Former Governor Of Anambra State Peter Obi Reacts To The Already Presented 2020 Budget

The Vice Presidential candidate of the People's Democratic Party in the 2019 general elections, Peter Obi in a press interview stated that the already presented 2020 budget shows that Nigeria isn't moving forward, He discribed the budget as "EMPTY"

Former Governor Of Anambra State Peter Obi Reacts To The Already Presented 2020 Budget

 

The Former Governor of Anambra State who sat for an interview on Arise News Morning show noted that there are capable hands who can navigate the country through its current challenges, but he added that the flawed electoral process won't let that happen. 

“It is only fair that you treat every part of the nation fairly and equally. Are Igbos being treated fairly? The answer is no…For me, I believe we should restructure this country in such a way that every part of the country would be competitive and we would get the best out of our resources" he said.

In his comment on the 2020 budget presented by President Buhari to the National Assembly, Peter Obi described it as "empty" and further stated that it won't enhance production and growth of the micro, small and medium scale industries.

“We have not looked at the quantum of the budget compared to the size of the country. I have made a study of the budget of about 24 countries and I have followed it religiously and I can give you an example of what is happening. Let us use examples of the BRICS (Brazil, Russia, Indonesia, China and South Africa) nations and the MINT economies (Mexico, Indonesia, Nigeria, and Turkey.) Of all these countries, there is none whose budget is less than 15 percent of its GDP except Nigeria. Brazil has a population of 210 million people, with a GDP of three billion, their budget is 803 trillion dollars. Nigeria has a population of 200 million people and a GDP of $400 billion and the budget for 2018 was $22 billion. If you look at all these countries and share their budget with their population, you will see that Nigeria is the worst yet none of them have more than five percent of their people living under poverty. In our own case, 50 percent of our people are living under poverty and our budget is so low.

 

“This 2020 budget that we are clapping about is not up to the Indonesia’s budget for education. So, we have a crisis and we need to look at what these countries are doing right that we are not doing. The budget that you think is big is empty in itself and to worsen it, you cannot fund it. Raising revenue is very simple. The only way to increase revenue is to create more employment. The more people are employed, the more revenue you get. If you pull 40 million people out of poverty, you can increase revenue through the tax they pay. But you are not creating jobs and you are now over-taxing the few who are struggling to make ends meet. Are you going to tax jobless people? Or will you tax those whose businesses are already closing?

 

“I spoke about debt in 2017 but because I’m just a trader and I don’t work in World Bank, no one listens to me. Our debt is toxic. There is nothing wrong in borrowing if we are borrowing for production. If you are borrowing for consumption, you have a crisis because you can’t pay it and that is why we are having problems today" he said.