The Nigerian government has come under fire from civil society organisation BudgIT for its unorthodox approach to budgeting.
This was contained in a statement issued on Friday by its communications officer, Nancy Odimegwu.
BudgIT strongly condemns the proposal to simultaneously implement four national budgets in the 2024 fiscal year.
President Bola Tinubu recently sought National Assembly approval for an extension of the implementation period for the two budgets.
The President has asked the DPR to shift the expiration date of the two budgets from December 31, 2023 to December 31, 2024.
This complex scenario involves:
• 2023 Approved Budget: Signed into law in January 2023, this budget was originally designed to run over a standard 12-month period.
• 2023 Supplemental Budget: This mid-year budget supplement aims to address unforeseen circumstances during the initial budget cycle.
• 2024 Approved Budget: The standard annual budget for 2024, reflecting the government’s spending plans for the current year.
• Proposed 2024 Supplemental Budget: While not yet finalized, this supplemental budget raises concerns about further deviation from the standard budget process.
However, reacting on Friday, BudgiT, which tracks the implementation and execution of government projects in the country, said that shifting the budget cut-off date would change the country’s annual budget to a biennial one.
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BudgiT said that what is worrying is that the Federal Government may draw up a 2024 supplementary budget to be implemented simultaneously with the 2023 annual budget, 2023 supplementary budget and 2024 annual budget.
The statement said, “Recall that the 2023 Approved Budget of N21.83 trillion was signed into law by former President Muhammadu Buhari in January 2023, and was designed to run for 12 calendar months from January to December, as is the case globally.
“In addition, while the 2024 Appropriation Bill was being drafted, the 2023 Supplementary Budget of N2.17 trillion was passed by the National Assembly and approved by President Bola Tinubu barely two months before the end of the 2023 financial year.
“The National Assembly initially extended the implementation of the 2023 State Budget and the 2023 Additional State Budget to June 30, 2024, and now to December 31, 2024.”
BudgIT’s concerns are multifaceted:
• Resource Scarcity: Dividing resources across multiple budgets limits the funds available for each budget. This can cause delays in project implementation and hamper the government’s ability to deliver on its promises.
• Priority Setting Challenges: With four budgets in progress, setting spending priorities becomes a complex task. Important projects outlined in the 2024 budget may be overshadowed by unmet requirements from previous budget cycles.
• Lack of Transparency: Managing multiple budgets simultaneously increases the risk of confusion and lack of clarity. Tracking expenditure allocation and monitoring project progress becomes more difficult in such situations.
The government has yet to respond to BudgIT’s criticism. However, the incident raises important questions about fiscal accountability and transparency in Nigeria.
• How will the government manage the complexity of implementing four budgets simultaneously?
• Will this approach cause delays or disruption to important government projects?
• What steps will be taken to ensure transparency and accountability in the allocation and use of funds?
BudgIT slams Nigerian government’s double budget implementation first appeared on Latest Nigeria News | Top News from Ripples Nigeria.
