Ekiti state governor, Ayodele Fayose, on Friday raised an alarm over the proposed trip of President Muhammadu Buhari to China.
According to the governor, President Buhari was travelling to China so he can obtain a loan of N1.84 trillion that he will use to finance the 2016 budget.
Speaking through his Special Assistant on Public Communications and New Media, Lere Olayinka, Fayose noted that such borrowing will have harmful effect on Nigeria and the future of Nigerians.
He stated that: “By the time they borrow N1.84 trillion to fund their N6.06 billion budget; I wonder how Nigeria will survive in 2017 when the Federal Government will be servicing debt with about 50 percent of its budget.
“In elementary economics, you don’t propose to spend more when your income reduces and I still can’t understand this Buharinomics in which Nigeria is going to spend N6.06 billion with crude oil bench mark of $38 per barrel when the country budget was N4.5 trillion in 2015 when crude oil bench mark was $53 per barrel.”
The governor suggested that the President should use the trillions of naira allegedly recovered from corrupt former government officials and through the Treasury Single Account (TSA) to finance the budget.
He warned that Nigeria will soon become a debt ridden country like Greece if the president succeeds in borrowing the said money from China.
“If your income was N200, 000 per month last year and your expenditure was N195, 000 per month; does it make any economic sense for you to propose to spend N300, 000 per month this year that your income has reduced to N120, 000?
“Only President Buhari can explain to Nigerians what manner of Economic theory encourages borrowing of N1.84 trillion to fund a N6 trillion budget. As for me, it is nothing but a voodoo economic theory and Nigerians must take note that the income that should accrue to them in five years’ time is about to be spent in one year by the Buhari’s APC government.”