“Change Regime” Less Than 90 Days In Office – New Nigerian President’s Economic Crunch, Policy Reshuffles and Restocking the Economy Welcomed by Masses
konknaijagirl | On 13, Jul 2015
Africa’s biggest economy, in which about a third of the formal workforce of 11 million is employed by the state is speeding up under the new administration to curb the financial difficulties in Nigeria.
The new administration dubbed the “Change Regime” has begun from the top putting up well fed bureaucrats for the chop in a bid to limit spending and address economic issues affecting the working class citizens.
The Buhari Administration is working to limit the effects of their proactive measures to prevent decline and all out austerity.
The cash crunch and financial mismanagement in the past decade has undermined the prospects for the new administration of President Muhammadu Buhari, who described the Treasury last month as “virtually empty.”
Buhari’s six-week old administration announced a bailout last week of as much as $3.5 billion for states to pay salaries and other debts. Details on when the money, which is meant to come from exports of liquefied natural gas and the central bank, will be allocated have yet to be disclosed and the package may only provide temporary relief,
While Nigerian states frequently pay salaries late, the problem is worse this time because the country depleted the buffers that may have helped it weather the crisis,
The government oil savings account stood at about $2 billion, compared with $21 billion in 2008, when crude prices last crashed, according to the IMF.
Grapevine news on social media channels report the implementations and changes in the economy as follows
Without a Power minister:
- Electricity supply has greatly improved
Without a Petroleum minister:
- refineries are almost fully revamped, to commence production within a month.
- Disappearance of fuel queues without oil marketers holding country to ransom.
- Stoppage of phantom fuel subsidy payments to the cabal, & reducing it from over N5b to N1.8b per day.
Without a Finance minister:
- External reserves increased by $3b in a month.
- Bailout to states to clear 8 months salary arrears.
- Closure of all secret government accounts.
- Maintenance of a single Federation Account for all FG revenues.
Without a External Affairs minister:
- Secured multilateral cooperation of all neighbouring countries for a MJTF against Boko Haram.
- G7 cooperation and support in fight against insurgents.
Without a Commerce & Trade minister:
- Concluded package to revamp local industries.
-Resuscitation of our dead Textile Industries ordered.