BETWEEN MEDIA TWIST AND COMAPARATIVE FACTS: PRESIDENT JONATHAN SHARED N5.2TRILLION IN JUST 2014 WHILE PRESIDENT BUHARI SHARED N2.8TRILLION IN HIS FIRST YEAR IN OFFICE!
BETWEEN MEDIA TWIST AND COMAPARATIVE FACTS: PRESIDENT JONATHAN SHARED N5.2TRILLION IN JUST 2014 WHILE PRESIDENT BUHARI SHARED N2.8TRILLION IN HIS FIRST YEAR IN OFFICE!
By:
Nurudeen Dauda
June 14, 2016
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What you need to know before you accuse your governor of not paying salaries! First and foremost you need to know how much he gets monthly from federal allocation and internally generated revenue! Secondly, you need to know how much he pays as salaries to Civil Servants! It is very simple to know how much each and every state of the federation gets every month from the federal allocation, in case the governor lies. Every month the federal ministry of finance published allocations to all states and local governments in the newspapers and also places it on their website.www.finance.gov.ng.
It is a fact that, crude oil price which is about 95% sources of revenue to the 35 states with the exception of Lagos state has collapsed from $115 per barrel in 2014 to as low as $27 in January,2016, which shows a reduction of $88 per barrel. Civil Servants and political appointees in Nigeria from the federal to the state governments level consume about 75% of monthly revenue across board, yet they are not up to 10% of Nigerians. The situation most states find their selves in is like a father who has 2 wives and12 children, his monthly salary has reduced from N115 thousand to N27, but his wives and children did not reduce. Although, the price has increase to $50 but we are not benefiting due to reduction in crude oil daily production from 2.2m barrel to 1.2 due to Niger Delta Militancy.
A Total amount of N5.2trillion was shared in just the 11 months of 2014 with the exception of the month of September whose figure was not available at the ministry of finance website. The Revenue sharing formula for the three ties of governments are 52.68% -Federal Government; 26.72% States Governments ;20.6% Local Governments and 13% for Niger Delta states is usually deducted before sharing the allocation. In January, 2014 it was -N587.8billion; February - N666.3billion; March -N776. 7bn; April-N 720,8bn; May-N685, 1bn; June-N 1.1trillion; July-N 851.3bn; August, 2014-N 731.3bn; September, (the figure not available); October-N 620.5bn; November-N 610.1bn; December-N 628.7bn- Amount shared in 11 months 2014-N 5,267,625,814,683.55 Source: www.finance.gov.ng
President Buhari’s government shared N2.8trillion to the 36 states of the federation from May, 2015 to May, 2016 which is half of a total of N5.2tllion that was shared by President Jonathan in just the 11 months of 2014. The decline in revenue to the federation allocation account is due to the fall in the price of crude oil from as high as $115 per barrel in June,2014 to as low as $27 in January,2016. However, why the 27 states of the federation are finding it very difficult to pay salaries is due the shortages in revenue allocation to their respective states due to fall in the price of crude oil.
Kaduna state in 2014 had received the following amount from the federation account. KADUNA STATE: January 2014 -N3. 5bn; February 2014-N3, 7bn; March 2014- N3. 9bn- April 2014- N3. 6bn; May 2014-N 3.7bn; June 2014- N 4.1bn; July 2014-N 4.09bn; August 2014-N 4.1bn;September-2014 (not available); October 2014-N 3.4bn; November-2014-N 3.9bn; and December2014- N2.7bn. 23-LOCAL GOVERNMENTS: January 2014 N4. 03bn; February 2014 N4. 4bn; March2014- N4. 3bn; April 2014- N4.4bn; May 2014- N 4.3bn; June2014- N5.8bn; July 2014-N 5.8bn; August 2014-N 4.4bn; September2014 (no available figure); October2014- N4.3bn; November 2014- N 4.0bn; and December2014- N 4.2bn. A TOTAL OF N 63,689,658,039.54 Source: www.finance.gov.ng
Before the collapse in crude oil price many states have more than 75% of their monthly revenue spent for Civil Servants salaries and political appointees. More than 80% of monthly revenue to Kaduna state goes to political appointees/office holders who are less than 5% of the total population of Kaduna state. In the month of April, 2016 Kaduna state got 2.4 billion the federation accounts while the salaries for state Civil Servants are N2.2billion. Which means more than 98% will go to 27,000 state workers while the remaining 5.9million people of Kaduna state who are not government workers will share N200,000 million for project. The 23 local governments got N2.1billion while the salaries of the 60,000 local government workers is N2.3billion meaning that the government has to borrow N200, 000million if they are to pay them salaries. For the LGs nothing to work for remaining millions of people that are residing in the respective LGs.
The 27 states of the federal began to have salaries arrears when the price of crude oil collapsed. President Buhari came to power when 27 out of the 36 states had salaries arrears. The salaries arrears led to the “bailout” given by the federal government for the states to pay the salaries arrears.
However, part of the measures taken by the government of Kaduna was to reduce its number of commissioners from 23 to 13. Ministries from 19 t0 13 ministries, advisers from about 400 to 30 advisers, and Permanent secretaries from 38 to 18 etc., to enable them adjust to the new reality. What we need is payer to our leaders.
May God Bless Nigeria!