National Assembly okays N4.9 trillion budget for 2011

[TGD]

THE two chambers of the National Assembly yesterday approved N4.971 trillion as the total expenditure for 2011 with N2.467 trillion voted for recurrent expenditure.

The sum of N1.562 trillion is set aside for capital expenditure, N496.6 billion for statutory transfers while N445.096 billion goes for debt servicing.

In terms of assumptions, oil benchmark is pegged at $75 per barrel, crude oil production at 2.3 million barrels per day (bpd), joint venture production stands at $5.4 billion, seven per cent Gross Domestic Product (GDP) and exchange rate of N150 to $1.

After the budget was passed by the Senate, its Chairman of Appropriation Committee, Iyiola Omisore, said the projections were made after a discussion with the Federal Ministry of Finance.

Omisore told journalists that while the National Assembly was working on the budget, the Executive arm of government kept sending more estimates and "till Friday, March 11, 2011, with adjustments, differentials and errors in the sum of N312 billion to augment Ministries, Departments and Agencies (MDAs) key priority expenditure."

He added that besides requests for extra funding, modifications were effected in the budgets of certain MDAs due to re-prioritisation.

Omisore said the policy thrust of the 2011 is premised on government's determination to establish and strengthen "sound micro-economic environment that Nigeria needs to ensure the prosperity of our citizens." This, according to him, will attract investment, facilitate private sector growth, boost employment generation and ensure wealth creation, and other socio-economic development goals under the Vision 20:2020.

Speaking on the oil benchmark put at $75 per barrel, Omisore said there was no cause to fear because the country could rely on the Sovereign Wealth Fund, which would warehouse the excess crude fund.

The chairman also presented requests for virement in the power and aviation sectors. In the power sector, N22.38 billion was presented with N1.496 billion meant for shortfall in key parastatals of the ministry.

A breakdown of the budget shows that the National Assembly, National Judicial Council (NJC) and the Universal Basic Education placed on first line charge got N232.7 billion; N95 billion and N62.3 billion in that order while the Independent National Electoral Commission (INEC) also on first line charge got N52.1 billion.

Defence, comprising the Ministry of Defence, Nigerian Army, Nigerian Air Force and Nigerian Navy got N311.69 billion; Education N306.320 billion while the Police got N296.569 billion.

The Senate and House of Representatives also included clauses barring agencies from viring money without recourse to the National Assembly while the Accountant-General of the Federation has been mandated to maintain a separate record for documentation of revenue accruing to the Consolidated Revenue Fund in excess of oil price benchmark.

Senate President, David Mark, remarked at the end of the session that the National Assembly would embark on aggressive oversight functions to ensure faithful implementation of the budget.

It would be recalled that President Goodluck Jonathan forwarded an appropriation of N4.2 trillion to the Legislature in December last year.

The chamber also passed the Freedom of Information (FoI) Bill with a warning to all stakeholders, including the media, to be ready to disclose source of information "because the media has always said they will not disclose sources of information."

The Senate also began the consideration of the Petroleum Industry Bill (PIB) before adjourning till April 19, 2011 to enable lawmakers, who are contesting elections concentrate on their campaigns.

Reacting to the passage of the FoI Bill by the Senate, Minister of Information and Communications, Mr. Labaran Maku, has commended the Upper House for the passage of the document.

He urged all stakeholders in the media to agree on a consensus ombudsman that would regulate the profession.

Briefing journalists yesterday in Abuja, Maku described the passage of the bill as a mark of growth of democracy, adding that it is a clarion call on journalists to live up to the ethics of their profession by ensuring that their stories are factual, objective, and balance.           

He said: "The Nigerian media has been fighting and crying for the passage of this bill for years, the National Assembly has demonstrated that when national interest comes to play, they can rise to the occasion. The bill is good for the country and Nigerians should know that this bill is not about the Press but it is about democracy, due process, transparency and the attempt to hide information from the press in governance."             

Maku noted that the passage of the bill by both houses of the National Assembly was an indication that progress is being made to ensure proper democratisation of the country.

"After the controversies that trailed the bill and the National Assembly has found it worthy to pass the bill, then it's an indication that we are moving forward as a country."



Source: N'Assembly okays N4.9 trillion budget for 2011