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Between Okonjo Iweala and Kemi Adeosun; A Comparative Analysis By Stanley Dein


My Response to Jenny Ubi’ claim on Barr. Attah Ochinke’ s post( in respect of Senator Kanti Bello’ s claim that Buhari has failed) where Jenny Ubi claimed that Dr. Okonjo Iweala’ s policies impacted on the Nigerian economy and Nigerians more than those of Adeosun- current Finance Minister:

Very very laughable! “Jenny Ubi* anyway thanks for at least saying something, unfortunately you obviously said nothing useful.

So Okonjo Iweala’s economic policies “impacted” so much on Nigerians in 9yrs out of 16yrs of PDP, so much that less than six months after her exit the “impact” evaporated or disappeared into the tine air under Adeosun, who from your “intelligence” now put Nigerians into poverty due to her bad economic policies?

Sadly you don’t obviously know the difference between mere “economic growth” and “sustainable economic growth” as well as the difference between “economic growth” and “economic development”.

Simply put, Okonjo Iweala’s era was economic growth buoyed by sustained increase in the price of crude oil without a corresponding economic development in terms of massive construction of critical infrastructures to boost diversification of our economy which would have provided alternative revenues to survive the socioeconomic impact of sustained crash on price of crude oil which accounted for over 85% of our revenues.

My task becomes difficult because you may find it difficult to know the difference between a “Consumptive and import dependent economy” and “productive or production oriented industrialized economy”.

I thought you were going to provide concrete facts as to which of the 4refineries Iweala inherited that was working or any new refinery that was built to stop importation of a resource products like “crude oil and gas” which Nigeria is No.1 producer in Africa, yet shamelessly imports refined petroleum products- which Adeosun or Buhari inherited from PDP/Iweala and were destroyed?

Perhaps to list the number of Nigerian universities that now compete with the top 100 or 200 in the world in research and development or inventions inherited but now destroyed?

I thought you would list the railway lines that can compete with those of South Africa or Egypt in our backyard let alone China inherited but have been destroyed by Adeosun and Buhari’ s “bad economic policies”?

Yes, the list of 70,000mega watt power generation, transmission and distribution capacity after spending over $38b- the largest economy in Africa that generates barely 5000mw while South Africa generates 52,000mw with 7000mw in the last 8yrs at less than $10b while Nigeria under your Iweala spent over $38b to generate barely 2,200 having inherited 2,800 in 1999?

You claimed Okonjo Iweala “negotiated” debt cancellation for Nigeria. Kudos to her, nobody can deny her efforts! You know what?

Abacha in 4yrs paid a chunk of the Principal amount borrowed from the creditors, set up PTF headed by Buhari and today they are more legacies of PTF of 4yrs than 16yrs waste under PDP or 9yrs of Iweala as Finance Minister, Abacha built the LNG and concluded the policy and legal framework for the GSM revolution despite sanctions,etc, all these under Chief Anthony Ani as Finance Minister who did make and has not made noise like Okonjo Iweala whom some of you ignorantly Worship and claimed to have performed wonders as Finance Minister especially under the last Govt.

Here you are, despite the cancellation of our debts made up of the interests am yet to see any substantial legacy left behind after 9 or 16yrs without sanctions whereof oil price rose to $157-$100 within 2010-2014.

Alas Okonjo Iweala Harvard, trained Economist set up SURE-P to utilize proceeds from increase in prices of refined petroleum products in 2011 yet by 2015 March SURE P was death- I won’t remind you of who managed Abacha’ s PTF under Chief Anthony Ani- the records are there.

Now while it is clear that under Okonjo Iweala’ s last 4yrs oil price sold above $100 per barrel average under Adeosun oil price has been below $50 about $38 pb on the average.

Yet under Okonjo Iweala capital expenditures of our budget was barley 10% and 90% recurrent expenditures; actual budget performance especially release for capital projects under Iweala was below 40% under Adeosun has been over 75%.

Perhaps this would interest you- while you praise Okonjo Iweala for negotiating debt cancellation, same Iweala fraudulently or brilliantly connived with the Paris Club and other creditors through phony International consultants (which she and her allies under World Bank, IMF,etc usually use to underdevelop poor Nations via exploitative Imperialist policies) to over charged Nigeria in the debt relief scam in billions of Naira.

Today those illegal over deductions under your Harvard trained Iweala is what Adeosun under Buhari is demonstrating unusual financial responsibility/obligation, political will/integrity to pay/refund to States- so far two tranches have been refunded to States worth billions to enable States to pay Salaries and wages to reduce the impact of economic recession caused by voodoo economic growth and development under Iweala.

This is apart from the bailout funds which two tranches have also been paid to States to help out.

Under Adeosun Federal Govt and States have NEVER quarrelled nor has payment of monthly revenue allocations suspended or postponed as was the case under Okonjo Iweala- why?

Pure political will and transparency that was lacking then unlike now in the management of Federation Account.

It is unthinkable that any right thinking Nigerian would still mention Okonjo Iweala under whose era as Finance Minister Nigeria recorded the most unprecedented looting of public Treasuries which contributes 70% of the reasons Nigeria is in recession.

Funds that would have been used to build critical infrastructures needed to diversify our Economy, which would have accelerated the current recovery efforts under Adeosun to make such Noble efforts in two years so far to be felt by ordinary Nigerians which you now blame on Adeosun or Buhari out of utter ignorance.

As at 29th May,2015 oil revenues accounted for about 78% of Nigeria’ s revenues under Iweala, today under Adeosun oil revenues account for about 58% with tax revenues from Customs, FIRS, and other agencies substantially increased through clear cut policies that have seriously blocked loopholes and streamlined activities for more transparency, so encouraging that JAMB for the first time in over 40yrs paid #5b to Govt coffers , same JAMB that paid about #3m naira to Govt under the last leadership of JAMB appointed in Iweala’ s era.

Today, the 4 Refineries which stopped working under Iweala as at 29th May, 2015 are working at over 60% installed capacity, yet not enough to stop importation.

Govt has in the medium term decided to grant waivers to Dangote to import heavy duty machines needed to complete the construction of Dangote Refinery to fast track its completion from 2022 projected when it was conceived under Iweala to 2018 under Adeosun so as to stop depending on importation of refined petroleum products, which constitute the greatest burden on Nigeria’s effort to recover from recession.

Our non oil exports are being expanded daily as more agro products and industrial products are being produced locally and exported with ongoing widening of incentives despite paucity of funds to boost production instead of and away from the Consumptive/import dependent economy of Iweala.

Yes, unlike Iweala’ s era when NNPC never published it’s accounts, today NNPC publishes its accounts publicly monthly and is increasingly becoming more business oriented and transparent.

Alas! The era of granting waivers to Dangote,etc to import processed rice from Thailand, Vietnam, etc and re-bag in Nigeria and sell at cheap prices while killing local production and capacity and the modest efforts of Dr. Adesina Agric Minister under GEJ has past.

Now importation of rice is being highly restricted while waivers are being granted to manufacturers/farmers to import machines for mechanized farming and processing machines to produce rice,etc and process locally to boost local production capacity as could be seen from the Lagos/Kebbi Lake Rice, Increase in Abakilike(Ebonyi) and several other local rice production growing revolution.

In the short run there would be scarcity and increase in price of rice generally and local rice in particular, but in the long run prices shall fall and more foreign exchange shall be earned both from exports and feeding of local markets.

Already farmers are increasingly smiling to the banks while millions of lazy others come to Facebook or social media to keep lamenting Govt has failed because they are used to import dependency economy to lubricate their Consumptive appetites for foreign products with monies looted from high revenues from crude oil sales which has crashed significantly for over two years, which is unparalleled in the last 35 yrs and for mono economic Consumptive Nations like Nigeria it has been a disaster.

Therefore,Those who failed to use our huge revenues from crude oil sales to build Refineries and fix old once,build critical infrastructures to diversify our economy at least in the last 16 yrs are the least to criticize Adeosun or Buhari nor do they have the integrity or capacity to manage Nigeria at this critical times.

Let me say no more by simply stating that if Okonjo Iweala could not pay Salaries to Federal workers except borrowing in the last 7months (October 2014-April-2015) before leaving office despite oil selling at $100-$62 pb she is not competent to manage Nigeria where Adeosun has NOT borrowed to pay Federal Salaries despite oil selling at below $50pb for over 2yrs in a row.

I therefore wonder what Okonjo Iweala who couldn’t create any major alternative revenue yielding means nor fix the infrastructural deficit when oil sold at over $100 pb, would possibly do now that crude oil sells below $50 pd.

It is not about making empty noise.

Okonjo Iweala was a misfit simpliciter, and hugely overrated. God forbid she were to be our Finance Minister now – Nigerians would have been buried alive!

No doubt there are still lots of loopholes and corrupt practices in our Govt agencies here are there, which must be addressed, but two or four years are not even enough to eradicate the rots, but obviously the rots are not what it used to be under the last era negatively speaking.

Yes, there is still a long way to go, but honest and informed Nigerians can see the difference between Okonjo Iweala and Adeosun.

And for your information Adeosun did not introduce the pegging policy of the naira, PDP practiced it all through Iweala’ s era.





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