President Buhari signed the 2022 budget with misgivings over the insertion of over 6,576 projects by both chambers of the National Assembly.
Buhari signed a budget of N17.127 trillion on Saturday, up from a proposal of N16.391trillion that he submitted to the National Assembly on October 7, 2021.
The difference of N36.59 billion came from National Assembly’s projects in the Service Wide Vote, which the President decried, saying it negates the principles of separation of powers and financial autonomy of the legislative arm of government.
Buhari did not hide his displeasure over the additions, noting in particular that the federal lawmakers had gone ahead with the insertions despite his express concern that this is the last full-year budget to be implemented by his administration.
Buhari, who leaves office next year after eight years in office noted that the fiscal year 2022 would be very crucial in his administration’s efforts to implement its agenda before leaving office.
“It is in this regard that I must express my reservations about many of the changes that the National Assembly has made to the 2022 Executive Budget proposal,” he said.
Buhari identified such changes introduced by the National Assembly members to include:
“Increase in projected FGN Independent Revenue by N400 billion, the justification for which is yet to be provided to the Executive;
“Reduction in the provision for Sinking Fund to Retire Maturing Bonds by N22 billion without any explanation;
“Reduction of the provisions for the non-regular allowances of the Nigerian Police Force and the Nigerian Navy by N15 billion and N5 billion respectively.”
“This is particularly worrisome because personnel cost provisions are based on agencies’ nominal roll and approved salaries/allowances;
“Furthermore, an increase of N21.72 billion in the overhead budgets of some MDAs, while the sum of N1.96 billion was cut from the provision for some MDAs without apparent justification;
“Increase in the provision for Capital spending (excluding Capital share in Statutory Transfer) by a net amount of N575.63 billion, from N4.89 trillion to N5.47 trillion.”
“The changes to the original Executive proposal are in the form of new insertions, outright removals, reductions and/or increases in the amounts allocated to projects.
“Provisions made for as many as 10,733 projects were reduced while 6,576 new projects were introduced into the budget by the National Assembly.
“Reduction in the provisions for many strategic capital projects to introduce ‘Empowerment’ projects.
“The cuts in the provisions for several of these projects by the National Assembly may render the projects un-implementable or set back their completion, especially some of this administration’s strategic capital projects.
“Most of the projects inserted relate to matters that are basically the responsibilities of state and local governments and do not appear to have been properly conceptualised, designed and costed.
“Many more projects have been added to the budgets of some MDAs with no consideration for the institutional capacity to execute the additional projects and/or for the incremental recurrent expenditure that may be required.”
Although he signed the budget, he vowed to return it to the National Assembly for amendment.
According to the President, he signed the budget document in spite of obvious flaws in it, to “enable its implementation to commence on 1st January 2022”.
“However, I will revert to the National Assembly with a request for amendment and/or virement as soon as the Assembly resumes to ensure that critical ongoing projects that are cardinal to this administration and those nearing completion do not suffer a setback due to reduced funding,” he said.
This is happening about two weeks after the president withheld his assent from the Electoral Reform Bill, with reasons for refusing to sign it. That dust raised by that presidential action is yet to settle.
