The 2023 National Budget has been discussed by political economy professor and founder of the Centre for Values in Leadership, Pat Utomi.
Goldennewsng reports that he asserted that the recently approved budget for 2023 will result in massive inflation, job losses, and a collapse of the exchange rate.
The economist who referred to it as a debt service budget stated that the anticipated N9 trillion in revenue and N21 trillion in expenditures defied rational human thought.
On Channels TV’s Politics Today on Wednesday, Utomi voiced his opinion.
He stated, “This budget will result in massive inflation and job losses.” The exchange rate will collapse as a result. The rationale is straightforward: this is a debt service budget.
“He says he wants to create 100 million jobs in ten years. I ask, can this budget create jobs? What is the goal of the Buhari administration?
They anticipate spending N21 trillion and earning N9 trillion. You are already in a debt situation that you can’t handle. Anyone with an understanding of economics cannot understand this.
You would think that the flow of tax revenue would accelerate production if people were rushing to invest in Nigeria. When people don’t invest, there is a rate at which it is best to try to collect taxes.
“Nigeria already has a problem that Forbes Magazine referred to in 2019 as Africa’s money-losing machine. Most of the time, no one wants to invest, and money has been leaving Nigeria.
Utomi stated that he attributed the country’s economic woes to the Buhari-led administration, noting that allowing the CBN to manage both fiscal and monetary policies was a contributing factor.
I absolutely attribute our current economic difficulties to the Buhari administration. They have failed miserably over the past eight years.
“The government’s greatest issue is the Central Bank’s methods, with 2,900 percent of printed money from the Central Bank currently lacking equivalent value.
“The civil service is the source of my issue, which is why it is critical to rebuild the civil service.”
“In the early days of this administration, no one was in charge of fiscal policy. When the Central Bank started in charge of both monetary and fiscal policy, it went above and beyond its own limits. The methods and means of boosting economic activity have become routine, in violation of fiscal responsibility laws.
Utomi went on to say that the economy management was “not people friendly, not sensitive to job creation, and not oriented toward economic growth.” He also said that the government had become too big.
“You have to stop the momentum.” The government is too big. We are using all of these funds for ongoing expenses. It goes far beyond firing people. Do you know how many government employees accompany the president on his trips abroad? He asked.
