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2017 Budget Yet To Attain 10 Percent Implementation, don’t expect timely passage of 2018 budget, says NASS

The Chairman of House of Representatives committee on Legislative Budget and Research, Mr. Timothy Golu, has ruled out the possibility of passing the 2018 budget into law before the end of the year, even as he disagreed with the executive arm that paucity of funds caused the poor implementation of 2017 estimate.
Also, commenting on the brewing crisis, a principal officer in the Red Chamber observed that the ground was already being prepared for another round of budget crisis between the National Assembly and the executive arm of government.
According to him, the late submission of MTEF to the National Assembly as well as refusal to comply with relevant laws guiding budget preparations had always been the causes of challenges dogging Nigeria’s budgeting process.

The senator recalled how in 2016, the Senate returned the MTEF to the executive arm of government due to lack of supporting documentation and details.
Golu, who spoke to The Guardian in Abuja, explained that the December 31-target cannot be realised due to the poor implementation of the 2017 budget, regretting that while the government said they have released funds, most of the Ministries, Departments and Agencies (MDAs) said they have not seen cash.
While contending that there is no way the MDAs would start implementation of any budget without money, the lawmaker, who represents Pankshin / Kanke / Kanan federal constituency of Plateau State, blamed the executive for the problem associated with the 2017 budget implementation.
He said: “Lack of money is not the main problem, government is slow in taking decision, it is slow in coordinating the agencies, it is slow in coordinating it’s policies. The government is just slowing down most of these things.
“I believe that if the government can accelerate action, if there can be proper coordination between the ministry of finance and the budget office and then the MDAs, these things could be sorted out.”
The lawmaker decried the situation whereby everybody in the executive is saying different things, stressing that they are not on the same page as far as budget data is concerned.
“So that is part of the problem; I don’t see us passing this budget before the end of the year, because we need to do a good job. They have not submitted it, yet they are talking about passage.
“We are yet to start work on MTEF-FSP; the relevant committees are about to work on the MTEF-FSP now, which should precede the submission of the main budget, so it means that we would be handling the budget together with the MTEF-FSP, which to us is not the problem, because we can do it.
“But to have enough time for the various committees to do their work, it would be difficult to pass this budget before December 31, because if we rush now and do an untidy job, Nigerians would not be happy. So we need enough time to handle the items, one by one, because the national assembly more than ever before is putting an eagle eye on every item,” he remarked.
Further, the legislator disclosed that the House of Representatives is doing what is referred to in port parlance as destination inspection of the budget items, stressing that since it is a law, “if we don’t do it well, the implementation would be bad and it would affect all of us.”
He disclosed that the leadership of the National Assembly has resolved to sit down and analyze in details, every item so that by the time it becomes law, you know that it would be implementable.
“That in itself is a problem, because there should be clear implementation of the 2017 budget to give way for the coming budget, because if the previous budget is not implemented then there would be no clearance for the new budget to take off. So, if they want to harmonize or roll over some things, I just don’t know how they are going to do it. “
On the level of implementation of the 2017 budget, Golu stated: “We have not heard anything about the 2017 budget yet. There is nothing happening. We have not heard about the implementation up until now, even 10 percent implementation has not been done and they are planning to bring 2018 budget.”
Some critical minds in the National Assembly believe that the approval given by FEC, which suggested that the executive had concluded action on the 2018 budget proposal and ready to present same to the Legislature amounted to turning the law upside down, which they say could kick start serious problems for the 2018 budget.
Picking holes on the procedure, a member of Senate Committee on Appropriation drew attention to section 18 of the Fiscal Responsibility Act, which clearly provides that the President ought to await the consideration and approval of the draft MTEF by the National Assembly before using same as basis for preparing the Budget proposal.
He said: “These are the issues we have always raised; why do we always behave as if we are ignorant of the laws guiding budget preparation? Look, it is sad that despite the presence of competent lawyers in cabinet, the executive is acting as if the law does not matter.
“Apart from the Vice President, you have the Attorney-General of the Federation there. Better still, the minister in charge of Budget is not only a lawyer, he was with us here as a member of Senate. Is it impossible to get the document on MTEF submitted by the end of August as required by law? They ignored that aspect of the Fiscal Responsibility Act and submitted MTEF in October.”
The lawmaker added: “Now, to do a thorough job before getting the MTEF approved, it takes a minimum of six weeks. That is why the law asked that the draft of the MTEF be submitted to the National Assembly at least four months to the end of the year, so that before the end of October of every year, the MTEF would have been considered, approved and sent back to the President.”
He argued that in the eyes of the law, “it is the approved MTEF sent to the President that he will use to cause the national budget to be prepared and later sent back to the legislature as Budget proposal.”
“At the moment, the National Assembly has not even started considering the MTEF draft because of its late submission and FEC has announced that it has approved the Budget proposal. What a mess! Is the National Assembly supposed to play the rubber stamp role and close its eyes to these irregularities? We wait and watch how the whole thing will play out,” he explained.
Late submission of MTEF to the National Assembly had in the recent past produced serious problems for the early passage and implementation of the budget.

Other lawmakers who expressed their minds to The Guardian on the issue expressed regrets that no lesson has been learnt from the budget crisis that had always been a source of quarrel between the executive and legislative arms of government particularly since the inception of President Muhammadu Buhari’s administration.
Specifically, the Fiscal Responsibility Act stated in section 18: “Notwithstanding anything to the contrary contained in this Act or any other law, the Medium-Term Expenditure Framework shall be the basis for the preparation of the estimates of revenue and expenditure required to be prepared and laid before the National Assembly under section 81(1) of the Constitution.
“The sectoral and compositional distribution of the estimates of expenditure referred to in subsection (1) of this section shall be consistent with the medium term developmental priorities set out in the Medium Term expenditure Framework.”

Source: GuardianNG

PDP asks N/Assembly not to approve Buhari's $5.5 bn loan

The Peoples Democratic Party (PDP) has asked the National Assembly not to approve the $5.5 billion foreign loan being sought by the President Muhammadu Buhari-led government.
The party explained that the move was an attempt by the ruling All Progressives Congress (APC) to plunge Nigeria into further debt and consciously mortgage the future of the nation.
The PDP in a statement Wednesday night by its national publicity secretary, Prince Dayo Adeyeye asked the government to account for all the monies it borrowed since assumption of office.
"As major stakeholders in the Nigerian Project, we are worried that if the National Assembly does not stop this latest demand for foreign loan, the money when released, will go the way of other loans obtained in the last two years without any tangible result to show for it.
"For emphasis, we are dismayed at the rate by which the APC is plunging the nation into debt through local and foreign borrowingwithout concomitant developmental projects in any sphere of the nation's economy to justify the huge borrowing.
"The figure released recently by the Debt Management Office (DMO) stating that the nation under the administration of the APC government in the last two years of being in office, has borrowed N7.51 trillion. It is mind-boggling.
"Mind boggling because all round infrastructural decay has now reached alarming proportions. The roads have deteriorated, the state of power supply has become worse and there is no increase in wages to match the skyrocketing inflation.
"We are constrained to ask the government of President Muhammadu Buhari to explain to Nigerians what his government has done with the
several huge sums borrowed in the last two years in the name of financing infrastructural development in the country.
 "The data shows that since President Buhari was sworn-in, the Nation's Debt has risen by 61.96% in only two years," the PDP said.


Read more at dailytrust.com.ng

Nigeria Lawmakers Jumbo Salaries: Meeting With Saraki Raises More Questions Than Answers---SERAP

Socio-Economic Rights and Accountability Project (SERAP) has confirmed that its representatives yesterday met with the Senate President Bukola Saraki to discuss issues relating to details of annual salaries and allowances of lawmakers.
In a statement today by Timothy Adewale SERAP deputy director the organization said that, “While we appreciate the expressed commitment by Saraki to transparency and accountability of the National Assembly, and the rare opportunity to dialogue with him, we remain deeply concerned that the leadership of the Senate has unfortunately not satisfactorily addressed the damaging allegations by Professor Itse Sagay, Chairman Presidential Advisory Committee against Corruption (PACAC), that a Nigerian Senator gets N29 million in monthly pay, and over N3 billion a year.”
According to the organization, “There is an apparent discrepancy in some areas between what Saraki said at the meeting and what the Senate is doing in practice to improve transparency of its operations and accountability of members. For example, the Senate President’s response to Sagay’s allegations was simply to refer SERAP to the National Assembly budget for 2017, which is available on its website. However, a careful study of the document shows that it contains only some general information and not specific details that respond directly to allegations raised by Sagay.”
The statement read in part: “The meeting with Saraki raises more questions than it answers. The Senate budget on its website is incomplete. The absence of specific details on salaries and allowances of each senator not only makes analysis difficult, it also points to underlying weaknesses in monitoring and transparency mechanisms.”
“Without including some level of details, Nigerians may see the published National Assembly budget as nothing more than window-dressing. SERAP hopes that the leadership of the Senate doesn’t want this to be the case---and we certainly see no reason why it should be the case. As we have noted, improved transparency on the exact salaries and allowances of senators and indeed members of the House of Representatives is in the interests of all.
“In SERAP’s view, rather than referring us to the seemingly incomplete National Assembly budget, the Senate President should have provided a line-by-line response to Sagay’s allegations. It’s important that the leadership of the Senate provides additional information that is lacking from the published budget if it is ever going to satisfactorily clear the air on the issues.”
“Continuing failure and/or refusal to provide a line-by-line response to Sagay’s allegations is counter-productive. Although the issues of transparency in the salaries and allowances of members of the National Assembly may seem like sensitive issues, they are exactly the kind of issues the Senate and House Representatives need to urgently address and clarify if Nigerians are ever to trust their lawmakers.”
 “As the 2017 National Assembly budget does not appear to record all allowances received by senators, it’s in the best interest of the Senate to now publish a line-by-line response to Sagay’s allegations rather than simply providing a blanket denial. If the Senate is disputing Sagay’s figures on the salaries and allowances of its members it should at least provide what it considers to be the current amounts, including on ‘hardship allowance’. One way the Senate can do this is by moving swiftly to publish details of senators’ payslips and other relevant documents on the salaries and allowances of members for Nigerians to compare and judge.”
“In addition, we agree with the Senate President that there are corruption issues within the executive that need to be fully and effectively addressed. But the reality of corruption in the executive branch of government doesn’t mean that allegations of corruption in the National Assembly especially as they relate to budget padding and constituency projects, should be minimized or ignored. The leadership of the Senate should have provided examples of how the Senate is preventing corruption in the budget process and initiatives like constituency projects rather than shifting the blame as to why corruption is so pervasive in the implementation of such projects.”
“Further, the Senate President’s call on Nigerians to report to the Senate allegations of corruption that directly affect them or which they witness is warmly welcomed. We hope the Senate will keep to its promise on this, and that reports of corruption cases that Nigerians bring to it will be objective, fairly and effectively addressed and that any such process is completely transparent. However, citizens may not have the trust and confidence to embrace the Senate Anti-Corruption Reporting Mechanism until the leadership satisfactorily addresses the lingering doubts on the exact salaries and allowances of its members.”
“The National Assembly is in a uniquely strong position to act as a catalyst in the fight against corruption. But the rhetoric of the leadership of the Senate on transparency and accountability needs to be matched by reality.”
It would be recalled that Mr. Bamikole Omishore, the Special Adviser to Saraki on New Media, had said on Sunday in Abuja that he would contact SERAP and other CSOs for a meeting to give more details on the yearly earnings of senators. Omishore said, “The attention of the office of the President of the Senate has been drawn to demand for more details regarding the earnings of senators of the Federal Republic of Nigeria. Having released the breakdown of the National Assembly budget, the most comprehensive in the history of Nigerian Senate, it seems the release of pay slips is yet to clarify earnings of Nigerian senators.
“The Senate President has agreed to a roundtable with SERAP and other CSOs to enlighten them and answer genuine questions regarding the matter,” Mr. Omishore also said.
Earlier, Professor Sagay that had alleged that a Nigerian Senator gets N29 million in monthly pay. The details of the salaries and allowances as provided by Professor Sagay are as follows: basic salary N2,484,245.50; hardship allowance, 1,242, 122.70; constituency allowance N4, 968, 509.00; furniture allowance N7, 452, 736.50; newspaper allowance N1, 242, 122.70. Others are: Wardrobe allowance N621,061.37; recess allowance N248, 424.55; accommodation 4,968,509.00; utilities N828,081.83; domestic staff N1,863,184.12; entertainment N828,081.83; personal assistant N621,061.37; vehicle maintenance allowance N1,863,184.12; leave allowance N248,424.55; severance gratuity N7, 425,736.50; and motor vehicle allowance N9, 936,982.00.
Sagay’s allegations prompted SERAP to write Saraki, stating that, “The ‘sky will not fall’ if details of a Nigerian Senator’s salaries and allowances are published on a dedicated website. SERAP believes that releasing the information on salaries and allowances of members of the Senate would encourage a nuanced, evidence-based public debate on what would or should be a fair salary for a member of the Senate.”
The organization said that “It is by making transparency a guiding principle of the National Assembly that the Senate can regain the support of their constituents and public trust, and contribute to ending the country's damaging reputation for corruption.” 
SERAP statement read in part: “Transparency is a fundamental attribute of democracy, a norm of human rights, a tool to promote political and economic prosperity and to curb corruption. For the Senate, practicing transparency should start with the leadership being open to Nigerians on the salaries and allowances of members.”
“SERAP strongly believes that it is by knowing exactly how much their lawmakers earn as salaries and allowances that members of the National Assembly can remain accountable to Nigerians and our citizens can be assured that neither fraud nor government waste is concealed.”