 Welcome back to the breakfast and plus TV Africa now we had six straight to our second conversation where we look at The fact that the House of Reps have actually passed the 2022 budget of 17.126 trillion era it therefore means that comp 2022 the Nigerian government is saying we're going to be spending We plan to spend 17.126 trillion is actually an estimate anything can actually happen now This is an increase. I mean to the original the actual Proposition that we actually had prior to this time and I will definitely just take you know Look at this report and when we come through we just have that conversation right away We have now passed the 2022 appropriation bill. I want to Thank members command them for their industry and how to work in the last two months And I also want to use the opportunity to appeal to members. There's no perfect document and I know a lot of some of the committees Have not been able to do perhaps What they thought will be justice to some of the reports. It's it's not in It cannot be a hundred percent, but a lot of work has gone into it and I commend all of you Particularly on a will done. Do say honorable job a I know there are issues But I appeal to you that so we are we we allow this and we will continue to continue to get better Thank you very much We have now passed the 2022 appropriation Bill I want to Thank members command them for their industry and how to work in the last two months And I also want to use the opportunity to appeal to members. There's no perfect document and I know a lot of some of the committees Have not been able to do perhaps What they thought will be justice to some of the reports. It's it's not in Cannot be a hundred percent, but a lot of work has gone into it and I commend all of you Particularly on a will done. Do say honorable job a I know there are issues, but I appeal to you that so we are We allow this and we will continue to continue to get better Thank you very much and of course a family by Javier Miller there saying there is no perfect document a lot of work has gone into that one and You know he you know commands his Colleagues in the National Assembly therefore, you know the of course eventual passage of the 17.126 trillion our budget We will of course will be reviewing this with experts this week Seeing where you know there might be challenges here and there with that budget of course the oil benchmark I believe was raised from $57 a barrel to $62 a barrel There's also concerns with regards borrowing and you know how much money we will need You know what our current budget deficit is and of course, you know how much money we will need to borrow to Benchmark for oil prices 57, okay I mean must have made a mistake of $57 a barrel and of course oil production volume You know is a 1.88 million barrels per day And so these are some of the the figures that you know you will of course or will be going through capital expenditure 4.89 trillion statutory transfer 768 billion naira Debt servicing which is very scary and we've repeatedly talked spoken about this How much money is being used to service debts from the past while we still borrow? 3.61 trillion naira is what has been stated for debt servicing and so there's there's so much You know of this conversation that needs, you know to be had moving forward and about one of the important parts You know, you know is one of the things that was mentioned earlier by our guests And that is you know how useful these budget is and the lives of Nigerians How do these figures really translate to a better life for Nigerian citizens? Who of course, you know on the receiving end, you know, I mentioned earlier also, you know that we don't do a lot of Analysis on the success of a budget, you know when we talk about how much has been placed You know 2020 budget 2019 budget how successfully was it was it? How it was the implementation percentage of the budget each and every year that passes These are some of the things that we don't pay enough attention to and eventually in New Year comes You know, we focus mostly on budget cycle Oh, we're excited about general January to December budget cycle But we don't really, you know get to understand or get to care much about how much, you know Implementation of the previous budget, you know, as much as yes Implementation and you know the budget circle is also important to pay attention to the budget circle because I mean look at the fact that if you say you were planning to spend 17.1 to 6 trillion are that would be from January to December one would expect that within that You know period of time you should have been able to implement it But usually like you have mentioned so yes from the issue of budgets echo whether we're starting early And then we're finishing up and we're implementing so you have the case of Fests from the MDAs submitting, you know proposals and all of that. Do we even pay attention to scrutinize? Prior to this time. I mean you also remember that that's a particular a particular Organization actually put our report faulting some of the figures from education about five agencies, you know Talking about the allocation what was said was allocated and what it is So most times because you know, we want to you know meet up the budget cycle They the due diligence that ought to be done It's not usually done paying attention to the document itself and let it go through the entire scrutiny up until you know It becomes that particular document that we want is a major challenge another issue is yes You're going to have you know that huge amount that we're going to spend What how much would be released so I'm thinking that you know in the entire process We need to be very transparent. There should be accountability. Maybe we know what's been released in the first quarter We know that you're not going to release the entire resources I mean all of that but let's know what's been released Let's see, you know, what you're going to spend in the first quarter that we're looking at first three months What you're going to spend in the second quarter what you have done and all of that But usually all of those information I don't know how much how much of this information that we have with the performance of our budget like now You want to ask what is the performance of the 2021 budget? We're already saying you're already hearing that there's going to be You know an extension of the lifespan of the budget to match. So how far have we fed? How much has been released? What have we done with all of that? So it calls for a lot of consent and we can't constantly just wake up and say oh, this is what we're going to spend Did we spend that actual amount when they release what happened? What are the projects that we have talked about another consent for SBATs? We're hoping that we have this conversation would be how realistic is this budget? We're looking at you know the oil benchmark and let's not forget that we do not control that You know things can come up and whatever happens in the international market You know you can't control what will happen and what will not happen And all of this usually have you know a serious impact. So if we're highly dependent on you know The resources that would actually come from that to finance the budget Then what happens if you know oil prices crashes? Yeah, and that's that's where the importance, you know concerning Nigeria's You know revenue generation is If we are you know still banking on you know oil, you know as our major source of income You know then we still have a challenge, you know There's still so much in so many other ways that Nigeria can fund its budget without having to borrow You know there's still so many other things that need to be done to reduce the amount of wastage and leakages In our you know finances that we still aren't doing enough of And those are some of the concerns you know because if we were able to raise enough money by ourselves as a country That we wouldn't you know be so You know This much concerned about oil benchmark, you know and some of all of that and hoping that there is no seriousness with COVID-19 In 2022 that reduces world economies or affects oil Prizes um, you know across the world Some of the thing that will be mentioned and I believe that we will speak about this You know with a proper analyst sometime this week Should be about um, you know flames the items in the budget because I saw something there that He was talking about defense space administration Requying three billion Naira And these are some of the things that are thrown in here and then to the budget increases 17 trillion Naira that you eventually don't even see that You know the use of some of these things There are certain items in those ministries in those MDAs and their figures that show planting of flowers and some really really flimsy, you know Irrelevant things um, and of course, you know having to buy Kotler and buy computers and buy laptops every year Um, but of course, you know, we will have an actual expending but if you even look at it Just thinking you know looking at the screen now You want to find out what the capital expenditure is and you're looking at 4.89 trillion Naira And you look at the recurrent expenditure and that's at You know Am I looking at 6 there 6.83 trillion So you you just you just shows you where we put our money You know what's important and I would say that for every, you know country that wants to develop They appear attention to their capital expenditure And so we see that That's what we're planning to spend for infrastructure and all of that and the cost of running government is going to be so much So, um, it's just we need to we need to sit back We need to look at the budget and understand that it's a critical tool Is a tool that tells us where we put our money where money It's going to be going and we cannot as an economy that is trying to recover and grow We need to cut down on all of these excesses. So what are we doing with all of those extras? Some of the ministries are duplicated You have too many ministries performing the same Function or bodies and agencies and constantly, you know, we we constantly, you know fund all of these MDAs So it's time that we sit back and look at it. Another major concern is the Debt servicing for me. How do you how do we now spend so much 3.6? once a 61 trillion I mean at 16 percent more than we did last year now almost, you know Almost, you know, a little bit with the capital expenditure So the difference is not so much if you do your calculations, but I hope that we get there like, you know, the Bajabia Miller actually said he said that it's not a perfect document We're getting there gradually and I'm hoping that we get there, you know one day Yeah, and just before we go, you know, some of the MDAs that you mentioned or some of these, um, You know agencies that you mentioned The duplication of agencies eventually still achieving nothing because there's a lot of them that exist, you know You know all set up to do the same job But obviously if you look at Nigeria today that job is still not being done You know, so are you having seven different agencies achieving absolutely nothing But we will have, you know, an economic expert, a budget expert join us sometime this week to discuss The 2022 budget and look, you know, deeper and look closer at some of the issues that may arise from it For now, this is where we wrap up the conversation Remember where to catch up and join us if you missed out on any of the things that we've spoken about this morning It's simply at Plus TV Africa on facebook and instagram And on youtube also at Plus TV Africa and Plus TV Africa live star I am Osaugi Obama and I am Massey Bukuo to have yourself a wonderful day