As NASS Passes N8.916trn 2019 Budget: Saraki, Dogara, others get N23.678bn severance package

Four months after presentation by President Muhammadu Buhari, the National Assembly Tuesday passed the 2019 budget, increasing its projected aggregate expenditure size by N90billion.

Consequently, the new figure appropriated for the 2019 fiscal year stands at N8.916trillion as against N8.826trillion earlier proposed by President Buhari.

The N90billion increase in the budget profile as stated in separate reports presented to that effect by chairmen of Appropriation committees at both chambers, included N23.678 billion added as severance gratuity for outgoing federal lawmakers and their legislative aides.

Specifically, Chairman of the Appropriation Committee in the Senate, Senator Danjuma Goje (APC Gombe Central), said the N23.678billion severance package for outgoing legislators also included induction programme/inauguration of the 9th Assembly.

Also in the N90billion added to the entire aggregate expenditure of the budget was the N10 billion intervention fund approved for tackling of current humanitarian crisis in Zamfara state, while the balance of about N66billion were additional votes appropriated for the various security agencies for more potent wars against all forms of crimes in the land .

Goje  further said  in implementing the just approved N30,000 minimum wage for public servants , the N160billion proposed as service wide votes  was appropriated for,  under the Public Service wage adjustment for Ministries, Department and Agencies ( MDAs) .

However, as recommended by the committees and approved by both chambers, all parameters upon which the budget estimates were based remained.

The parameters are $60 per barrel oil price bench mark, 2.3 million barrel per day production level, N350 to one U.S. dollar as exchange rate.

Major highlights of the N8.916trillion 2019 budget passed by the National Assembly were N502.058billion for statutory transfers, N500billion for special intervention and N4.055trillion for recurrent expenditure.

Others were N2.094trillion for capital expenditure, N1.908trillion as fiscal deficit within the ambit of 1.37% deficit to GDP (Gross Domestic Product).  

Within the service wide votes allocations in the approved budget, N5billion was earmarked for payment of outstanding death benefit to civil servants and Police personnel, N15billion as additional support for universities and N65billion for Presidential Amnesty Programme on reintegration of transformed ex-militants.

Within the capital expenditure component of the budget, N394.906billion was earmarked for Federal Ministry of Power, Works and Housing, N107.218billion for Ministry of Agriculture and Rural Development, N159.125billion for Ministry of Defence and N92.178bn for Ministry of Water Resources.

Also, N58.689billion was allocated to Ministry of Education; Ministry of Transportation got N179.384 while N53.678bn went to Ministry of Interior among others.  

However in the recurrent expenditure component of the budget, the Interior Ministry received the highest appropriated votes of N564.222billion, followed by Ministry of Education with N463.395billion.

In his remarks after passing the Appropriation Bill for third reading, Senate President Bukola Saraki said: “With passage of this bill for third reading today, the executive must ensure full implementation of the budget, sector by sector for the benefit and wellbeing of Nigerians.

Meanwhile the Senate has adjourned to Tuesday, May 6, 2019.

Reps justify increment 

Meanwhile, the House of Representatives has justified the increment in the 2019 budget.
Addressing journalists after the budget passage, Chairman, House Committee on Appropriations, Hon. Mustapha Dawaki said their critical interventions necessitated the adjustment. 
He, however, said  all indices used in arriving at the budget figure did not change, as the crude oil benchmark of $60 per barrel, crude projection of 2.3 million barrels per day, and an exchange rate of N305 to the dollar as proposed by the president were maintained.

While explaining further, the lawmaker said because they needed to make funds available for the proposed N10 billion federal government’s intervention in Zamfara state over insecurity, “and so many items were not captured”, the budget deficit initially put at N1.9 trillion has increased by N53 billion.

He  also explained  the severance benefits of outgoing lawmakers and their aides, which was an expenditure already going on in the exiting year, as well as an increment in allocations to security agencies, because of the belief that they could do more in addressing insecurity if better funded.

On delay in passing the budget, the lawmaker blamed it partly on the prolonged general elections and the slow response by government agencies, ministries and departments, when needed to defend their estimates.

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