@DrJoeAbah Speaks On The Usual Demonisation of Recurrent Budget.

Dr Joe Abah in a series of tweets explains the role and importance of recurrent budget in running an effective government.

When the 2017 Budget comes out, Capital will be higher but the usual demonisation of Recurrent will continue. Let me talk about this briefly

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

1. Ever been to a Govt office and there's no paper, no toner, no light, toilets stink, no water, etc ? It's all paid for by Recurrent.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

2. Ever wanted more teachers, policemen, doctors, etc ? Well, their salaries are Recurrent expenditure.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

3. Every item of Capital expenditure has recurrent implications. Every hospital or school needs to be run, staffed and maintained.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

4. Of course we should reduce the ratio of Recurrent to Capital but not cut so much that we cannot run a functional government.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

5. There is undoubtedly a need to cut waste & seek economies of scale. E.g. Min of Power should negotiate lower electricity rates 4 us all

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

6. As one of the biggest spenders in the economy, govt will negotiate lower rates and pay centrally so we all have light.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

7. Below a certain threshold, you can't run a functional office. So we must simultaneously focus on generating more wealth & cutting costs.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

8. So let's cut waste, agree a reasonable rate of Recurrent expenditure & grow our economy, rather than lazily demonising Recurrent. End.

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016

In my tweet this morning, I meant that Capital will be higher than before. Not that it'll be higher than Recurrent. https://t.co/Yzq8K2RtbE

— Dr. Joe Abah (@DrJoeAbah) November 25, 2016