The 2016 ‘budget of change’ By Jide Ojo

udoma

It is heartwarming that after protracted controversies on the 2016 Federal Government budget which was presented to the National Assembly on December 22, 2015 and passed by the National Assembly on March 23, 2016, President Buhari eventually signed the Appropriation Act of N6.06tn into law last Friday. It is commendable that Buhari has also ordered the immediate release of N350bn to reflate the economy through capital projects.

Well, the next phase which is the most challenging is the implementation of the financial estimates. To my own mind, government must earnestly work round getting the needed funds for the about N2tn deficit. It is unfortunate that militants under the aegis of Niger Delta Avengers have commenced hostilities against Chevron and the Nigerian National Petroleum Corporation by blowing off some of the pipelines of these two corporations.  The oil and gas pipelines ruptured in Warri South West Local Government Area posed a major threat to Nigeria meeting its 2.2mbpd oil production estimate. The vandalised gas pipelines have also worsened the electricity generation plan of the government.

It is laudable that about 30 per cent of the budget is earmarked for capital projects. It is however essential that President Buhari ensures the prompt release of these capital votes which are meant to tackle the infrastructural deficits such as roads, railway, housing, power and many others. It is an open secret that notwithstanding what is appropriated for the MDAs; cash backing has always been a problem as the Ministry of Finance and the CBN may claim not to have resources to implement the projects for which funds had been earmarked. Government must redouble its efforts to ensure that having lost Quarter 1 of the financial year 2016, all projects in the budget, especially ongoing ones, are properly funded.

Buhari should endeavour to live up to his promises by  implementing his welfare programmes as contained in paragraphs 23 to 25 of his December 22, 2015 budget speech. These are: The Federal Government plan to partner with state and local governments to recruit, train and deploy 500,000 unemployed graduates and NCE holders;  the Federal Government plan to partner state and local governments to provide financial training and loans to market women, traders and artisans, through their cooperative societies;  working  through the office of the Vice President with various development partners to design an implementable and transparent conditional cash transfer programme for the poorest and most vulnerable.

They include homegrown public primary school feeding and free education for science, technology and education students in Nigeria’s tertiary institutions.  Aside this, there is the need for the Federal Government to provide adequate security for the citizenry in accordance with Section 14 (2)(c) of the 1999 Constitution of Nigeria, as amended which states that security and welfare of citizens shall be the primary purpose of government. The spate of crimes and criminality whether by armed bandits operating as robbers, kidnappers, herdsmen or terrorists must be checked.

The executive and legislative arms must jointly work together to provide needed oversight on the performance of this year’s budget. I am glad to know that Federal Ministry of Budget and National Planning has already drafted an implementation plan and a Monitoring and Evaluation framework for the budget.  Relevant committees of the Senate and House of Representatives must carry out genuine oversights on the MDAs and not go on blackmailing and arm-twisting missions for personal aggrandisement as they are wont to do. The media and civil society must also hold government to account on this financial estimate. As the saying goes, eternal vigilance is the price of liberty.

Once bitten, twice shy is a popular adage. The Federal Government must learn from the needless controversies over this year’s budget. It is laudable that the preparation for the 2017 budget has commenced in earnest as was made known by Senator Udoma Udo-Udoma, the Minister for Budget and National Planning. The minister should however hurry slowly and make sure there are wide consultations with the relevant stakeholders. The current practice of sending memo to the MDAs to submit their budgets which is then harmonised by the Budget Office and thereafter presented to the National Assembly for passage is counterproductive.

As could be seen from the ruckus over the 2016 appropriation bill, the legislative arm is a critical stakeholder and should be accorded due recognition. A cripple may not be able to milk a cow but can easily spill the milk. The National Assembly members’ interest should be reflected in subsequent budgets. Their desire to have constituency projects which they can use to impress their constituents as their democratic dividends should be taken seriously by the executive. While it may be true that legislative duties are not inclusive of project initiation and implementation, the norm in this clime is that the electorate want more than lawmaking from their elected parliamentary representatives. They want roads, electricity, schools and potable water and care less about who provides such amenities. Politicians want something to campaign for the next elections and it is tangible things like projects that they can use to convince their electorate that they have not been to Abuja to warm benches or count bridges.

The media and civil society’s input in subsequent budgets is desirable. The CSOs have emerged as partners in progress with government at all levels. It is important that their views on budget are captured and reflected in the country’s financial estimates. This will enrich the budgeting process and make it all-inclusive. Now that the Buhari administration has decided to adopt Zero-Based Budgeting where every line item in the budget has to be justified, there is a need for the Ministry of Budget and National Planning to thoroughly educate the MDAs on that new budgeting method. A wider civic education on it is equally needful.

I will be most delighted to see subsequent national budgets devoid of errors, padding, and the brouhaha of 2016. Most importantly, I look forward to a budget whose implementation will align with the financial year framework of January to December.

PUNCH

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