itz_Tony

“I was in South Africa, they have over 40k megawatt of electricity and yet people are complaining they have no power when we have just 4k in Nigeria and we’re not complaining. This is the time for us to come out to complain” – Peter Obi

Most Nigerians would rather d+e in South Africa than return home — Peter Obi

“I And Kwankwaso Want A Child Of Nobody To Become Somebody Without Knowing Anybody, But We Must Sacrifice And Build A Nation” - Peter Obi

Fuel is ₦1350. Cement is ₦12,000. Band A is ₦250/kWh. A loaf of bread is ₦2000. Cooking gas is ₦1700/kg. A kilo of turkey is ₦11,000. One crate of egg is ₦7,500. A carton of Indomie is ₦11,000. The Hungry man size is ₦21,000. Pampers (Jumbo pack) is ₦40,000 Children pay over ₦600K in public universities. But they should Relax, Tinubu is fixing Nigeria?

Flight from Kano to Lagos is about half a million naira which I can't afford. I decided to follow road and this is where I ended up spending more than 6 hours.

Steady electricity or N10 million each?

Based on my reading about the cancelled World Bank loan, it appears that: 1. The World Bank (WB) stated there was a "persistent mismatch between power sector revenues and costs," which created "recurrent financing gaps," most notably in the form of "tariff shortfalls." In simple terms, Nigeria was not generating enough revenue to sustain its power sector. 2. In 2021, Nigeria developed a Power Sector Recovery Programme (PSRP), funded by the WB with US$20 million. The implementation was "satisfactory, brought substantial results." The results are listed below: 2.1 Between 2019 and 2022, tariff shortfalls decreased by 71% (from N581b to N166b). 2.2 Regulatory cost recovery increased from 56% to 94% during this period. 2.3 Annual electricity supplied to the distribution grid grew by 13% between 2018 and 2021. 3. Based on this success, a new US$750 million loan was approved on 9th June 2023. 4. However, in June 2023, Nigeria liberalized its foreign exchange market, meaning it needed more Naira to pay for local gas priced in USD. "This effectively increased tariff shortfalls from a low of N140b in 2022 to an estimated N1.9 trillion in 2024 and 2025, exerting serious pressure on the limited fiscal space of the Federal Government of Nigeria (FGN)." 5. According to the World Bank, while "prior results have been achieved and verified," the "broader disbursements under the Additional Financing have not materialized as expected, due to the increase in tariff shortfalls". In summary, Nigeria devalued its currency thus could not cover the cost of gas priced in $, resulting in soaring power liabilities. Also only Band A tariffs were raised. As a consequence, the World Bank withdrew the loan, citing that progress remains "Moderately Unsatisfactory."

Egypt’s total debt is estimated at over $400 billion, with a GDP around $390 billion — debt-to-GDP above 100%. South Africa’s debt is about $580 billion, with GDP around $420 billion — roughly 135% debt-to-GDP. Nigeria’s total public debt is about $110 billion, with a GDP around $340 billion — roughly 35% debt-to-GDP. Yet some people keep shouting that Nigeria is the “loan capital of the world.” To them: Loans are Haram. Education is Haram. Road construction is Haram. Power projects are Haram. Internet expansion is Haram. Railway modernization is Haram. Airport upgrades are Haram. Seaport reforms are Haram. Dams and agro-processing projects are Haram. Solar energy expansion is Haram. But the same people praise countries that borrowed far more aggressively to build infrastructure and grow their economies. The difference between productive borrowing and reckless borrowing is simple: what the money is used for. If loans are used to build roads, expand electricity, improve transport, increase internet access, modernize ports, support agriculture, and attract investment, those are long-term national assets. President Bola Ahmed Tinubu says the focus is on infrastructure that can improve productivity and economic growth across Nigeria. Criticism is normal in democracy, but opposing every single project simply because of politics helps nobody. Development is not the enemy. Underdevelopment is. Some people are no longer in any coven. They are simply online 24/7 wailing against everything.