NASS Passes N4.8trn 2012 Budget …Approval Excludes CBN Appropriations

The National Assembly, yesterday, passed a budget of N4.8 trillion for 2012.

The figure is made up of N372.5 billion for statutory transfers, N559.5 billion for debt service, N2.425 trillion for recurrent expenditure and N1.519 trillion for capital expenditure.

Presenting the budget  to the Senate, Chairman, Senate Committee on Appropriation, Sen. Ahmed Maccido noted that the initial budget presented by the President in 2011 was N4.648 trillion.

He explained that the budget was revised to the current figure due to the introduction of the Subsidy Re-investment Programme (SURE-P) by the President.

“While we were considering the Bill, the President sent an addendum which revised the 2012-2014 revenue frameworks and the 2012 budget with a SURE-P component.’’

Briefing journalists later, Maccido said the figure for the SURE-P component was N180 billion. “This increased the budget to N4.877 trillion.’’

Maccido added that the Senate increased the benchmark of crude from $70 to $72 which enabled it to save N98 billion which was ploughed into servicing of deficit.

“We also had savings from raising the benchmark from $70 to $72. The $2 that we saved provided us N98 billion which was plunged into servicing of deficit. ’’

He said that the deficit was earlier put at N1.126 trillion but had now been reduced to less than one trillion naira.

Maccido said the budget excluded the Central Bank of Nigeria (CBN) budget.

“CBN said the National Assembly had forfeited its right to scrutinise its budget,’’ he added

While assessing the performance of the 2011 budget, Maccido described it as “dismal.’’

He was, however, optimistic that the 2012 budget would perform better, saying it was a good budget since most of the projects were ongoing.

Senate spokesman, Senator Enyinnaya Abaribe, explained that “the CBN Act stated that only the CBN Board could scrutinise its budget but the Fiscal Responsibility Act said differently.

“Under the CBN Act, there is a provision there, that it is the Board of the CBN that takes its budget. But under the Fiscal Responsibility Act, all agencies of government are supposed to bring their budget for scrutiny to the National Assembly.

According to Abaribe, the CBN Governor is hiding under the CBN Act to refuse to provide the budget of the CBN to the National Assembly.

He said this was a legal matter that the National Assembly would take up with the executive.

Senate President, David Mark implored the executive to ensure that the 2013 budget was submitted in good time to ensure quicker passage.

“It is my sincere hope that the 2013 budget would be submitted latest by September which will give us enough time to work on it and pass it within the year.

“We must reduce deficit as much as possible. We are better off by having a reduced deficit. I hope that that would be taken into consideration in the 2013 budget.’’

Our correspondent  reports that the House of Representatives also passed the same figures as the Senate.

Nneka Amaechi-Nnadi,Abuja

Hon Commissioner for Information and Communications, Mrs Ibim Semenitari (right) chatting with her Permanent Secretary, Mrs Jokotade Adamu, during the demolition of former Rivers NUJ secretariat at Moscow Road, in Port Harcourt, on Wednesday. Inset: Demolition of Ernest Ikoli Press Centre in progress. Photo: Egberi Sampson