 oil is to bring #1.9trillion @$65/ barrel( but av is $40-$43/barrel)
4.optimum output is 2,03-2.1 millions barrels per day.

deking:
@ $38 per barrel and 2.2million b/d considering 260 days the Govts daily earnings from oil will be

$38 X 2.2M X 260 =$21736 Million

@ N196 = $1

This gives $21736 Million X 196 = N4260256 million i.e N4.260256T

With this figures and considering the other loopholes that have been blocked this is more than a possible feat.

The government doesn't have to borrow if the price of petrol continues to hover around the 43$ benchmark.

Good now you have arrived at #4.3 trilliontrillion.federal govt is only entitled to 53%=roughly
#2,15trillion over a year, states and l.g share the remaining oya carry calculator.
2,15/12 months

seunmsg:



A N6trillion budget with a $38 crude benchmark show genuine honesty and sincerity when compared to the N4trillion budget we had for 5 years under GEJ with crude oil benchmark averaging $70.

It is the other way round.@ $70 benchmark for #4.4trillion is far healthier than a $38 dollar benchmark for a #6 trillion budget

chinchum:
i will recommend 30 dollars /barrel as budget benchmark, instead of 38 dollars per barrel. As at today, oil is now under 40 dollars /barrel, it has achieved a 11 year low(since 2004), and i see it going towards 25 dollars/barrel, iran will be pumping more fuel in to the oil export market in 2016. Nigeria must look beyond oil to a great extent in 2016.

Me I thought $30 is a good way but who knows..

baralatie:

Good now you have arrived at #4.3 trilliontrillion.federal govt is only entitled to 53%=roughly
#2,15trillion over a year, states and l.g share the remaining oya carry calculator.
2,15/12 months

I am pretty sure the plan is to improve other major sources of revenue earnings for the government.

Don't forget that MTN still dey owe us oooo lol. But seriously I see the government raking in more from taxes, customs duties and law enforcement next year.

baralatie:

On the contrary the Jonathan administration did not have to borrow to that extentextent.let me break it down.

1,The fed budget is designed to be 53% oil revenue to 47% non oil revenue
2,the acruable revenue for federal budget is #3.6 trillion with a zero subsidy but its budget expenditure is #4.4 trilliontrillion
3,from 2 oil is to bring #1.9trillion @$65/ barrel( but av is $40-$43/barrel)
4.optimum output is 2,03-2.1 millions barrels per day.

Click the link below, then scroll down to "Fiscal Balance".

http://www.ey.com/GL/en/Services/Tax/International-Tax/Alert--Nigerian-Government-presents-2015-Budget

--------
Also note that the figures you presented was the proposal from the Executive. Recall that NASS ended up increasing the budget while also reducing benchmark oil price from $65 to $53, resulting in a deficit of N1.075T. Read below.

http://www.vanguardngr.com/2015/08/oil-crash-dwindling-revenue-threaten-nigerias-2015-budget-4/

------
I'll be happy to discuss further after you are done with those 2 links.

deking:



I am pretty sure the plan is to improve other major sources of revenue earnings for the government.

Don't forget that MTN still dey owe us oooo lol. But seriously I see the government raking in more from taxes, customs duties and law enforcement next year.

If mtn pays $3 billion that is good o
Which company will pay for 2017?
Already fed tax revenue dropped this gear compared to last year!
Customs and NPA might be a slight repreive but govt salaries and wages will also go up and cancel those earnings.
I want to see the breakdown of how the arrived at #6tr.I think salaries and wages from all mdas shot the fed bill higher

Bevista:
Click the link below, then scroll down to "Fiscal Balance".

http://www.ey.com/GL/en/Services/Tax/International-Tax/Alert--Nigerian-Government-presents-2015-Budget

--------
Also note that the figures you presented was the proposal from the Executive. Recall that NASS ended up increasing the budget while also reducing benchmark oil price from $65 to $53, resulting in a deficit of N1.075T. Read below.

http://www.vanguardngr.com/2015/08/oil-crash-dwindling-revenue-threaten-nigerias-2015-budget-4/

------
I'll be happy to discuss further after you are done with those 2 links.

What questions do you have with the report it is very clear and supports all I have been saying

I couldn't vote for Jonathan to continue cos I detested what my country was turning into under his administration so I never voted..
...
anytime I state this fact the first question I get is... "why didn't U vote for APC?"
...
I voted for APC in the Lagos Governorship election but didn't in the presidential elections not because I disliked their Ideology or mantra ( I craved for 'change') but because I couldn't convince myself (for d sake of my present and future family) to vote for Buhari because..
..
1...Buhari was a former President, former minister of petroleum and so many other top offices he held back then and yet he still tags himself as 'poor', borrowing money then to buy nomination forms. I'm not saying he should have embezzled our money but...for God's sake, it takes wisdom, vision and creativity to be a rich and successful man. Buhari couldn't create an empire with the "little" salary he made those days then I strongly don't believe he can change d fortunes of Nigeria.
it was shameful during asset declaration when I saw the wealth our VP has amassed for himself and his family, comparing it with that provided by our president who is meant to lead us out of brokeness.
..
2...Buhari has been contesting for presidency since 2003 and all those while as an aspirant, he never influenced katsina, Nigeria or Africa In any positive way, (he has no known charity foundation in his name), the only time one hears of Buhari then is when he makes Violence Inciting comments that leads to loss of lives especially in the north....
....
please fellow Nigerians, don't expect much from our president, he doesn't really have much to offer just pray for God to give him WISDOM and POWER not to lead us astray...
...Remember Nigeria is our country.

divinehand2003:
8 trillion was initially proposed For 2016, now it's 6 trillion during the FEC meeting presided over by PMB. After the review by the NASS, it might further slump down to 4 trillion. We are watching in 3D as usual.

The remaining 2 trillion was to be funded by MTN fine, but they didn't pay
When they pay we will balance it to 8 trillion

HAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAA SIX TRILLION..!!!!!!!!!!

[s]

SeverusSnape:
I thought the set of confused people said it gonna be 8 trillion

[/s]



some av eyes but cant see

elampiro:


I didn't get what you meant in your first paragraph. Can you throw more light on the exact figures proposed by last administration visavis the final actual budget approved?

I agree there should be realistic proposal, but that has to be determined by those scrutinizing it for approval in the Senate/House of reps. So the figures pushed forward will have to be defended. Last year Okonjo Iweala had to reduce the proposed budget twice as oil kept falling, then finally increased it a little with heavy borrowing to support.

Exactly my point.. Currently, this administration is only banking on TSA and low crude oil price which they are even finding it difficult to find buyers.

So my point is not presenting a budget that's unrealistic and painting a picture that it can be achieved.. Then later, when the reality dawns, the masses will descend on them the way they are doin now with regards to their promises.

baralatie:

If you want me to explain it to you.
Will you believe?
The 6trillion that fg is proposing is only possible with heavy borrowing of extra $10-$12billion dollars

+5trillion MTN fine

.

And Bamaga Tukur and a few others cornered #1 trillion . smh

baralatie:

What questions do you have with the report it is very clear and supports all I have been saying

You did not read anywhere in the report (the Vanguard link) where it said that we operating a budget deficit of N1.075T?

chinchum:
i will recommend 30 dollars /barrel as budget benchmark, instead of 38 dollars per barrel. As at today, oil is now under 40 dollars /barrel, it has achieved a 11 year low(since 2004), and i see it going towards 25 dollars/barrel, iran will be pumping more fuel in to the oil export market in 2016. Nigeria must look beyond oil to a great extent in 2016.

........it's time for massive agricultural projects. banks should be prepared to lend toward agriculture with a very low interest. "Ti ebi ba ti kuro ninu ise, ise bu she".

ril19:
About 15 Percent Of That Sum (1.4trn) Will Be Coming From The Coffers Of Empty Hen [sic].

#NaJokeO

lmao! 1.4trn is more than 15 percent i guess.

baralatie:

It is the other way round.@ $70 benchmark for #4.4trillion is far healthier than a $38 dollar benchmark for a #6 trillion budget

Oil is not the only source of funding the national budget. And besides, GEJ never remitted all the earnings from crude sale during his regime. Go and pick up a copy of PWC's report on the forensic audit of NNPC and digest the details. I don't have the time to argue about what is obvious.