Former Senior Special Assistant on Public Affairs to ex-President Goodluck Jonathan, Dr. Doyin Okupe, on Monday, lamented over the precarious state of the nation’s economy, particularly as it relates to crude oil production and sale.
Okupe, who took to his Facebook page, said the volatility of oil prices have threatened the stability of the Nigerian economy, noting that it has become pertinent that this ominous situation is totally out of the control of the administration of President Muhammadu Buhari.
Okupe said: “These are very critical periods for World economy as it relates to Crude Oil production and sales. For a country like Nigeria it becomes more crucial in view of the fact that close to 70% of government revenue comes from sale of crude oil.
“In recent times however, the volatility of the oil prices have threatened the stability of the Nigerian Economy.
“Specifically the present price of crude oil hovering between $26 & $28 US dollar directly undermines the profitability of the crude oil enterprise, as the cost of production of crude in Nigeria is about $30 USD. This high cost of production is second only to Russia. Saudi, Iran,Iraq all produce at a cost between $12 &$15 USD.
“The danger signal here is clear and profound. The implication of this price regime is that we begin to lose $4-$2 USD for every barrel of crude oil we produce.
“It is pertinent to state clearly here that this ominous situation is totally out of the control of the present administration. But because we are all stakeholders in the Nigerian project and also for the fact that any external threat to the survival or interest of Nigeria calls for a bi-partisan Cooperation, it becomes imperative that we all put all heads together to find a solution.”
Okupe added: “I believe the government must readjust the budget immediately. Recurrent expenditure must be reduced by 50% minimum, while the capital is reviewed to focus mainly on projects that will directly impact on production and export driven initiatives.
“The deficit in the budget must be reduced substantially while the bench mark is brought lower to between $17 & $20 USD.
“There is need to liberalise some aspects of our Forex policies. Nigerians and foreigners must be encouraged to bring in their foreign currencies with absolute necessary guarantees.
“Lastly while the current anti corruption war must continue unabated emphasis must now be placed on recoverable to boost our foreign cash inflow. The need for the government to declare a national emergency and nationwide austerity measure regime cannot be over emphasized.” Click to signup for FREE news updates, latest information and hottest gists everyday
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So Okupe understand economic affairs this much but failed to advise his ex boss Jonathan about his irresponsible and unpatriotic styles and methods while in power.Anyway,the earlier the pdp rogues are made to refund the trillions of money stolen the better for Nigeria
ReplyDeleteHonestly, I don't know what to say when I see some people comparing Jonathan administration with Buhari when we can witness how a very few number of people shared money meant for insurgence while people are been killed massively.
DeleteYou can't be patient for at most 2/3 yrs to compare for a Visible Change.
WELL, PEOPLE LIKE U FRUSTRATE MOSES WHILE HE WAS FASTING AND PRAYING TRYING TO RESCUE ISREALITE FROM HARDSHIP.
mister@2:18
ReplyDeletefor real ,this man is saying the truth , do not insult his intelligence
You're the one doesn't know what he mean
DeleteYou're the one doesn't know what he mean
DeleteFor ya info, USA or UK can absorb the shock of their economic recession
ReplyDeleteHow Nigerian go do am?????
anywayz Nigeria will experience economic shocking soon..watch out!
Tell them! APseeeeeeeeeeeeeeee! Changi! The last administration chastised us with whip but this present administration is now chastising us with scorpion. We voted for change and we are getting the value for our decision. Apseeee! Change!
ReplyDeleteAnonymous 2:39pm, if Doyin is saying the truth, how we got to this point in our national life is totally preventable. If he could marshal his points this eloquently, why could he not advise his boss when he was in government about not wasting away the common wealth of this nation. They were busy spending all the savings the previous government left behind without adding a single cent to it. Shame on you, Doyin Okupe the overnight economist!
ReplyDeleteanonymous 2:18pm apc used u ur sense of rasoning dat why u can still type noinses here
ReplyDeleteImagine someone yabin peson typin nonsense. Pls try and read what U type.
DeleteOkupe is very correct. We should forget about politics. The state of the economy has nothing to write home. Urgent radical measures need apply otherwise anarchy.
ReplyDeleteThese people almost brainwashed us that Buhari is Boko Haram.
DeleteBro, have u ever ask urself who is behind BH now??
Yet they still speak and u listen to these IDIOTS that, for their selfish interests, almost destroy Nigeria.
Be honest to urself, from the buttom of ur heart, u know these people "PDP" are bad. Forget all dis toasting.
I don't know why most Nigerian can't see the handwriting on the wall. It's obvious Nigeria is going into recession. Let's be more realistic, under Jonathan administration things weren't that bad like this but Buhari came to power without vision but only chanting change, change, change and now this is the change we voted for. It's a pity :(
ReplyDeleteYou must be an under 10 for this comment. Up till now you are still living as a brainwashed PDP person. Read other people's comment if you must comment.
Deletemy people no need,nigeria is in big problem the same way apc comes the will go back the same way let wait for the end of the drama.
ReplyDeleteSo because pdp is not in power you don't wish this country well. All of you would be shamed very soon, just wait and see
Delete