Economy
President Muhammadu Buhari on Wednesday expressed concern over adjustments made to the 2018 budget by the National Assembly, saying the action might affect the execution of meaningful socio-economic projects nationwide.
The President made his position known when he signed the 2018 Appropriation Bill into law at the presidential villa, Abuja.
President Buhari, who frowned at the projects cut and the inserting of new projects by the National Assembly in the 2018 budget, noted that many of the projects cut were critical and may be difficult, if not impossible, to implement with the reduced allocation.
He also stated that some of the new projects inserted by the National Assembly had not been properly conceptualized, designed and costed and hence would be difficult to execute.
He cited the provision for security infrastructure in the 104 Unity Schools across the country which was cut by “three billion Naira at a time when securing our students against acts of terrorism ought to be a major concern of government.’’
The President also noted with concern how the Federal Government’s provision for the National Housing Programme was cut by N8.7 billion.
”At a time when we are working with Labour to address compensation-related issues, a total of five billion Naira was cut from the provisions for Pension Redemption Fund and Public Service Wage Adjustment.
“The provisions for Export Expansion Grant (EEG) and Special Economic Zones/Industrial Parks, which are key industrialization initiatives of this Administration, were cut by a total of N14.5 billion.
“The provision for Construction of the Terminal Building at Enugu Airport was cut from two billion Naira to 500 million Naira which will further delay the completion of this critical project.
“The Take-off Grant for the Maritime University in Delta State, a key strategic initiative of the Federal Government, was cut from 5 billion Naira to N3.4 billion.’’
The President also observed that the provisions for some nationally/regionally strategic infrastructure projects such as Counter-part funding for the Mambilla Power Plant, Second Niger Bridge/ancillary roads, the East-West Road, Bonny-Bodo Road, Lagos-Ibadan Expressway and Itakpe-Ajaokuta Rail Project were cut by an aggregate of N11.5 billion.
He also noted that the provisions for some ongoing critical infrastructure projects in the FCT, Abuja, especially major arterial roads and the mass transit rail project, were cut by a total of N7.5 billion.
The President said the provision for rehabilitation and additional security measures for the United Nations Building by the FCT, Abuja was cut by N3.9 billion from N4 billion to 100 million.
According to him, this will make it impossible for the Federal Government of Nigeria to fulfill its commitment to the United Nations on this project.
“The provisions for various Strategic Interventions in the health sector such as the upgrade of some tertiary health institutions, transport and storage of vaccines through the cold chain supply system, provision of anti-retroviral drugs for persons on treatment, establishment of chemotherapy centres and procurement of dialysis consumables were cut by an aggregate amount of N7.45 billion,’’ he said.
The President, however, noted that about 70 new road projects had been inserted into the budget of the Federal Ministry of Power, Works and Housing.
“In doing so, the National Assembly applied some of the additional funds expected from the upward review of the oil price benchmark to the Ministry’s vote.
“Regrettably, however, in order to make provision for some of the new roads, the amounts allocated to some strategic major roads have been cut by the National Assembly.
“Another area of concern is the increase by the National Assembly of the provisions for Statutory Transfers by an aggregate of N73.96 billion.
“Most of these increases are for recurrent expenditure at a time we are trying to keep down the cost of governance.
“An example of this increase is the budget of the National Assembly itself which has increased by 14.5 billion Naira, from 125 billion Naira to N139.5 billion without any discussion with the Executive.”
The president stated that he decided to sign the 2018 budget in spite the above observations in order not to further slowdown the pace of recovery of the nation’s economy, noting that the economy had doubtlessly been affected by the delay in passing the budget.
He, however, expressed his intention to seek to remedy some of the most critical of these issues through a supplementary and/or amendment budget.
He, therefore, expressed the hope that the National Assembly would be able to expeditiously consider the supplementary budget when transmitted to it.
President Buhari also expressed satisfaction over the success recorded in the implementation of the 2017 Budget.
According to him, N1.5trillion has been released for the implementation of capital projects during the 2017 fiscal year.
“In response to this and other policy measures implemented, we have observed significant improvement in the performance of the Nigerian economy,’’ he added.
He said the federal government would work hard to generate the revenues required to finance it projects and programmes to achieve the laudable objectives of the 2018 Budget.
“The positive global oil market outlook, as well as continuing improvement in non-oil revenues, make us optimistic about our ability to finance the budget.
“However, being a deficit budget, the Borrowing Plan will be forwarded to the National Assembly shortly. I crave the indulgence of the National Assembly for a speedy consideration and approval of the Plan,’’ he said.
President Buhari thanked the Ministers of Budget and National Planning, the Budget Office of the Federation, and all those who “worked tirelessly and sacrificed so much to bring us to this day.
“However, the job is only partly done.’’
He, therefore, enjoined ministers to remain committed to advancing the Change Agenda, not only in the preparation of the national budget but also in ensuring its effective implementation.
He stated that his administration intended to use the 2018 Budget to consolidate the achievements of previous budgets and deliver on Nigeria’s Economic Recovery and Growth Plan (ERGP) 2017-2020.
He also expressed his administration’s determination to continue to work with the National Assembly towards improving the budgeting process and restoring the country to the January-December fiscal cycle.
The News Agency of Nigeria (NAN) reports that the signing of the budget was witnessed by Vice-President Yemi Osinbajo, representatives of the Senate President and Speaker of the House of Representatives, Chairmen of the Approriation Committee of the two chambers of the National Assembly and some cabinet ministers.
Others at the event were Chief of Staff to the President, Malam Abba Kyari, the Senior Special Assistants to the President on National Assembly and some presidential aides.(NAN)
– Jun. 20, 2018 @ 17:12 GMT |
Tags: President Muhammadu Buhari on Wednesday expressed concern over adjustments made to the 2018 budget by the National Assembly saying the action might affect the
