Why APC government didn't tell Nigeria that crude oil is up to $73 but when oil $35 they are complaining that oil price is down Hippocrates government.

Disclaimer: This post is not to defend APC or Buhari. The Poster does not vote for APC or PDP , in the past or present.

Oil is at 73 dollars...but this does not mean that Nigeria is out of the woods.

For some time...Nigeria has needed oil to be as high as $133 to run a balanced budget.

Also, since 2014, oil has been below $100 per barrel....and was as low as $20-30 at one point.

Because oil has not been that high....we have had to borrow

So even at $73...we still

1.Are losing $60 per barrel sold
2.Have to borrow to make up the difference.
3.Have to use some of the money to pay back loans taken before....due to the problem ennumerated.


The way forward is to
1.Fight corruption really
2.Cut subsides on power, petrol, etc.
3.Widen the tax base...at the moment only 30% of taxable Nigerians pay taxes...this means also increasing the tax to gdp ratio

That's the only way to reduce dependency on loans., etc.

Beancounter93:
Disclaimer: This post is not to defend APC or Buhari. The Poster does not vote for APC or PDP , in the past or present.

Oil is at 73 dollars...but this does not mean that Nigeria is out of the woods.

For some time...Nigeria has needed oil to be as high as $133 to run a balanced budget.

Also, since 2014, oil has been below $100 per barrel....and was as low as $20-30 at one point.

Because oil has not been that high....we have had to borrow

So even at $73...we still

1.Are losing $60 per barrel sold
2.Have to borrow to make up the difference.
3.Have to use some of the money to pay back loans taken before....due to the problem ennumerated.


The way forward is to
1.Fight corruption really
2.Cut subsides on power, petrol, etc.
3.Widen the tax base...at the moment only 30% of taxable Nigerians pay taxes...this means also increasing the tax to gdp ratio

That's the only way to reduce dependency on loans., etc.

Most Nigerians ain't earning enough to pay tax.

stonemasonn:
Most Nigerians ain't earning enough to pay tax.

Yeah that's the problem and that is why we are so reliant on oil.

We use oil revenue to cover up the cracks in revenue generation. Problem is it isn't enough due to our large population

So it is taxes or we keep taking loans when the oil price is too low to earn us a sustainable revenue.

Beancounter93:
Disclaimer: This post is not to defend APC or Buhari. The Poster does not vote for APC or PDP , in the past or present.

Oil is at 73 dollars...but this does not mean that Nigeria is out of the woods.

For some time...Nigeria has needed oil to be as high as $133 to run a balanced budget.

Also, since 2014, oil has been below $100 per barrel....and was as low as $20-30 at one point.

Because oil has not been that high....we have had to borrow

So even at $73...we still

1.Are losing $60 per barrel sold
2.Have to borrow to make up the difference.
3.Have to use some of the money to pay back loans taken before....due to the problem ennumerated.


The way forward is to
1.Fight corruption really
2.Cut subsides on power, petrol, etc.
3.Widen the tax base...at the moment only 30% of taxable Nigerians pay taxes...this means also increasing the tax to gdp ratio

That's the only way to reduce dependency on loans., etc.

Sharap ..any oil price above 100 dollars is an anomaly and only happens once in a while so saying Buhari govt is waiting for oil price to hit dollars before it can perform is nonsense ..the ideal price for oil is about 60 dollars a barrels donate 73 if Buhari is competent he should be showing working but he is not

Beancounter93:


Yeah that's the problem and that is why we are so reliant on oil.

We use oil revenue to cover up the cracks in revenue generation. Problem is it isn't enough due to our large population

So it is taxes or we keep taking loans when the oil price is too low to earn us a sustainable revenue.

We're just robbing Peter to pay Paul. You tax mostly the middle class and the poor to pay unnecessary high wages and allowances to government officials and politicians. ......infact to subsidize corruption.

stonemasonn:
We're just robbing Peter to pay Paul. You tax mostly the middle class and the poor to pay unnecessary high wages and allowances to government officials and politicians. ......infact to subsidize corruption.

So we keep taking loans instead.

Because agriculture is not at a position to solve our money issues

Beancounter93:


So we keep taking loans instead.

Because agriculture is not at a position to solve our money issues

fighting corruption as you noted should come first else we'll be moving in circles.

stonemasonn:
Most Nigerians ain't earning enough to pay tax.

What do u mean not earning enough to pay tax ?

mrvitalis:

What do u mean not earning enough to pay tax ?

I mean not earning enough to pay the kind of tax to boost the economy except you want people to be overtaxed.

stonemasonn:
fighting corruption as you noted should come first else we'll be moving in circles.

We need more money than can be raised from dealing with corruption

Beancounter93:


We need more money than can be raised from dealing with corruption

Jeeez, do you have any idea what we loss to corruption in public offices dailyyyyyy.

FarahAideed:


Sharap ..any oil price above 100 dollars is an anomaly and only happens once in a while so saying Buhari govt is waiting for oil price to hit dollars before it can perform is nonsense ..the ideal price for oil is about 60 dollars a barrels donate 73 if Buhari is competent he should be showing working but he is not

My comment does not defend or excuse Buhari.

It states the problem and indicates the solutions based on my thinking.

Read it again. Slowly.

I have no love for the apc government and regard them with the same distaste as the pdp goverment

stonemasonn:
Jeeez, do you have any idea what we loss to corruption in public offices dailyyyyyy.

Yes, and even then we still.need far more money

Plus we cannot fight corruption because Nigerians think that the job of fighting corruption must be done only on those politicians who don't favour them

Beancounter93:
Disclaimer: This post is not to defend APC or Buhari. The Poster does not vote for APC or PDP , in the past or present.

Oil is at 73 dollars...but this does not mean that Nigeria is out of the woods.

For some time...Nigeria has needed oil to be as high as $133 to run a balanced budget.

Also, since 2014, oil has been below $100 per barrel....and was as low as $20-30 at one point.

Because oil has not been that high....we have had to borrow

So even at $73...we still

1.Are losing $60 per barrel sold
2.Have to borrow to make up the difference.
3.Have to use some of the money to pay back loans taken before....due to the problem ennumerated.


The way forward is to
1.Fight corruption really
2.Cut subsides on power, petrol, etc.
3.Widen the tax base...at the moment only 30% of taxable Nigerians pay taxes...this means also increasing the tax to gdp ratio

That's the only way to reduce dependency on loans., etc.

Good summation, however difficult to achieve

Malami must be busy with his Bitcoin app now

The idiot defending why they shouldn't tell us when it's climbing up but can tell us when it's going down

FarahAideed:


Sharap ..any oil price above 100 dollars is an anomaly and only happens once in a while so saying Buhari govt is waiting for oil price to hit dollars before it can perform is nonsense ..the ideal price for oil is about 60 dollars a barrels donate 73 if Buhari is competent he should be showing working but he is not

But oil was $80 when your Clueless hero was borrowing to pay salary

babyfaceafrica:
Good summation, however difficult to achieve

Yeah especially the tax bit.

Beancounter93:


Yeah especially the tax bit.

Would the completion of the Dangote Refinery help our economy and give us a better currency rate

stonemasonn:
I mean not earning enough to pay the kind of tax to boost the economy except you want people to be overtaxed.

Yet our GDP is $400 billion

Truth is north is cared to tax south because it would break Nigeria ...south won't want to pay tax n it's used to develop north the breakup movement would grow louder

babyfaceafrica:
Would the completion of the Dangote Refinery help our economy and give us a better currency rate

We need far far more than that

Sirjamo:
But oil was $80 when your Clueless hero was borrowing to pay salary

GEJ was borrowing for the same reason Buhari is borrowing

Oil has never been high enough to earn us a revenue that can fund our budget adequately

At 80 dollars we were still losing 40 dollars per barrel at least then.