Atiku Slams Federal Allocations Boom as Scam of Numbers Without Economic Value

Former presidential candidate Atiku Abubakar of the African Democratic Congress (ADC) has criticized the federal government's recent "boom" in allocations, alleging that it is merely a deceptive and meaningless exercise. According to Atiku, the purported increase in federal allocations, announced in trillions of naira, does not represent genuine economic growth, as the naira has lost significant value due to currency depreciation, inflation, and mounting liabilities of state governments.

He stated that while the government highlights the larger figures, the underlying dollar value of those allocations has fallen by over 40 percent.

Atiku further argued that the increase in the minimum wage, as an example, is another instance of money illusion. He explained that although the nominal value of the minimum wage has risen, its purchasing power has declined, as demonstrated by the decreasing dollar value of N30,000 and N70,000. The former candidate emphasized that while the government's claims of a booming economy may be based on inflated figures, the reality for the Nigerian worker is that their real income and purchasing power have not improved.

Moreover, Atiku pointed out that despite the increased allocations, states are still burdened with substantial debt. He highlighted the combined debt of just 12 states reaching N5.3 trillion, consisting of N2.16 trillion in domestic debt and about $2.33 billion in foreign obligations. He questioned the celebration of record allocations when states remain indebted, contractors struggle to receive payments, and governments continue to borrow.

Atiku stressed that revenue alone does not constitute an achievement; rather, it is the tangible outcomes that matter, such as improvements in infrastructure, employment, and citizens' standard of living.