By Daniel Edu
In a statement during the Edo State Transition Committee Stakeholders’ Engagement on April 10, 2021, Governor Godwin Obaseki of Edo State alleged that the Muhammadu Buhari-led government printed N60 billion as part of the federal allocation for March 2021.
Expressing concerns about Nigeria’s financial situation, Governor Obaseki highlighted the unsustainable dependence on crude oil, a worrisome rising debt profile, and the challenges of continuing to borrow without clear means of repayment. He emphasized that the economic landscape had changed, and the country faced significant financial trouble.
Governor Obaseki stated, “When we got FAAC for March, the federal government printed an additional N50 to N60 billion to top up for us to share.” He went on to express worries about the country’s economic strategy, emphasizing the need for a shift from the current model, which relies on oil revenue.
Highlighting the changing dynamics in the global oil market, Obaseki pointed out that major oil companies were reducing their investments in Nigeria. He cited Shell’s withdrawal from the country and Chevron’s increased focus on alternative fuel as indicators of the challenges ahead.
The governor concluded by urging a reevaluation of Nigeria’s financial approach, emphasizing the need to move away from the current system of relying solely on monthly federal allocations.
