2016 Budget to expire May, not March — Senate

The Senate Appropriations Committee on Monday said the 2016 budget would run for 12 months and, therefore, expire on May 5 2017.

President Muhammadu Buhari assented to the budget on May 6, 2016, after a long delay amid allegations of budget padding and fraud.

According to the chairman of the Senate committee on appropriations, Danjuma Goje, the law backing the 2016 budget, 2016 Appropriations Act, provides that the budget shall run for 12 months, starting from the date it was promulgated.

“As far as the Bill that was signed into law by Mr. President is concerned, there will be no mop up on 31st March 2017 since the validity period for the 2016 budget ends midnight May 5th, 2017, ” said Mr. Goje.

“If that is done, it will be a violation of the Act. We carefully created the clause that made provision for May 5, 2017. The Act says that the 2016 budget will run for 12 months starting from the date the bill was assented to and it was assented to on May 6th 2016.”

The lawmaker assured that before expiration of the 2016 budget, the National Assembly would have passed the 2017 budget proposal by Mr. Buhari.

“It is necessary for Nigerians to know that there should be no anxiety about mopping up of funds by March 31,” he said. “We do not have to extend the 2016 budget. If May comes and there is need to extend, then we can do otherwise. I believe before that date the 2017 budget must have been passed. We don’t have to do any extension because we have taken care of that. Therefore no anxiety, no mopping up of funds before 12 months period.”

The 2017 budget process is still at committee level, after which the appropriations committees of the House and the Senate will report to their respective Chambers before passage and transmission to the president for assent.


Source: Premium Times

We have released N5.1trn from 2016 Budget – Finance Minister

The Federal Government has so far released ?the sum of 5.1 trillion Naira out of 6.06 trillion Naira passed by the National Assembly in the 2016 budget.

The Minister of Finance, Kemi Adeosun, said this on Wednesday at a meeting organised by the Joint National Assembly Committee on Appropriation in Abuja, Nigeria’s capital.

Mrs Adeosun told the committee members that despite the shortfall in revenue in 2016, the Federal Government has so far released 870 billion Naira for capital expenditure, excluding the proceeds from the Eurobond.

However, the Chairman of the Senate Committee on Appropriation, Senator Danjuma Goje, sought to know if the Ministry of Finance diverted funds from loans to finance personnel expenditure rather than capital expenditure.

He also expressed dissatisfaction with the absence of the ?Governor of Central Bank of Nigeria (CBN) at the stakeholders meeting on implementation of the 2016 budget.

Senator Goje noted that the Acting Director from CBN, Mohammed Yakubu, was not competent to speak before the Joint committee, insisting that the CBN governor must appear before the committee latest Friday morning.

“We have left serious business of processing 2017 budget to ensure the level of implementation of the 2016 budget. It is Nigerians’ right to know the level of implementation.

“The CBN governor could not call us, he only sent an Acting Director in the CBN to appear before the committee,” he said.

Giving details of releases for 2016 budget before the committee, the Accountant-General of the Federation, Hammed Idris, informed the lawmakers that 870 billion Naira was released for capital projects which constituted 55%, while 2.3 trillion Naira was released for personnel cost and 351 billion Naira for statutory transfer.

Mr Idris added that 1.3 trillion Naira was meant for debit servicing, service wide votes for 285 billion Naira while overhead was 138 billion Naira.

He explained that personnel cost and debit service were achieved 100%, overhead cost achieved 85% while capital was achieved 55%.

On his part the Director-General of Budget Office, Ben Akabueze, said there was a shortfall of 1.1 trillion Naira in targeted Internally Generated Revenue (IGR) for 2016, explaining that only 398 billion Naira was realised in 2016 IGR out of targeted 1.5 trillion Naira.

He? attributed poor capital funding in 2016 to revenue shortfall, stressing that projection oil revenue only accounted for 20% of the total 2016 budget.

Mr Akabueze said “the reason we are unable to implement capital budget fully is as a result of shortfall in the IGR”.

He, however, failed to give a clear picture of how the loan borrowed was utilised, but promised the lawmakers for details before the end of implementation of 2016 budget.


Source: Channels TV

Senate rejects 2016 FIRS budget

The Senate on Thursday overwhelmingly voted against the report of its committee on Finance, on the budget of the Federal Inland Revenue Service (FIRS) for the 2016 fiscal year.

DAILY POST recalls that the Senate had at its sitting of Thursday, 21st July 2016 considered the request of President Muhammadu Buhari on the 2016 Budget of the FIRS and referred same to the committee on Finance for further legislative action.

However, when the committee’s report was read on the floor by the Chairman, Senator John Enoh, the Senate President and other Senators discovered loopholes in the said report.

The committee through its report, had recommended that a total expenditure of N143, 722, 430, 526 (One Hundred and Forty-Three Billion, Seven Hundred and Twenty-Two Million, Four Hundred and Thirty Thousand, Five Hundred and Twenty-Six naira) be approved for FIRS in 2016.

While reacting, the Senate President, Bukola Saraki queried the report. According to him, “the committee met in July, how comes it is recommending exactly what the agency projected at the beginning of the year 2016”.

Saraki was also baffled that the committee could recommend all the figures the FIRS proposed, without making any adjustment.

On his part, Senator Albert Bassey (Akwa Ibom North East) observed that the personnel overhead of the FIRS budget increased drastically to N25bn from 2015 to 2016; whereas, the agency is just undertaking a recruitment exercise for more personnel.

Senator Mohammed Hassan (Yobe South) in his reaction said, “the description of some of the items on the budget are fake”, stressing that the Senate needed full details of the items captured in the budget.

The deputy Majority Leader, Bala Ibn Na’allah and the Senate Minority Whip, Philip Aduda were of the opinion that the report be withdrawn as various issues needed to be worked upon.

They, however, bemoaned the way agencies would be presenting budgets for the fiscal year at the a time the year was already getting to an end.

“It is not helping the Senate in any way”, they said while flipping the John Enoh report into the trash, describing it as a “copy and paste budget”.

Saraki while ruling on the matter, said there was a need to always do a thorough job and ascertain the figures, especially when it comes to area of revenue generation.

He also observed that some capital projects always reoccur in agencies’ budgets every year.

Having voted against the report, the Senate President, therefore, asked the committee on Finance to go back and tidy up issues raised, and report back within one week.

Power, Defence, Transport Take Lion Share Of Capital Releases From 2016 Budget

The Ministry of Power has received the highest capital release of N209.246 billion (as of October 31, 2106) out of the total of N753.633 billion budgeted for 2016 capital projects for the ministries, departments and agencies (MDAs) of the federal government.

Data exclusively obtained in Abuja showed that the Ministry of Defence came second in capital releases with N69.512billion, followed by Transport, N30,540,042,428; Agriculture, N29,578,929,050; Water Resources N25,201,857,951; Interior, N21,210,059,596; Health, N18,472,539,524; and Education, N16,743,672,981.

Others include Niger Delta, N8,161,196,486; Science and Technology, N6,681,349,721; Mines & Steel, N3,360,000,000; Petroleum, N2,413,847,044, and others, N312,511,048,789.
The federal government stated recently that it had so far spent N3.577 trillion out of N6.060 trillion budgeted for the 2016 fiscal year, which translates to 79 per cent performance of the prorated budget for the three quarters.

The Minister of Budget and National Planning, Udoma Udo Udoma, said in addition to the total of N2,439.9trillion so far released for capital, non-debt recurrent and service-wide vote expenditure, a total of N1,137.7 trillion had also been paid out in domestic and foreign debt service expenditures.

This includes N44 billion transferred to the sinking fund to retire maturing obligations on bonds issued to contractors. The national planning ministry further stated that budgeted personnel cost and debt service obligations had been fully met on schedule till date.

“Additionally, the federal government has done reasonably well in the challenging circumstances with respect to capital expenditures. It is noteworthy that the total amount of N753.6billion already released for capital expenditure in 2016 is the highest in the nation’s recent history, even in the era of high oil prices,” the Ministry of Budget and National Planning had stated.

The minister added that the capital that had been released to date exceed the aggregate capital expenditure budget for 2015 of N700billion, inclusive of capital expenditure in statutory transfers.

At an interactive session with members of the Senate Committee on Appropriation in Abuja recently, Udoma said in spite of the shortfall in revenue expectations, the federal government was committed to its debt obligations and had also made efforts in funding the critical sectors to enable government function smoothly, while seeking lasting solutions to revenue shortfalls.

The minister explained that although the 2016 budget was well conceived, with reasonably conservative benchmarks, it recorded unanticipated revenue shortfalls along the line due to militants’ activities in the oil-producing Niger Delta region, a development which seriously affected the budgeted production levels for the fiscal year.

He further explained that government adopted a targeted approach with respect to capital expenditure to ensure that releases are consistently made to those sectors whose activities have the capacity of driving economic growth and fostering job creation.
He said particular attention was focused on infrastructure, agriculture and other areas with high job creation potentials, saying that all the releases had been cash-backed.

It was further gathered that the debt service, which has been implemented up 77 per cent as at September 16, 2016 covers domestic, external and transfer to sinking fund for maturing debts—-full year budget provision for debt service was N1,475.3trillion.

country’s  revenue  generation  mechanism.
He however, stated that the state government would support the auditing and generation of statistics  of the non oil revenue sector by RMAFC.
Leader of the commission’s delegation and Federal Commissioner, Sanya Omirin, said the team was in the state to conduct a wholistic auditing of the non-oil sector, verify mining companies with licenses, verify mining  leases and confirm  royalties that  accrue from mining.

He added that the commission  was working to bring all mining operators within the tax operations  of the government  for revenue generation .
He said the steps have become necessary  because  of  the  need to diversify  the nation’s economy .

Credit: thisdaylive

No provision for fuel subsidy in 2016 budget – NNPC

The Nigerian National Petroleum Corporation (NNPC), has said it has no plans to increase the pump price of petrol from N145 per litre, neither was it contemplating a return to subsidising fuel.

The rebuttal is coming on the heels of a statement credited to the Group General Manager, Crude Oil Marketing Division, NNPC, Mr. Mele Kyari, that the sale of petrol at N145 was no longer feasible at the current exchange rate.

In a swift reaction yesterday, the NNPC, through its Group General Manager, Group Public Affairs Division, Mr. Garba-Deen Muhammed, said reference of unsustainability of N145 per litre of petrol only relates to possible spike in international market price of petroleum products.

“This has been mitigated by NNPC’s long-term procurement contract plan that guarantees stable pricing.”

Muhammed further stated that it had a robust supply arrangement that can guarantee sustainable supply over a long period of time.

Kyari, on Monday reportedly said that the sale of petrol at N145 per litre was no longer sustainable with the current foreign exchange.

“We have a very difficult business environment. It is impossible today to import products at the current market price, current fixed foreign exchange,” Kyari reportedly said in Lagos.

The corporation, however, promised to sustain the tempo of petroleum products supply throughout the ember months and beyond across the country at the current rate of N145 per litre.

The state oil firm assured that it had resolved all issues that had to do with foreign exchange stability in order to ensure fuel price stability and distribution.

“Nigerians should not engage in panic buying, as there is no cause for alarm with respect to pump price increase or shortage of products,” it said.

Muhammed explained further that if there was going to be any increase in PMS price, the Petroleum Products Pricing Regulatory Agency (PPPRA) would definitely sensitise Nigerians on it and give reasons for it.

“The statement people are referring to was made within the context of technical explanation, not within the context of downstream operations. A new window to make forex available for marketers for their import needs have been opened and they are satisfied with it,” he said.

Muhammad disclosed that there was already PMS glut in the market, as a lot of products were on ground waiting for off-takers, stressing that there was no payment of petrol subsidy by the government on petrol.

The Truth About The 2016 Budget – Ibe Kachikwu

Ibe Kachikwu, minister of state for petroleum, has spoken up about the 2016 Nigerian budget, saying that the country needs to constantly produce about 900 000 barrels of crude oil per day to catch up with the budget 2016 oil benchmark.


Kachikwu stated this while speaking to Richard Quest on CNN’s Quest Means Business.


Kachikwu further noted that he is does not think OPEC meeting in Algeria in September, can upturn crude oil prices on the globe.


“It is a difficult time, production is about 1.5 million barrels a day, but we intend to get that up. We are putting a lot of energy around it, a lot of dialogue, a lot of engagement, a lot of security meetings to try and resolve it,” Kachikwu said.


“President Muhammadu Buhari is very concerned about these things, a lot of executive time is being given to this. We are expecting that over the next one month, two months, we would find some final solution that would bring production upward.


“Beyond that, the reality is that we have lost a lot quite a lot of months, about five, six months of continuous problems. so it is going to be difficult to catch up with the 2.2 million barrels on which the 2016 budget is based.


“But we are certainly going to try, once things are calmer. We need an average of 900,000 barrels per day, excess production to catch up. That is going to be very tough, but we are going to work on that.”
Read more at http://www.herald.ng/truth-2016-budget-ibe-kachikwu-speaks/#Jph6WDGeMRPEJ1dw.99

No Decision Yet On When 2016 Budget Will Be Signed- FG

The federal government has said that talks to reach a truce between it and the National Assembly on grey areas in the 2016 budget were still ongoing, adding that it could not give any definite date as to when the budget would be signed into law.

The implication of the government’s statement is that the hopes of many Nigerians who were expecting that the 2016 budget would be signed into law anytime soon has been dashed.

This was one of the outcomes of the Federal Executive Council (FEC) meeting which held at the Presidential Villa in Abuja wednesday and presided over by President Muhammadu Buhari,

Despite the absence of clarity on the fate of this year’s budget, the government set out the timetable for the submission of the 2017 budget, explaining that this was done to ensure early delivery of next year’s expenditure estimates.

Briefing State House correspondents at the end of the meeting, the Minister of Budget and National Planning, Mr. Udoma Udo Udoma, who was accompanied by his colleagues in the Ministries of Petroleum Resources, Dr. Ibe Kachikwu; Power, Housing and Works, Babatunde Fashola; and Communications, Adebayo Shittu, said that ahead of the eventual signing of the 2016 budget, the federal government had set up a monitoring and evaluation mechanism to ensure that the budget is implemented.

Udoma also dismissed speculations that the budget was returned to the National Assembly to be reworked.

He said: “On the expectation that we will soon have a budget, the monitoring and evaluation mechanism to make sure that the budget delivers what it promises. That mechanism was looked at by the Federal Executive Council and approved.

“To make sure that 2017 budget is done on time, a timetable was approved for the 2017 budget.
“In addition, council noted the report of the Nigerian Economic Summit Group (NESG), which in partnership with National Planning Commission organized an economic summit last year and made various recommendations; these recommendations were presented and noted.”

Credit: Thisday

Ministers To Study 2016 Budget Details, says Lai Mohammed

Minister of Information and Culture Lai Mohammed said on Friday that the 2016 budget details submitted to President Muhammadu Buhari by the National Assembly are to be studied by each minister “to see how it affects his or her ministry”.


Mohammed said that the extraordinary Federal Executive Council (FEC) meeting summoned by President Muhammadu Buhari was “to avail every minister to look at the details of the budget”.


The minister stated this when he briefed State House correspondents in Abuja after the first session of the meeting, which was presided over by Vice-President Yemi Osinbajo.


“As you all know we received the details of the 2016 budget from the National Assembly, yesterday, and an extraordinary meeting of the Federal Executive meeting was called this morning to avail every minister to look at the details of the budget and see how it affects his or her ministry.

“I must say that at this point, it is still work in progress, we have broken up.

“This is to say that; yes, we received it, we are studying it and we will come out with a statement later.’’


The meeting was attended by permanent secretaries and directors of finance from all the federal ministries.



Details On How Buhari Received Full Details Of 2016 Budget

President Muhammadu Buhari on Thursday received the full details of the 2016 budget from the National Assembly.

The Senior Special Assistant (SSA) to the President on National Assembly Matters, Senator Ita Enang, alongside his colleague, Hon. Ismaila Kawu, who brought the document to the Presidential Villa confirmed its receipt to State House correspondents.
He said: “The budget details have been transmitted to His Excellency, Mr. President today. The constitutional process begins thereafter.

“We have transmitted it to the office of the president and the constitutional process of timing starts.”
Buhari had refused to sign the budget when it was passed last month citing the absence of the expenditure breakdown. He insisted on seeing the details and having it scrutinised by the ministries, departments and agencies (MDAs), before signing the 2016 Appropriation Bill into law.

Sources confirmed that the Clerk of the National Assembly, Mr. Salisu Maikasuwa signed the 1,800-page document yesterday morning and presented it to Enang at about 10 am for onward transmission to Buhari.
“I can confirm to you that Senator Enang received the document this morning. You recall the clerk of the National Assembly received it yesterday. So he has signed it, and it has been given to the SSA,” a source said.

Another source, however, was critical that the process of transmission was dragged into an unnecessary controversy.

Credit: Thisday

Buhari To Get Details Of 2016 Budget Soon

Indications that President Muhammadu Buhari may soon get the details of the 2016 Appropriation Bill as passed by the National Assembly emerged on Wednesday as Senator Mao Ohuabunwa, (Abia North Senatorial District), said the National Assembly would soon forward the detailed copy of the 2016 budget to the President.

“What we send normally is the sectoral allocations, it has been like that, it takes about two, three weeks thereafter to put down the details,” Ohuabunwa said in Abuja. “The details actually go to the ministries and the agencies for their own implementation. But like I said every system has its own way, maybe this is the way the President wants to go, he wants to see the detail.

President Buhari had insisted that he would need to scrutinise the details of the approved budget before signing it into law.

He said that in view of the controversial alteration and padding of the budget proposals, he needed to review the appropriation bill to be certain that its contents tallied with the authentic budget proposal presented to the National Assembly.

His words, “Some bureaucrats removed what we put in the proposal and replaced it with what they wanted. I have to look at the bill that has been passed by the National Assembly, ministry by ministry, to be sure that what has been brought back for me to sign is in line with our original submission.”

Senator Ohuabunwa noted that the lawmakers did not err by not sending the details of the bill to the president.

He said, “It is not a law, it is just a convention kind of, but if this is his own line; definitely we will go along with him. We are not fouling or going against any law.

Ohuabunwa said that the legislature would do everything possible to send details of the budget as soon as possible in view of the sufferings of Nigerians.

“The only unfortunate thing is that as we are here waiting for the detail, Nigerians are suffering.

“Knowing that Nigerians are really waiting for this budget and because it has been laid they will not understand what we are going through.

“All they are after is that the budget is with the National Assembly and if you don’t get it passed, people will say, National Assembly, where is our budget.

“Against all odds we tried everything within our reach and our powers to ensure we have passed the budget.

“I believe in the next two weeks, maximum, we will send the details to the President; it is left for him to do the needful.’’

Credit: Guardian

Buhari Orders Thorough Review Of 2016 Budget Before Assent

Following the passage of the 2016 Appropriation Bill by the National Assembly last week, President Muhammadu Buhari has ordered all the ministries, departments and agencies (MDAs) to thoroughly review the budget before it is sent to him for assent.

A source in the presidency said yesterday that Buhari gave the directive just before the Easter break in order to ascertain if any significant amendments were made by the legislature that are inconsistent with the spending plan of the executive arm of government.

He said: “We hope to get the budget this week from the legislature immediately after the Easter holiday. But before the president assents to it, he has directed that it should be sent to all the MDAs to double check it to ensure that there were no significant amendments or errors that could adversely affect the implementation of the budget.

“It is only when this is done and the president is satisfied that there were no material alterations that are not consistent with the objectives of this administration, then he would assent to it.”

The presidency official said that the process of reviewing the budget should not take more than a week or two, following which Buhari would assent to the bill.

“However, if there are significant alterations, it may have to be sent back to the National Assembly until a compromise is reached on what should be passed in the budget,” he explained.

Credit: Thisday

Senate Passes, Reduces 2016 Budget By N17bn

The Senate, on Wednesday, passed the 2016 Appropriation Bill and reduced the budget size from the initial N6.077trn presented to the  federal parliament  by President Muhammadu Buhari on December 23, 2015, to N6.060trn, a difference of N17bn.

The federal lawmakers approved the N1.587trn as the  capital expenditure portion of the budget and the recurrent expenditure of N2.646.3trn.

They also approved N351.37bn as Statutory transfers, N1.475.3trn for Debt Service, and N2.2trn for Fiscal deficit.

The federal parliamentarians also adopted the oil benchmark of $38; Crude production of 2.2000m barrel per day and the exchange rate of N197 to $1 for the implementation of the budget.

Explaining how the difference of N17bn was identified, Chairman, Senate Committee on Appropriation, Senator Danjuma Goje, admitted that the 2016 budget proposal contained a number of errors of omissions,  particularly in the area of personnel cost.

He said his committee therefore filled some of the gaps would could still raise serious concerns in the course of the year because there were many outstanding cases.

Senate President, Bukola Saraki, explained after the formal passage of the appropriation bill that his colleagues had done his part and requested the president to do the needful by signing it to law for immediate implementation.
Credit: Punch

Senate Postpones Passage Of 2016 Budget To Next Week

SenateThe Senate spokesperson, Senator Aliyu Abdullahi, on Thursday said the National Assembly will pass the 2016 Budget next week.

“We are here to let you know that as of today, we are unable to lay the 2016 Appropriation Bill and thus, we are hoping next week that process will be completed.

“When I briefed you, I recalled you were asking if the passage will be completed by next week; and, we said ‘yes’ when you lay the budget the next thing is for you to discuss the budget and get it passed.

“The two activities will be carried out next week God willing”, he said.

Briefing journalists, the Senate spokesman explained that the National Assembly was unable to pass the 2016 Budget this week as planned because the appropriation committees are trying to make sure that there are no errors in the budget.

“As far as we are concerned, we have not failed. What is happening is the seriousness with which we take the 2016 Appropriation.

“It’s such that we cannot also afford to make errors that will become very costly to this nation.

“We have finished all necessary work within the context of the various committees. But remember, when you do the paper work, you have to also get people who will sit down and check.

“That is what we call data cleansing and integration; that is the two appropriation committees must integrate, that is the essence of what you call harmonization,” he maintained.

He added that the National Assembly was trying not to do the work in a haste and also make mistakes which was why the `data cleansing’ had to be done without haste.

“In everything you do, you must give freedom for degree of error. And, plus or minus, five is the basic standard that I’m aware of.

“Within this context, if next week we will be able to take this, then within that margin of error, the National Assembly is still on course.

“We call on Nigerians to understand that we are as eager as you to get this budget out but at the same time, we owe you a duty to ensure that the budget will be implementable,” Mr. Sabi said.

Senator Abdullahi assured that the national assembly would pass a budget which would meet the aspirations of Nigerians.

Credit: ChannelsTv

National Assembly Committee Detects Fresh Flaws In 2016 Budget

The Senate and House Joint Committee on Appropriation has detected fresh errors in the 2016 budget, investigations reveals.

It was gathered that the errors were responsible for the failure of the committee to present its report to the two chambers of the National Assembly on Wednesday as it had promised.

Investigations, however, showed that the errors would not affect the plan of the National Assembly to transmit the budget to President Muhammadu Buhari before Easter as efforts were being made to correct them.
It was learnt that one of the anomalies detected was in the Office of the Secretary to the Government of the Federation, where provisions had been made for procurement and installation of security systems every year since 2013.

For example, in 2013, the sum of N527,000,000 was budgeted for the item; in 2014, N1,161,356,582 was allocated to the same item; in 2015, N316,420,274 was budgeted for it; and N1,710,322,610 is to be spent on the procurement and installation of security system in the SGF office in 2016.

The committee also detected items without project locations in the Ministry of Works, Power and Housing (headquarters).

Such projects include the construction of a block of three classrooms at the cost of N85,592,483; construction of a maternity centre for N91,124,858; and the allocation of N172,623,767 for the building of skill acquisition centres.

The committee pointed out that oversight function would not be possible without project locations.

It was learnt that the committee also discovered anomalies in the allocation of large amounts of money for the rehabilitation and repair of office buildings as well as purchase of office items and fittings.

Not less than N21bn was allocated to such repairs and purchase at the Ministries, Departments and Agencies of the government.

The committee also detected duplication of items. For example, N2.3bn was earmarked for former heads of state in the service wide vote of the Ministry of Budget and Planning, while N400,190,000 was allocated to the affairs of the former heads of state in the SGF office.

Other examples of duplication include allocation of N256,920,000 for the purchase of equipment, vehicles and furniture for the National Bureau of Statistics and the N230,705,000 by the NBS for the same purpose.

It was also learnt that the committee discovered instances where allocations for the purchase of items were made without stating the quantities to be bought.

Such include the construction of solar boreholes at the cost of N140m in the Ministry of Works, Power and Housing and in the National Power Training Institute, N81m was budgeted for operational vehicles.

The committee described some items as curious. These include the allocation of N340m for wildlife conservation at the Federal Airports Authority of Nigeria and N150m for growing girls and women project at the Federal Road Maintenance Agency.

Another curious budgetary item is the refund of N2,479,581,721 to states for federal roads, which was placed under the National Intelligence Agency.

When contacted, the Senate spokesperson, Senator Sabi Abdullahi, said the errors had been corrected at the committee stage.

He said that there were no fresh errors and challenged anyone with contrary information to publish the source.

Abdullahi said, “The errors in the budget were identified at the various committee levels. The Appropriation committees of both chambers had jointly scrutinised the document and had come up with an error-free copy.

“As a member of the Senate Committee on Appropriation, I can confirm to you that I am not aware of any fresh error discovered after the joint committee of the two chambers had worked on the budget.

“I challenge anyone with contrary information to publish it together with the source.”

But opposition party lawmakers told said that the report was not submitted because there were still areas to be re-touched.

For example, the Minority Leader of the House, Mr. Leo Ogor, said the report was undergoing “finishing touches.”

Ogor added, “There are areas that require finishing touches. It will cut across several parts of the budget.

“But, I know it is something that will be quickly sorted out and the report will be laid by the grace of God tomorrow (today).”

Credit: Punch

Unemployment: Exercise Patience Till 2016 Budget Is passed, Dalung Urges Youths

The Federal Government has admonished Nigerian youths, who are yearning for employment and developmental programmes to exercise patience till the passage of the 2016 appropriation bill by the National Assembly.


The Minister of Youth and Sports, Barr. Solomon Dalung also urged the young generation to engage their mind gainfully in order to actualize God-given potentials and make meaningful impact.


To assist them in realising their dreams, the minister disclosed the government’s readiness to partner the Duke of Edinburgh’s International Award in Nigeria to train young people for leadership responsibility. Dalung, who stated this, when the delegation from the Duke of Edinburgh International Award for youths paid him a visit in Abuja, identified leadership problem as one of the challenges facing the country.


He decried lack of value orientation among youths and faulted previous leadership style that couldn’t bridge the gap of gainful transmission of core societal values, insisting that the collaboration became imperative as the government set standard for the development of leadership and ethics in the country.

Budget Deficit: FG Will Only Borrow From Lowest Cost Debt Providers – Adeosun

The Minister of Finance, Mrs Kemi Adeosun, said the Federal Government would only borrow from the lowest cost debt providers to fund the deficit in the 2016 budget.


Adeosun said this on Thursday in Abuja while addressing the Senate Committee on Appropriation, chaired by Sen. Danjuma Goje.


She said that the decision was for government to easily service the debts as high cost debts would be counter productive in view of the nation’s economic realities.

“We know that there is a need, because of the budget deficit, to borrow but what I will like to assure you is that borrowing is going to be responsible as possible.

“What we have done is to approach the lowest cost debt providers first; we have secured loan with the China Exim bank at less than two per cent.

“We have secured loan facility with World Bank 1.5% concessioner loan with long moratorium period before we have to start repaying and at low interest rate,” she said.

The minister added that the ministry had made some projections around the nation’s revenue beyond the use of the sources of revenue which were oil proceeds, customs and taxes.


She said that to fund the 2016 budget, independently generated revenue would be quite significant in financing it.


“We believe that is one of the opportunities that the lower price has given us that we are now focusing on the non-oil revenue.

“We are aggressively looking at ministries, departments, agencies on board to understand what their true revenue base is and to know how much they are contributing to the wider economy.

“We have set in process in the ministry of finance a very rigorous framework of revenue management and to actually monitor revenue.

“We are beginning to roll those out into other agencies of government that collect revenue of any description,” she said.

2016 Budget: Senate Says Implementation Of N500bn Intervention Fund Not Feasible

Implementation of N500 billion intervention fund contained in the 2016 budget proposal will not be feasible since there are no clear implementation strategies, the joint committee on Appropriation has said.


The chairman, Senate Committee on Appropriation, Sen. Danjuma Goje, made the statement on Thursday in Abuja.


He spoke at an interactive session with Ministry of Budget and Planning, Ministry of Finance, Central Bank of Nigeria (CBN) Accountant General’s Office and other stakeholders in the economy.


Goje noted that though the executive gave explanations about the implementation strategies, they were not satisfactory.

“There is no detailed, clear cut structure laid down for implementation of this project because what we have in this budget is N300 billion recurrent and N200 billion capital.

“We had to push hard yesterday to get some details which were not convincing.

“For instance, the explanation we got was that N5, 000 would be given to one million Nigerians.

“Who would choose the one million people, what structures you have in place to make sure that you choose the right people.

“You want to give money to about one million market women or there about and in my place we do not have many market women.

“How would they choose the market women that would represent all interests.

“We have not got clear explanations to these numerous issues surrounding the implementation of this programme.

“Even the afternoon school feeding contained in the budget is not feasible because some students study under non conducive environment. Will feeding them enhance their learning,’’ he said.


Goje pointed out that while the National Assembly was in support of the programme, implementing it in 2016 might not be feasible.

He suggested that the money be added to the budgetary allocation for sectors like power, transport and health, while those responsible would map out better strategy against 2017.


“We are all happy with the programme and I am a party man to the core but what needs to be done, needs to be done very well.

“I think there is a need to do greater work on implementation; otherwise this money will go down the drain.

“We support this programme; we want Mr President to succeed; we want our party to succeed; we want to continue to win election but we want the programme to be successful.

“So, we want you to come up with workable implementation strategeies, otherwise there are so many things that require attention in this country.

“We would rather use this money to solve our problem; use this year to do very sound ground work for implementation so that the programme can take off next year,’’ he said.

The chairman reiterated the need for more budgetary allocation to agriculture and solid mineral sectors in view of the emphasis on diversification.


“We believe that N9 billion cannot diversify solid mineral and N43 billion cannot diversify agriculture.’’


Responding, the Minister of Budget and Planning, Mr Udoma Udo Udoma, said that the special intervention programme was a political commitment which the present administration would not hesitate to fulfill.

He promised to meet with relevant stakeholders to discuss on better strategies for its implementation.


“You can be sure that before it is rolled out, the National assembly would be consulted,’’ he said.


On diversification, the minister said that the N9 billion allocated to solid minerals and N43 billion to agriculture would help to create an enabling environment for private investment.

He said the Federal Government did not have any intention of being an investor.

“What the government does is to provide enabling environment and infrastructure,’’ he said.

Udoma explained that the 2016 budget was zero based, adding that it did not mean that there would not be ceiling as obtained in the envelop system.

He clarified that zero based budgeting meant that each project must be justified by Ministries, Departments and Agencies (MDAs) before they are included in the budget.

The minister said that there would be mid term review of the budget in the event that the 38 dollars per barrel benchmark and provisions in the budget were not realisable.




Budgetary Allocations To Diversify Economy Inadequate – Jibrin

Rep. Abdulmumini Jibrin, the Chairman, House of Representatives Committee on Appropriation, on Friday said that budgetary allocations to critical sectors expected to drive economic diversification were grossly inadequate.


Jibrin, (APC Kano state), promised that the committee would work assiduously on the 2016 budget and make necessary adjustments in order to save the country’s dwindling economy.


He said that the 8th National Assembly was committed to passing a budget that would promote diversification of the country’s economy.


Jibrin pledged that his committee would look critically into budgetary allocations to key sectors of the economy to ensure they aligned with the policy thrust of the APC-led administration.


“One of the policy thrust of the government is to diversify the economy by going into solid minerals and agriculture.

“But when you look at the budget, you will agree with me that allocations to critical sectors like solid mineral do not strike a balance with what the government says is its policy in terms of diversification.

“These are some of the adjustments the Appropriation committee carry out so that we can pass a budget that will strike a balance with the general policy thrust of various sectors in our national budget,’’ Jibrin said.


The chairman said that the committee would also look into budgetary allocations of anti graft agencies to ensure that they were properly funded to carry out their functions efficiently.


“The level at which the federal government has taken in the anti-corruption fight does not match the allocation provided for agencies like the EFCC and ICPC.

“We are going to take a very good look at it and see what we need to do so that they can have the kind of allocation that will strike a balance with the policy thrust of the government.

“Otherwise there is going to be a huge vacuum,’’ Jibrin said.



Lawmakers Not Responsible For Padding 2016 Budget – Namdas

The House of Representatives on Tuesday said that lawmakers were not responsible for the padding of the 2016 budget proposal.

Rep. Abdulrazak Namdas (APC-Adamawa), the Chairman, House Committee on Media and Public Affairs, said this when he visited the Headquarters of the News Agency of Nigeria (NAN) in Abuja.

Namdas expressed concern over conflicting figures discovered in the budget proposal, saying that the legislature was committed to addressing the anomalies.

He said that the sacking of some personnel in the Budget Office had vindicated the lawmakers from the misconception that the National Assembly was responsible for padding the budget.

“This problem is not with the National Assembly, so the padding is not done by the National assembly.

“In fact, we should be commended for identifying some areas that became problematic and we are working hand in hand with the executive to see how we can solve this problem in the best interest of this country.

“And that is why we had to shift the idea of passing the budget by Feb. 25, because we realised there were conflicting issues,’’ Namdas said.

According to the lawmaker, NASS must tinker with the budget to address the issues of conflicting figures.

“We realised that figures were not agreeing; some ministers disowned budgets that were prepared by them and if you look at the quantum of the problem, we cannot just pass this budget,’’ Namdas said.



Minister Assures Nigerians Of Quick Enactment Of 2016 Budget

The Minister of Budget and National Planning, Sen. Udoma Udo Udoma, on Thursday assured Nigerians of quick enactment of 2016 by the government.


The minister said that measures were being put in place by government to resolve all pending issues delaying the passage of the budget at the National Assembly.


He gave the assurance during his meeting with the State Commissioners of Economic Planning and Chief Executives of state Planning Commissions in Abuja.


“Nigerians should have faith and confidence; we are working at the National Assembly to resolve all issues; we are making very good progress and the budget will be passed soon,’’ he said.


According to him, the budget is well crafted and well cut out with a sole purpose of reviving the economy.


Udo Udoma said the budget was structured more on non-oil revenue, adding that this was the first budget that would be funded more from non-oil revenue.


“We have resources which we need to harvest; we have agencies of government that generate revenues which are not being captured.

“We have in addition, many people who do not pay their taxes, so we want to increase tax collection.

“We want to try and get more people to pay their taxes; also we want to block all leakages because there are many leakages in the system

“ So, by blocking leakages, by getting all the excess revenues and harvesting them, it is through these ways that we intend to fund the budget,’’ Udo Udoma said.

He said that there was a funding gap, hence the government had to borrow to bridge the gap.

Udo Udoma said that it was important to revive the state of the country’s economy, adding that “we cannot afford to allow the economy to come to crumble”.


“We have to revive it and the typical way you revive an economy is that you do a major capital spending, harvest your resources and also borrow’’.


Earlier, Dr Adeyemi Dipeolu, the Special Adviser to the Vice President on Economic matters, said planning and budgeting functions were very important in the development process of any economy.


Dipeolu said that this was essential as it helped to bring about togetherness, coordination, harmonisation, strategic increase and uncommon objective in an economy.


He expressed optimism that the forum would engender progress in the direction of state of the country’s economy.

Dipeolu called for active participation of all stakeholders in providing favourable environment for successful transformation and progress of the Nigerian economy.


Dr. Othman Ibrahim, the Commissioner of Budget and Planning in Nassarawa State, also urged all stakeholders to put to practice all the deliberations at the meeting.


The event was attended by commissioners, permanent secretaries and representatives of various states of the federation.




Senate Will Pass 2016 Budget Before End Of March– Ndume

Majority leader of the Senate, Ali Ndume, on Sunday, said the upper chamber of the National Assembly will strive to pass the 2016 budget before the end of March. Speaking during an interview with the News Agency of Nigeria (NAN), Ndume gave March as the deadline for the implementation of the 2015 budget, saying it was even the desire of the Senate to pass the 2016 budget before that time. He disclaimed reports claiming that the Senate had suspended its passage indefinitely, but said February 25, 2016 “may not be feasible”.

He said it was the wish of the National Assembly to pass the budget five weeks before the expiration of the period set for the implementation of the 2015 budget, but that was impossible due to some errors. “We have not postponed it indefinitely; we are saying that with the developments that we are seeing as the time goes on, the 25th February deadline we gave ourselves may not be realistic,” he said.

“That is why we now said that going by this, it is not possible to say we will come back on 25th and say this is the budget; we are not saying that we have suspended it indefinitely. The reason we fixed 25th was to have a gap of five weeks.” He said the gap would have enabled the Senate fix whatever issues needed to be handled before the expiration of the March 31 deadline for the implementation of the 2015 budget.

Ndume said the leadership of the National Assembly had met with ministers to iron out the grey areas and make corrections to the contentious areas as well. He also said the Senate would ensure strict compliance with the implementation of the budget, saying once funds were available, the present administration would ensure thorough implementation of the budget.

Credit: DailyTimes

2016 Budget Fraud: Reps Block Ministry’s Controversial N1 Billion Allocation

The budget defence of the Ministry of Foreign Affairs before the House of Representatives Committee on Foreign Affairs, on Thursday, ended in a stalemate over controversial allocations to the ministry.

There are proposals of N1.07 billion for “optic fibre and satellite space segment” and N50 million for “global communication network computer” in the ministry’s budget. The budget was presented by the minister, Geoffrey Onyeama, on Thursday.

Both budget subheads are meant for a global communication project to connect Nigeria’s 119 diplomatic missions to the ministry’s headquarters in Abuja.

However, the chairman of the House Committee, Nnenna Elendu-Ukeje, insisted that appropriations had been made “many times” for the project in the previous budgets.

Mrs. Ukeje disclosed that a total of N9billion had been appropriated for the project in the past.

She questioned the non-completion of the project over the years and the need for over N1 billion naira for the project in the 2016 budget.

Interestingly, officials of the ministry, including the minister, the permanent secretary, director of finance and administration, spoke different times without responding to Mrs. Ukeje’s probe.

Credit: PremiumTimes

2016 Budget Passage Not Possible In February– NASS

The National Assembly says its proposed date of February 25 for the passage of the 2016 budget is not feasible.

Addressing a news conference in Abuja, the chairmen of the Senate and House of Representatives committees on Appropriation, Senator Danjuma Goje and Representative Abdulmumin Jibrin said the February 25 target for the passage of the 2016 budget is no longer realistic.

The two lawmakers said that the National Assembly observed during the ongoing budget defence that government ministries have padded their budgets and because of this, lawmakers require more time to thoroughly work on the budget.

In the last two weeks, government ministries, departments and agencies have been visiting the National Assembly to defend their 2016 budget proposals.

But one common trend in almost all the budget defence sessions is that the agencies are complaining of insufficient funds appropriated to them and are asking for more money.

Credit: ChannelsTv

We Put 2016 Budget Proposal On Website To Attract Comments, Criticism – Presidency

The Senior Special Assistant (Media) to President Muhammadu Buhari, Mallam Garba Shehu, has said that the Federal Government will continue to welcome constructive criticism of its policies, budget and expenditure.


Shehu said in a statement in Abuja on Sunday that such criticism would assist the government in fulfilling its promises to Nigerians, adding that “it is the only way the change promised the country will have a meaning’’.


He said that it was on account of this and in line with established tradition that the president directed that the draft 2016 appropriation, now before the National Assembly, be put on the website of the Budget Office.


He said this would enable Nigerians to read the budget with a view to making their observations.


Shehu dismissed the insinuation in some quarters that the presidency was misleading the public on certain aspects of the budget proposal.


“In reaction to a newspaper story that said `2016 Budget: Buhari to spend more on State House Clinic than on all Federal Government-owned teaching hospitals,’ the Budget Office supplied a summary of the allocations to the various sectors under the Ministry of Health, which showed clearly that the published story was inaccurate. The Budget Office has affirmed that in terms of both capital and recurrent allocations, the draft budget has put far more money in the 17 teaching hospitals than it did in the State House Clinic.

Having said this, we are not by any stretch of imagination suggesting that the draft budget is beyond comments or reproach. Nor do we wish to dwell on this simply to make a point.

To do that will drive away good citizens from pointing out needed corrections and, ultimately defeating the change mantra of the administration.

The budget is a Nigerian budget and citizens reserve the right to examine its content and provide their own perspectives.

As the draft goes through the approval process, this and many other aspects will continue to generate interest, criticism, commendation and sometimes condemnation in discussions in the parliament, the media and the court of public opinion.

We believe that the process of “change” will be affected by, and stands to gain from these debates, especially where there is good faith on all sides,’’ he further explained.


Shehu said that the government had no reason to mislead the citizens on the budget and on all other matters for whatever reason.



FG Seeks $3.5bn Emergency Loans From World Bank, AfDB

The federal government has asked the World Bank and African Development Bank for $3.5bn in emergency loans to fill a growing gap in its budget in the latest sign of the economic damage being wrought on oil-rich nations by tumbling crude prices, the Financial Times of London has reported.

The request from President Muhammadu Buhari’s government is intended to help fund a $15bn state deficit, which has been deepened by a hefty increase in public spending as the West African country attempts to stimulate a slowing economy.


It comes as concerns grow over the impact of low oil prices on petroleum exporting economies in the developing world.
Finance minister Kemi Adeosun told the Financial Times recently that she was planning Nigeria’s first return to bond markets since 2013. But Nigeria’s likely borrowing costs have been rising alongside its budget deficit. A projected deficit of $11bn, or 2.2 per cent of gross domestic product, had already risen to $15bn, or 3 per cent, as a result of the recent turmoil in oil markets.


The $2.5bn loan from the World Bank and a parallel $1bn loan from the ADB, which would enjoy below-market rates, must still be approved by both banks’ boards. Under World Bank rules its loan would be subject to an IMF endorsement of the government’s economic policies and bank officials say they would have to be confident the Nigerian government was undertaking significant structural reforms. But both loans would carry far fewer conditions than one from the IMF, which does not believe Nigeria needs a fully fledged international bailout at this point.


“I think we all agree that Nigeria is facing significant external and fiscal accounts challenges from the sharp fall in…oil prices, as of course are all oil exporters,” Gene Leon, the IMF’s representative in Nigeria, told the Financial Times.


Credit : Daily Trust

Sen. Oluremi Tinubu Picks Holes In 2016 Budget

The senator representing Lagos Central Senatorial District, Mrs. Oluremi Tinubu (APC) yesterday faulted the allocation to the Ministry of Women Affairs in the 2016 budget.


Contributing to the debate on the proposal, Mrs. Tinubu said the allocation of N4billion to the ministry has shown that the Nigerian women have been used and dumped by the APC.

According to her, the party would incur the wrath of women in the country, “if the allocations in the budget was not jerked up.


“The allocation to women in this budget is the least ever. Less than N4bn was allocated to women when Capital projects alone are N3billion. This is not going to go down well. I think the women have been used and dumped after elections,” she said.

Mrs Tinubu who is also the chairman of the Senate Committee on Women Affairs urged the Senate Committee on Appropriations to look into the allocation to women during budget defence.


Also speaking, Senator Aliyu Wammako (APC, Sokoto North) said the budget was realistic noting that “The 2016 budget is not only budget of change but it is budget of hope.”



Credit : Daily Trust

Lawmakers Slam 2016 Budget As Debate Continues

For the third day running, federal lawmakers in the Senate and House of Representatives continued the debate on the 2016 Budget.

Unlike previous days, lawmakers set aside party sentiments to dissect and debate the 2016 budget.

There were criticisms and mixed reactions as lawmakers expressed their views on the budget.

Some Senators slammed the budget for not adequately taking into account, development projects in the Ministry of Women Affairs meant to ameliorate the sufferings of women in the country.

Some other Senators who agreed that there was the need to limit the expenditure of monies borrowed to fund capital projects, also stressed the need to diversify the economy, following the dwindling price of oil in the international market.

The lawmakers said that the funds appropriated to the ministries of Agriculture and Solid Minerals does not show government’s seriousness in trying to diversify the economy.

The budget debate was expected to end on Tuesday but was shifted to Wednesday, January 26.

Credit: ChannelsTv

Read National Assembly’s Debate On 2016 Budget

The federal lawmakers have commenced debate on Nigeria’s 2016 Appropriation Bill after putting behind the controversies surrounding the budget.

The debate session took place on Wednesday at both the upper and lower chambers of the National Assembly in Abuja, the nation’s capital.

The lawmakers in the Senate had divided opinions on the financial plan, as some opposition lawmakers in the Peoples Democratic Party (PDP) questioned the financial capacity of the government to fund the budget considering the fall in oil prices and the deficit in the budget with an initial oil price benchmark of $38 per barrel.

However, some legislators from the ruling All Progressives Congress hailed the budget while describing it as a ‘budget of the people’.

In the meantime, the budget debate in the House of Representatives was approached with less passion, as it was kick started by the House’s majority leader.

Credit: ChannelsTv

Senate To Pass 2016 Budget In February- Ndume

Senate Leader Ali Ndume, yesterday, disclosed that the upper legislative chamber will likely pass the N6.08 trillion 2016 budget into law latest February.

Ndume also described a recent call by the opposition Peoples Democratic Party (PDP), that the National Assembly should commence an impeachment process against President Muhammadu Buhari, on alleged involvement in the budget controversy as ‘a joker’.

Addressing Senate correspondents, Ndume reiterated that Senate would conclude and pass the 2016 budget before end of February, adding that lawmakers had planned to pass the budget on record time, but blamed the delay on recent misgivings about the document.

“We are targeting end of February to round off everything about the 2016 national budget.? If not for the talk about a missing budget, we would have gone far. But, we are still determined to pass the budget on time and that will be before the end of February,” he said.

On PDP’s call for the impeachment of Buhari, he asked rhetorically: “Did we kill the PDP for what they did to us in the last 16 years? The call for the impeachment of the president by the PDP is what they are supposed to do. They are in the opposition. Buhari is the kind of leader the country wants.

“His emergence is divine intervention. The game the PDP is playing is understandable. The budget is not missing.”

Last week, the PDP urged the National Assembly to commence an impeachment process against President Buhari over the alleged involvement of his aide, Senator Ita Enang in changing of figures in the 2016 budget earlier submitted to a joint session on December 22.

Speaking on the alleged missing budget, he re-echoed his earlier position that the budget was not missing, rather, the Senate committee on Ethics, Privileges and Public Petitions was mandated to carryout an integrity test on the two copies of the budget before the Red Chamber.

“?Not only that the budget was not missing, the budget cannot be missing. The budget comes in copies. The copy submitted by Mr. President cannot be missing. There are some issues that came later surrounding the budget.

“We told the Senate Committee on Ethics, Privileges and Public Petitions to find out what happened and they discovered that there were two versions. What the president submitted as a bill is still there. Nothing has changed.”

Credit: Sun

Presidency Revises 2016 Budget, Reduces Allocation For…

The Presidency has drastically cut its N8.09 billion provision in the 2016 budget for the purchase of various brands of vehicles for State House operations during the year.

A review of the fresh copy of the budget uploaded to the website of the Budget Office of the Federation on Friday showed a massive cut by about 83.5 per cent in the total allocation for the vehicles.

The government will now spend only N1.34 billion to buy only five BMW saloon cars and jeeps as well as buses for use by the Presidency during the year.

Apart from the reduction in the provision for vehicles, there were other adjustments in the previous allocations to various departments and units in the Presidency contained in the original budget.

A total of N7.52 billion was provided previously for the purchase of various exotic vehicles, including BMW saloon cars, in addition to another N566 million for the procurement of vehicles, including 16-seater Toyota Hiace coaster buses for the State House.

Credit: PremiumTimes

Outcome Of Senate Investigation On ‘Missing 2016 Budget’ Claim

The Senate Committee on Ethics and Privileges has begun investigation of claims that the 2016 budget is missing from the chamber.

This was disclosed to reporters by the Chairman of the committee, Senator Samuel Anyanwu, after Wednesday’s legislative proceedings in the National Assembly in Abuja, Nigeria’s capital.

While addressing reporters, the Senate Majority Leader, Senator Ali Ndume, also described as ‘untrue’, the claim that the budget was missing.

A federal lawmaker, Senator Enyinaya Abaribe, earlier at plenary, raised a point of order demanding that the Senate should look into media reports on the whereabouts of the 2016 budget.

After his observation, the Senate President, Dr. Bukola Saraki, gave the assurance that the budget would be distributed to the lawmakers at the upper chamber on Thursday ahead of the debate on the financial plan on Tuesday, January 19.

While confusion edges the whereabouts of the 2016 budget in the Senate, the clerk of the lower chamber displayed the budget on the floor.

The Speaker of the House of Representatives, Honourable Yakubu Dogara, also maintained that the budget was not removed from the House.

On Tuesday, the Chairman House of Representatives Committee on Appropriations, Honourable Abdulmumin Jibrin,  said that there was no truth to insinuations that the 2016 budget document is missing.

He said that the claims may have been inspired by the initial insufficiency of the copies of the budget available to all the lawmakers.

“As far as I am concerned, that story does not hold water. We were expecting copies to be printed and sent to the National Assembly but there was a bit of delay.

“As at yesterday, I can confirm to you that the Appropriation Committee in the House received a lot of copies of the budget. By the time the Clerk counted it today, it was not sufficient to go round members.

“I spoke with the Minister of Planning earlier today [Tuesday] and he assured me that before the end of today he will deliver the remaining copies.

“For the soft copy I also reminded him and he sent it to me and I handed it over to the House,” he explained.

Honourable Jibrin said the rumour of missing budget may have been triggered by the delay in the production of more copies of the budget.

“You should realize that we have a new government in place and I think that there is little issue of communication gap and they are trying to get themselves settled. We should be able to excuse them and support the President wherever there is a bit of limitation from his own side”, he said.

Credit: ChannelsTv

Senate To Begin Debate On 2016 Budget

The Senate has announced that the 2016 Appropriation Bill submitted by President Muhammadu Buhari will be subject to debate from the lawmakers from Tuesday 19th January.

The Senate President, Bukola Saraki, made the announcement on Wednesday, during plenary.

“Senate President @bukolasaraki announces that the debate of #2016AppropriationBill will commence on Tuesday 19th January 2016,” reads a tweet from the Twitter account of the Nigerian Senate.

There were reports,Tuesday, that the budget was no longer available in the Upper Chamber, leading to rumour of ‘Missing budget’

However, it is unclear if the budget is now available or the speech of Saraki is to douse tension.

Credit: Vanguard

Senate Clears Air On Alleged Missing 2016 Budget

Controversy appears to be trailing the passage of the 2016 budget, as there are reports that the budget is missing.

A federal lawmaker, who spoke on condition of anonymity, said that there were fears that the 2016 budget had disappeared from the National Assembly.

President Buhari on December 22 presented the 2016 budget to a joint session of the National Assembly.

The Senate on resumption of plenary on Tuesday went into a closed-door session which lasted for nearly two hours.

The lawmaker said the issue of the whereabouts of the budget was discussed during the closed door meeting.

The source further said the Senate had directed its Committee on Ethics and Privileges to investigate the matter.

Credit: ChannelsTV

Okorocha Presents 102bn Naira 2016 Budget

Governor Rochas Okorocha State has presented a 102-billion-Naira budget proposal for the 2016 fiscal year before the Imo State House for Assembly.

The Governor made the budget presentation on Tuesday at the hallow chamber in Owerri, the capital of Imo State in southeast Nigeria.

Governor Okorocha explained that the budget, which was tagged ‘Budget of Consolidation and Continuity’, showed that 43.1 per cent of the total budget was proposed for capital expenditure while 56.9 per cent was proposed for recurrent expenditure.

He disclosed that the budget targeted 23 billion Naira from the Imo State’s share of the Federal Allocation, 17 billion Naira from Internally Generated Revenue (IGR) and 148 billion Naira from Excess Crude Oil among others.

Credit: Channelstv

Full Transcript Of President Muhammadu Buhari’s 2016 Budget Speech : “The Budget Of Change”

“The Budget of Change”

Delivered By

His Excellency, Muhammadu Buhari

President, Federal Republic of Nigeria


A Joint Session of the National Assembly


1. I am honoured and privileged to present the 2016 Budget proposal. This is my first address before this joint session of the National Assembly. I have come here today, not only to address members of the National Assembly, but also to speak directly to the men and women who placed us here.
2. I know the state of our economy is a source of concern for many. This has been further worsened by the unbridled corruption and security challenges we have faced in the last few years. From those who have lost their jobs, to those young people who have never had a job, to the people in the North East whose families and businesses were destroyed by insurgents, this has been a difficult period in our nation’s history, lessons that we must not forget or ignore, as we plan for the future.

3. By June 2014, oil prices averaged $112 per barrel. But as at today, the price is under $39 per barrel. This huge decline is having a painful effect on our economy. Consumption has declined at all levels. In both the private and public sectors, employers have struggled to meet their salary and other employee related obligations. The small business owners and traders have been particularly hard hit by this state of affairs.

4. Fellow Nigerians, the confidence of many might be shaken. However, I stand before you today promising that we will secure our country, rebuild our economy, and make the Federal Republic of Nigeria stronger than it has ever been.

5. The answers to our problems are not beyond us. They exist on our farmlands; our corporations; in the universities in the hearts and minds of our entrepreneurs; through the gallantry of our Armed Forces; and the resolute spirit of Nigerians, especially the youth, who have refused to give up despite all the obstacles confronting them.

6. This Budget proposal, the first by our Government, seeks to stimulate the economy, making it more competitive by focusing on infrastructural development; delivering inclusive growth; and prioritizing the welfare of Nigerians. We believe that this budget, while helping industry, commerce and investment to pick up, will as a matter of urgency, address the immediate problems of youth unemployment and the terrible living conditions of the extremely poor and vulnerable Nigerians.

7. In the medium to longer term, we remain committed to economic diversification through import substitution and export promotion. This will build resilience in our economy. It will guarantee that the problems we have today, will not confront our children and their children. This shall be our legacy for generations to come.


8. Today, it is widely acknowledged that the global economy has slowed down. This is particularly the case with emerging markets such as Nigeria. However, despite the weak emerging market growth rates, our domestic security challenges, declining oil prices, and the attendant difficulties in providing foreign exchange to meet market demands, the Nigerian economy grew by 2.84% in the third quarter of 2015.
9. We have, and will continue to implement strategies that will maintain macroeconomic stability and manage the oil price shocks we are experiencing.

10. Upon the inauguration of this administration on 29th May 2015, we engaged key stakeholders from various sectors of our economy and interfaced with the heads of Ministries, Departments and Agencies (MDAs) in order to understand the true state of our nation. What we found prompted us to take certain strategic decisions.

11. On the economy, we injected new leadership at the helm of our revenue generating agencies including the Federal Inland Revenue Service (FIRS), Nigerian National Petroleum Corporation (NNPC), Nigerian Communications Commission (NCC), and the Nigerian Customs Service (NCS). We implemented the Treasury Single Account (TSA) which, so far, has provided greater visibility of Government revenues and cash flows. We intervened to support States to navigate their fiscal challenges by restructuring their commercial bank loans and by providing facilities to enable them to pay salary arrears.

12. We have demonstrated a strong will to fight corruption. I am sure you will agree that the sheer scale of corruption and impunity of the past explains in part, the economic challenges we now face. On these initiatives, and the many more to come, we shall not be deterred. We will pursue the recovery of everything that belongs to the people of Nigeria. No matter where it is hidden. No matter how long it will take.

2015 Budget Performance
13. Distinguished and honourable members of the National Assembly, I now present a review of the 2015 Budget. That Budget was based on a benchmark oil price of $53 per barrel, oil production of 2.28 million barrels per day and an exchange rate of N190 to the US$.
14. The projected revenue was N3.45 trillion, with an outlay of N4.49 trillion, implying a deficit of N1.04 trillion. Due largely to under-provisioning by the previous administration for fuel subsidy and the costs required to support the military operations in the North East, the Government had to obtain National Assembly’s approval for a supplementary budget of N575.5 billion. I take this opportunity to thank all members of the National Assembly for the prompt passage of that Bill.
2016: Budget Assumptions
15. After reviewing the trends in the global oil industry, we have set a benchmark price of $38 per barrel and a production estimate of 2.2 million barrels per day for 2016. We have focused on non-oil revenues by broadening our tax base and improving the effectiveness of our revenue collecting agencies.
16. Also, with the full implementation of the Treasury Single Account, we expect significant improvements in the collection and remittance of independent revenues. To further support the drive for increased remittances, we will ensure that all MDAs present their budgets in advance, and remit their operating surpluses as required by section 22 of the Fiscal Responsibility Act.

17. We are determined to ensure that our resources are managed prudently and utilized solely for the public good. To set the proper tone, one of our early decisions was the adoption of a zero based budgeting approach, which ensures that resources are aligned with Government’s priorities and allocated efficiently. This budgeting method, a clear departure from previous budgeting activities, will optimize the impact of public expenditure.
18. In addition to the proper linkage of budgeting to strategic planning, we are enhancing the utilization of the Government Integrated Financial Management Information Systems (GIFMIS) to improve financial management. The recently established Efficiency Unit is working across MDAs to identify and eliminate wasteful spending, duplication and other inefficiencies. We engaged costing experts to scrutinize the 2016 budget proposals. They have already identified certain cost areas that can be centralized for economies to be made.
19. We have directed the extension of the Integrated Personnel Payroll Information System (IPPIS) to all MDAs to reap its full benefits. We will also strengthen the controls over our personnel and pension costs with the imminent introduction of the Continuous Audit Process (CAP). These initiatives will ensure personnel costs are reduced. Our commitment to a lean and cost effective government remains a priority, and the initiatives we are introducing will signal a fundamental change in how Government spends public revenue.

2016: Laying the Foundation for Sustainable Growth
20. The 2016 budget, as outlined, is designed to ensure that we revive our economy, deliver inclusive growth to Nigerians and create a significant number of jobs.

21. We aim to ensure macroeconomic stability by achieving a real GDP growth rate of 4.37% and managing inflation. To achieve this, we will ensure the aligning of fiscal, monetary, trade and industrial policies.

22. As we focus on inclusive growth, we are conscious of the current rate of unemployment and underemployment. This is a challenge we are determined to meet; and this budget is the platform for putting more Nigerians to work. I can assure you that this administration will have a job creation focus in every aspect of the execution of this budget. Nigeria’s job creation drive will be private sector led. We will encourage this by a reduction in tax rates for smaller businesses as well as subsidized funding for priority sectors such as agriculture and solid minerals.

23. As an emergency measure, to address the chronic shortage of teachers in public schools across the country, we also will partner with State and Local Governments to recruit, train and deploy 500,000 unemployed graduates and NCE holders. These graduate teachers will be deployed to primary schools, thereby, enhancing the provision of basic education especially in our rural areas.

24. We also intend to partner with State and Local Governments to provide financial training and loans to market women, traders and artisans, through their cooperative societies. We believe that this segment of our society is not only critical to our plan for growing small businesses, but it is also an important platform to create jobs and provide opportunities for entrepreneurs.

25. Furthermore, through the office of the Vice President, we are working with various development partners to design an implementable and transparent conditional cash transfer program for the poorest and most vulnerable. This program will be implemented in phases. Already, the compilation of registers of the poorest persons is ongoing. In the coming weeks, we will present the full programme, which will include our home-grown public primary school feeding and free education for science, technology and education students in our tertiary institutions. Indeed, this will mark a historic milestone for us as a nation.

The 2016 Budget
26. Distinguished members of the National Assembly, I now present, the 2016 Budget proposals of the Federal Government. Based on the assumptions I presented earlier, we have proposed a budget of N6.08 trillion with a revenue projection of N3.86 trillion resulting in a deficit of N2.22 trillion.

27. The deficit, which is equivalent to 2.16% of Nigeria’s GDP, will take our overall debt profile to 14% of our GDP. This remains well within acceptable fiscal limits. Our deficit will be financed by a combination of domestic borrowing of N984 billion, and foreign borrowing of N900 billion totaling N1.84 trillion. Over the medium term, we expect to increase revenues and reduce overheads, to bring the fiscal deficit down to 1.3% of GDP by 2018.

28. In 2016, oil related revenues are expected to contribute N820 billion. Non-oil revenues, comprising Company Income Tax (CIT), Value Added Tax (VAT), Customs and Excise duties, and Federation Account levies, will contribute N1.45 trillion. Finally, by enforcing strict compliance with the Fiscal Responsibility Act, 2007and public expenditure reforms in all MDAs, we have projected up to N1.51 trillion from independent revenues.

29. Although we are working to diversify our economy, we will not lose sight of the need to restructure the oil and gas sector which has been marred by corruption and plagued with inefficiencies. Accordingly, I have directed the Petroleum Products Pricing Regulatory Agency (PPPRA) to adjust its pricing template to reflect competitive and market driven components. We believe this can lower input costs and attain efficiency savings that will enable PPPRA to keep the selling price for all marketers of petrol at N87 per liter for now.
30. The current fuel scarcity with long queues at petrol stations all over the country causing social dislocation is very unfortunate. Government profoundly apologizes to Nigerians for this prolonged hardship and misery. It is as a result of market speculators and resistance to change by some stakeholders. Government is working very hard to end these shortages and bring fuel to the pumps all over the country.

31. I have also directed the NNPC to explore alternate funding models that will enable us to honour our obligations in Joint Ventures (JVs) and deep offshore fields. We are confident that these measures can be achieved and will lower the burden that the traditional cash calls have imposed on our budget and cash flows as well as contribute towards shoring up our national reserves.
32. To deliver our development objectives, we have increased the capital expenditure portion of the budget from N557 billion in the 2015 budget to N1.8 trillion, in the 2016 budget. Distinguished and honourable members of the National Assembly, for the first time in many years, capital expenditure will represent 30% of our total budget. In future years we intend to raise the percentage allocation for capital expenditure.

33. This is a fulfillment of our promise to align expenditure to our long-term objectives, and a sign of government’s commitment to sustainable development. This increased capital expenditure commits significant resources to critical sectors such as Works, Power and Housing – N433.4 billion; Transport – N202.0 billion; Special Intervention Programs – N200.0 billion; Defence – N134.6 billion; and Interior – N53.1 billion. These investments in infrastructure and security are meant to support our reforms in the Agriculture, Solid Minerals and other core job creating sectors of our economy.

34. We will invest to safeguard lives and property.

35. We will invest in equipping our farmers with the right tools, technology and techniques.

36. We will invest in empowering and enabling our miners to operate in a safe, secure and humane environment.

37. We will invest in training our youths, through the revival of our technical and vocational institutions, to ensure they are competent enough to seize the opportunities that will arise from this economic revival.

38. Indeed, the future looks bright. And I ask that we all work together to make this vision a reality. The 223% year on year growth in capital expenditure demonstrates our desire to make Nigeria more competitive, and start the journey to deliver sustainable development in our country.

39. In fulfillment of our promise to run a lean government, we have proposed a 9% reduction in non-debt recurrent expenditure, from N2.59 trillion in the 2015 Budget to N2.35 trillion in 2016. Furthermore, we have budgeted N300 billion for Special Intervention Programs, which takes the total amount for non-debt recurrent expenditure to N2.65 trillion.

39. As I mentioned earlier, the Efficiency Unit set up by this Administration together with effective implementation of GIFMIS and IPPIS will drive a reduction of overheads by at least 7%, personnel costs by 8% and other service wide votes by 19%. Distinguished and honourable members, this budget will be executed to provide optimum value by ensuring every naira spent by this Government, counts.

40. We will devote a significant portion of our recurrent expenditure to institutions that provide critical government services. We will spend N369.6 billion in Education; N294.5 billion in Defence; N221.7 billion in Health and N145.3 billion in the Ministry of Interior. This will ensure our teachers, armed forces personnel, doctors, nurses, police men, fire fighters, prison service officers and many more critical service providers are paid competitively and on time.

41. Distinguished and honourable members of the National Assembly, our 2016 borrowings will be principally directed to fund our capital projects. Furthermore, the sum of N113 billion will be set aside for a Sinking Fund towards the retirement of maturing loans; while N1.36 trillion has been provided for foreign and domestic debt service. This calls for prudent management on our part, both of the debt portfolio and the deployment of our hard earned foreign exchange earnings.
42. I am aware of the problems many Nigerians currently have in accessing foreign exchange for their various purposes – from our traders and business operators who rely on imported inputs; to manufacturers needing to import sophisticated equipment and spare parts; to our airlines operators who need foreign exchange to meet their international regulatory obligations; to the financial services sector and capital markets who are key actors in the global arena.
43. These are clearly due to the current inadequacies in the supply of foreign exchange to Nigerians who need it. I am however assured by the Governor of Central Bank that the Bank is currently fine-tuning its foreign exchange management to introduce some flexibility and encourage additional inflow of foreign currency to help ease the pressure.

44. We are carefully assessing our exchange rate regime keeping in mind our willingness to attract foreign investors but at the same time, managing and controlling inflation to level that will not harm the average Nigerians. Nigeria is open for business. But the interest of all Nigerians must be protected. Indeed, tough decisions will have to be made. But this does not necessarily mean increasing the level of pain already being experienced by most Nigerians.

45. So to the investors, business owners and industrialists, we are aware of your pains. To the farmers, traders and entrepreneurs, we also hear you. The status quo cannot continue. The rent seeking will stop. The artificial current demand will end. Our monetary, fiscal and social development policies are aligned.
46. Mr. Senate President, Mr. Speaker, distinguished members of the National Assembly, in spite of the global economic uncertainties; we must remain steadfast in our commitment to steer this country back to greatness.

47. The Nigerian economy needs to move away from dependency on oil. Our growth must be inclusive. Nigerians must be part of the growth story. As a Government, we shall deliver security, jobs and infrastructure. This is the right of all Nigerians.

48. I know many people will say “I have heard this before”. Indeed, trust in Government, due to the abuse and negligence of the past, is at an all-time low. This means we must go back to basics. Our actions will speak for us. My team of dedicated, committed and patriotic Nigerians is well aware of the task ahead and I can assure you that we are taking on the challenge.
49. We will not betray the trust reposed in us.

50. We will welcome and be responsive to your feedback and criticisms.
51. We are here to serve. And indeed, Nigerians will get the service they have longed for and which they rightly deserve.

52. We as a Government cannot do it alone. We will require the support of all civil servants, the organized labour, industry groups, the press and of course, our religious and traditional institutions. This is a call for all of us to stand and serve our country.

53. This Budget represents a major step in delivering a new opportunity for Nigeria. It demonstrates our confident optimism that despite the challenging times, we have the will, resourcefulness and commitment to deliver prosperity to our people. And by the Grace of Almighty God and the sheer will and determination of the Nigerian people, we will come out stronger and more united than ever.
54. Thank you and God bless the Federal Republic of Nigeria.

Lagos: Ambode Presents N662.58bn Budget Proposal For 2016

Gov. Akinwunmi Ambode of Lagos State on Thursday presented a 2016 budget proposal of N662.58 billion to the Lagos State House of Assembly for approval.


Ambode, who tagged the budget “The People’s Budget”, said that it would promote massive investment in security, transport/traffic management, physical and social infrastructural development as well as enhance job creation.


The budget is made up of capital expenditure of N383.678 billion and a recurrent expenditure of N278.909 billion in the ratio of 58:42 respectively as against 51:49 in 2014 and 2015.


“This represents an improvement of 26 per cent over the budgets of 2014 and 2015 respectively, which stood at N489.69 billion,” Ambode said.


The News Agency of Nigeria (NAN) recalls that the N489.69 billion year 2015 budget was later reordered and signed into law on Sept. 23, 2015.


The reordered budget comprised N19.7 billion capital expenditure and N5.7billion recurrent expenditure within the initial budget size.


Ambode said that the total revenue estimate for 2016 fiscal year was N542.87billion.


He said that this showed that the balance of N119.71billion would be funded through deficit financing that would be 0.41 per cent of the state GDP based on 2016 budget alone and a cumulative debt to GDP ratio of about 3 per cent.


The budget breakdown revealed that Economic Affairs had the highest allocation of N211,04 billion followed by General Public Services, N120,50 billion.


Education and Health had N113.37 billion and N64.67 billion respectively.


Housing and Community Housing and Community Amenities got N62.71 billion while Environment got N53.04 billion and Public Order and Safety N28.55 billion.


Others are Recreation, Culture and Religion, N4.63 billion and Social Protection N4.02 billion.


Ambode said that the 2016 budget would be used to strategically build new infrastructure, while existing ones would be maintained.


“Wealth and employment creation will receive a lot of attention as we commence the implementation of the Employment Trust Scheme which will set aside N25 billion over a four-year period for job creation,” he said.


Ambode pointed out that the Federal Government still owed the state N50 billion expended on federal roads in the state.


“Fiscal federalism and according Lagos a special status will benefit the state as we implore the Federal Government to look into this as soon as possible.


“We look forward to an early refund to enable us utilise the fund on other infrastructure that require attention,” he said.


“To say that the dwindling oil revenues is affecting the revenues of the state and the nation is to state the obvious.


“Our Internally Generated Revenue has been our saving grace in Lagos State, but that does not imply that we are immune to the crisis rocking other states,” Ambode said.


He, therefore, implored residents to make it a point of duty to pay their taxes appropriately as and when due.


“On our part, we promise that this budget shall be implemented faithfully and in the best interest of Lagosians,” he said.


Receiving the budget, the Speaker, Lagos State House of Assembly, Mr Mudashiru Obasa, said the presentation was necessary to obtain legislative consent for the amount of money to be spent in the coming financial year.


“We have all listened with rapt attention to how the wealth of our state will be utilised for our common good in year 2016.


“The responsibility is now on the members of this honourable house to do the needful; and I assure you that we will meticulously perform our constitutional duty.


The speaker, who commended the governor on road infrastructure and procurement of mass transit buses, urged him to do more to ensure traffic flow.


NAN reports that the speaker handed over the demands of the residents collated from the town hall meetings held by the lawmakers across the 40 constituencies to the governor.




Buhari To Present 2016 Budget Before Joint National Assembly Session

President Muhammadu Buhari has written the National Assembly, stating his intention to present the 2016 Appropriation Bill before a joint session of the Senate and House of Representatives.

According to the letter read by the senate president, Bukola Saraki, Wednesday, Mr. Buhari will address the lawmakers on Tuesday, at 10 AM.

The session will be the first time Mr. Buhari would address a joint session of the National Assembly since coming to power in May.

The precursor to the budget, Medium Term Expenditure Framework, was forwarded to National Assembly last week.

In the MTEF, the Federal Government proposed $38 per barrel as the benchmark for crude oil.

Credit: PremiumTimes

Nigerian Senators Divided Over Oil Benchmark For 2016 Budget

Members of the Nigerian Senate on Wednesday commenced debate on the Medium Term Expenditure Framework (MTEF) presented to the upper legislative body by President Muhammadu Buhari.

Mr. Buhari had forwarded the MTEF to the Senate on Monday.

Under Nigerian public finance system, the MTEF is the precursor to budget, as well as Fiscal Strategy Paper (FSP), which details spending and revenue projections for three years.

At the Senate plenary Wednesday, lawmakers differed on the $38 per barrel benchmark projected as the price of crude of oil, the mainstay of the Nigerian economy.

Leading the debate, the Deputy Senate President, Ike Ekweremadu, asked the Senate to consider an upward review of the crude oil benchmark for the 2016 budget.

?In his opinion the $38 oil benchmark is “conservative”.

Mr. Ekweremadu therefore urged the senate to peg the oil benchmark for the 2016 budget at $40 per barrel.

“I have looked at the projection for the oil price,” he began, adding that “the benchmark of $38 per barrel appears to me to be conservative. From the projection of oil price for 2016 it is estimated? that it will hover between $40 and $45.

“I like to suggest that the senate consider an oil benchmark of $40. I’m sure that this will help cushion the problems we have in the states.”

Credit: PremiumTimes

Buhari Reveals Plan For 2016 Budget

President Muhammadu Buhari says that the 2016 National Budget being prepared by his administration would include fresh policies and measures to encourage the rapid diversification of the Nigerian economy away from its current over-dependence on the oil and gas sector.

Speaking at an audience with the President of the Movement of the Enterprises of France (MEDEF), Mr. Pierre Gattaz and a delegation of French investors, President Buhari said that policies being evolved by his administration to boost domestic manufacturing and attract greater investment to Nigeria’s agricultural and mining sectors will be given full effect under the 2016 budget.

The President urged Mr. Gattaz and the French trade mission, which includes over 50 companies with interest in manufacturing, agriculture, infrastructure development and other areas, to return to Nigeria again next year in order to take full advantage of the new policies.

Read More: channelstv