Err.

I agree that they need to increase IGR.

But $400+ million a year in free cash isn't beans.

Let's not look the gift horse in the mouth, as they say.

Be grateful for what you get for free, even if it isn't enough to satisfy all your goals. And spend the money you get wisely.

ekt_bear:

How on earth will all those things happen in less than a year? I don't see the point of your argument here, it isn't realistic. [/b]This is a 10 or 20 year project, not a 1 year one. The impact of wise financial management obviously will not pay dividends 3 days from now. But the payoff down the line is massive.
See my post above.

The point is that you point at the 10% reduction in recurrent expenditure of Ekiti without seeing that if it were really appreciable then its effects will be seen glaringly even in a year!!! If , for example, the 10% drop in recurrent expenditure released $1 billion, then we will see a lot done as per the infrastructural development of Ekiti. Ekiti and Osun are poor States where previous administrators had deliberately contributed to the underfunding of the States because of their indolent focus on federal allocation. You can work to reduce recurrent expenditure but the development of Ekiti and Osun , [b]the sort we all want to see, will still depend on both States recieving far greater income than is currently generated. That is why Aregbesola (if I remember correctly) spoke of increasing per capita income by about circa 80% !!!!


http://www.osundefender.org/?p=20942

You said that you have N29.5 billion for development of Osun, but if you calculate the money you need eventually, it is more than  you have. How will you generate more money to carry out your programme?


The truth of the matter is that the money that can take us out of the situation we are now cannot be less than N300 billion. Through financial re-engineering we are raising it, but what we have raised is grossly inadequate, and we will look for other methods to raise money for development, details of which I will not supply now. Just note that when it comes to the time when this money is required we will get it. By my own commitment, I want to leave here by far better and comparable to any human society anywhere in the world and I want you to join me to achieve this.



CULLED FROM THE NATION.

This Gbawe man is still here ! Olodumare o o o
When are you going to pay your workers ? In fact how will you ever be able to pay your workers if you spend all day on Nairaland ?
Please go and do some tangible work on the ground sir. All this verbal gymnastics won't take anyone anywhere.
Oduduwa a gbe yin o . Ase !

ekt_bear:

Err.

I agree that they need to increase IGR.

But $400+ million a year in free cash isn't beans.

Let's not look the gift horse in the mouth, as they say.

Be grateful for what you get for free, even if it isn't enough to satisfy all your goals. And spend the money you get wisely.

My brother, you get me wrong. don't take my utterances to mean that I am dismissive of the need for sound fiscal management that will see recurrent expenditure come down. I still hold that most Nigerian States , while still so disgracefully underdeveloped, have no business using more than 20% to run affair of Governance. Nonetheless, things are what they are and the headache is even greater when we talk of States badly underfunded like Ekiti and Osun. The point I am making is that I am far more excited at the drive to boost income massively than come to conclusions based on how recurrent expenditure has moved . Of course recurrent expenditure must come down as , minimally, it makes more cash available for badly need capital spending but the onus is on Governors to work much harder to increase the income of their State. This is achievable considering the various sectors, abandoned after oil income began to flow, that can be resurrected to great effect.