During my quest to keep up to date with the state of affairs in Nigeria through Twitter hash tag #OccupyNigeria game across the link to the proposed Nigeria 2012 budget through the Twitter handle @BankyW. Even having such information available on the Internet is a progress in its own right (no hint of sarcasm intended).
Based on the data available, I did compute the equivalent budget for each ministry in USD and GBP, did this so that those residing outside the country can appreciate the value more. Exchange rates (NGR:USD = 161.90 and NGR:GBP = 249.747) was taken from xe.com as of Sunday 8th, Jan 2012.
This piece also includes the rough comparison between UK and that of Nigeria in some areas which I could get data for both. Yes, you are right, Nigeria and UK are not in same par in terms of development status hence might be an invalid comparison, but the comparison is able tell a story about the budget allocated for Nigeria (estimated pop of 156m) against UK(estimated population of 60m). One might even be able to deduce why Nigeria probably is not developing in measurable levels that might be expected (sorry, dreaming of).
If anyone of you know where I can source the Nigeria government receipts (e.g Income tax, business tax, stamp duties) then do let me know. Will be nice to get to see the gap between budget and estimated national income.
Source of information of data are confirmed appropriately. There is probability for mistakes as the figures were manually copied across, hence feel free to analyse and point out any omission or mistakes.
Story of the 2012 Budget
The Nigeria govt plan to spend an estimated N4.749 trillion ($29.33b; £19.02b) in 2012 to keep the nation moving. Those of you that are clever enough and have an idea what the US and British govt budgets are, will instantly come to the conclusion that they must be some mathematical computation error. US federal budget alone for 2012 is estimated at $3.7 trillion (please bear in mind that US estimated population is about twice that of Nigeria).
Consolidated Revenue Fund Charges (Item no 51 in snapshot below) which include items such as Pensions and gratuities, service-wide votes, and capital supplementation, takes the higher proportion of the allocation at 21.42% (N1.02t; $6.28; £4.07b).
At an allocation of 10.78% of the total budget, servicing of the domestic debts comes in second highest in terms of proposed budget, at N511.98b ($3.16b; £2.05b).
Education is the best gift a child can be given, hence Nigeria govt plan to spend an estimated N400.15b($2.47b; £1.60b). This is only 8% of the total allocation budget. According to the HM Treasury UK, the estimated Education spending in 2011-12 is £89b (N22.22 trillion), which alone is about 1,689 times what the TOTAL Nigeria budget is. This will explain why the education system will continue to degrade year-on-year, many bright Nigerians leaving to study abroad(and may never return), and the country lacking behind in terms of Research and Development. Click here to get full breakdown of allocation to each educational institution in the country.
Budget allocation for the health sector is N282.77b ($1.74b; £1.13b), this is only about 5.95% of the total budget allocation. National health insurance scheme takes about N1.55b (£6.20m) of that allocation. If the economy was well developed, with jobs available to majority of the people, that National Health Insurance can be paid for by the people. In comparison to the UK, there is an allocated budget for health(NHS item) of about £101.5b (about N25 trillion). Click here to get the Nigeria Budget health breakdown item.
Presidential office has an allocated budget of N43.60b ($269.27m; £174.56m). Items that make up the total cost are diverse, hence do not conclude it was only meant for the president. Click here to get more details
Pictures below show the breakdown of the budget by ministries, and the allocation of the total budget. Data was sourced from the Nigeria Budget Office.
The supporting document, produced by the Nigeria Budget Office can be found here.
Source of the UK budget can be found here
Based on the data available, I did compute the equivalent budget for each ministry in USD and GBP, did this so that those residing outside the country can appreciate the value more. Exchange rates (NGR:USD = 161.90 and NGR:GBP = 249.747) was taken from xe.com as of Sunday 8th, Jan 2012.
This piece also includes the rough comparison between UK and that of Nigeria in some areas which I could get data for both. Yes, you are right, Nigeria and UK are not in same par in terms of development status hence might be an invalid comparison, but the comparison is able tell a story about the budget allocated for Nigeria (estimated pop of 156m) against UK(estimated population of 60m). One might even be able to deduce why Nigeria probably is not developing in measurable levels that might be expected (sorry, dreaming of).
If anyone of you know where I can source the Nigeria government receipts (e.g Income tax, business tax, stamp duties) then do let me know. Will be nice to get to see the gap between budget and estimated national income.
Source of information of data are confirmed appropriately. There is probability for mistakes as the figures were manually copied across, hence feel free to analyse and point out any omission or mistakes.
Story of the 2012 Budget
The Nigeria govt plan to spend an estimated N4.749 trillion ($29.33b; £19.02b) in 2012 to keep the nation moving. Those of you that are clever enough and have an idea what the US and British govt budgets are, will instantly come to the conclusion that they must be some mathematical computation error. US federal budget alone for 2012 is estimated at $3.7 trillion (please bear in mind that US estimated population is about twice that of Nigeria).
Consolidated Revenue Fund Charges (Item no 51 in snapshot below) which include items such as Pensions and gratuities, service-wide votes, and capital supplementation, takes the higher proportion of the allocation at 21.42% (N1.02t; $6.28; £4.07b).
At an allocation of 10.78% of the total budget, servicing of the domestic debts comes in second highest in terms of proposed budget, at N511.98b ($3.16b; £2.05b).
Education is the best gift a child can be given, hence Nigeria govt plan to spend an estimated N400.15b($2.47b; £1.60b). This is only 8% of the total allocation budget. According to the HM Treasury UK, the estimated Education spending in 2011-12 is £89b (N22.22 trillion), which alone is about 1,689 times what the TOTAL Nigeria budget is. This will explain why the education system will continue to degrade year-on-year, many bright Nigerians leaving to study abroad(and may never return), and the country lacking behind in terms of Research and Development. Click here to get full breakdown of allocation to each educational institution in the country.
Budget allocation for the health sector is N282.77b ($1.74b; £1.13b), this is only about 5.95% of the total budget allocation. National health insurance scheme takes about N1.55b (£6.20m) of that allocation. If the economy was well developed, with jobs available to majority of the people, that National Health Insurance can be paid for by the people. In comparison to the UK, there is an allocated budget for health(NHS item) of about £101.5b (about N25 trillion). Click here to get the Nigeria Budget health breakdown item.
Presidential office has an allocated budget of N43.60b ($269.27m; £174.56m). Items that make up the total cost are diverse, hence do not conclude it was only meant for the president. Click here to get more details
Pictures below show the breakdown of the budget by ministries, and the allocation of the total budget. Data was sourced from the Nigeria Budget Office.
The supporting document, produced by the Nigeria Budget Office can be found here.
Source of the UK budget can be found here
2 comments:
What is consolidated fund charges that takes such a large chunk of the budget?
Brilliant attempt at standardisation hence making for a fair comprehension and comparison. However i must point out that the purchasing power parity of the Naira and that of the US dollars and GBP vis-a-vis each countries capital expenditure is quite disproportionate and in favour of the naira. This however does not take away the fact that the US and UK economies are much more robust and advanced with their budgets dwarfing that of Nigeria irrespective of the crude oil reserve hype.
Ify.
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