Brent Crude is $85, Brent was higher, Nigeria could not service her debt
This is the first oil boom that Nigeria has not increased revenues. The Federal Government failed the simple task of selling crude oil
The macroeconomics today are worse than any period under democracy
Let me repeat for emphasis, since Nigeria was created, this year 2022 has seen the worst macroeconomic environment for the Federation of States, in the Republic of Nigeria
The irony is that 2021 to 2022 has been the period of opportunities for Nigeria to have raked in the most revenues in her history
Oil prices, an all-time high
Gas prices, an all-time high
Yet, not only is the Federal Government broke, she is borrowing more.
I don't think Nigerians appreciate the hole they are in.
Technically, the Naira has no intrinsic value today; the FGN has survived not via tax revenues but by fines on MTN and literally printing of cash by the "independent" CBN (N15t minimum to date.)
After 62 years, the only saving the largest economy in Africa can boast of is about plus or minus $1b in the Sovereign Wealth Fund.
That's it.
The excess crude account is technically empty.
Power supply today is at 1999 levels in terms of distributed power
Credit rates are minimum of 14% MPR
Food inflation is 22%
FDI has cratered
Yet N4t has been earmarked to pay of imports of PMS.
Makes no sense
The only light I see at the end of the tunnel is the elections in 2023.
Perhaps, Nigerians will understand the economic hole they are in and elect a business minded CEO
Nigeria today is like GE, a failed conglomerate of opportunities.
She needs a competent CEO.
Kalu Aja
@FinPlanKaluAja1
CFEI. Member AFCPE. Making money, the economy and personal finance easy to understand. https://t.co/0wCFSkLwni Podcast. https://t.co/t9c3IFbLzz
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