Editorial
States and Fiscal Responsibility Act
As State Governments decry the lack
of funds, even as they owe work
ers salary, the need to judiciously manage public resources has become increasingly imperative. Also disturbing is the ease with which people in government loot the treasury and go scot free.
Speaking to the media, the Acting Chairman of the Fiscal Responsibility Commission (FRC), Mr Victor Muruako, decried the acquisition of loans without due process by some States and the disregard for the Act.
He said that in order to ensure prudent management of funds in the public service, Nigeria enacted the Fiscal Responsibility Act in 2007 but lamented that only 17 States out of 36 had adopted the law, while many States government also fail to implement their budgets.
The Tide endorses the concerns of the Commission on the need to promote the tenets of the Act to ensure the enforcement of the Nation’s economic objectives as contained in Chapter 2, Section 16 of the Constitution of Nigeria under which the Act created the Commission.
We are even unhappy with the lack of enlightenment on the functions of the Commission especially when State governments rush to acquire needless loans that have compromised the health of the nation’s economy.
The Tide wonders why the Commission had failed to invoke relevant articles of the Act against erring States and even officers in States where the Act exists. Those who circumvent the Act to corruptly enrich themselves should be brought to book.
We think that urgent steps should be taken to make all the States and Abuja to domesticate the Act and inaugurate the Fiscal Responsibility office or face sanctions.
This has become imperative because it is becoming the norm for political heads to dump their budgets and assume the role of sole authorities. They award contracts and disregard financial regulations because of the immunity they enjoy.
Apart from the fact that many governors divert allocations, the Houses of Assembly have done nothing, coupled with the immunity enjoyed by governors, public treasury can be at the mercy of politicians without the Fiscal Responsibility Act.
To ensure that politicians do not use public funds as personal property or as campaign money, everything should be done to enhance the functioning of the Act and make it the instrument that will promote transparency and accountability in government.
As the nation marches towards a new dispensation of leadership, Nigerians expect that the fight against corruption, particularly amongst public office holders should be total and unbiased.
The challenge of corruption in the Public Service led to the enactment of the Act, to provide for prudent management of the nation’s resources, ensure long-term Macro-economic stability of the national economy, secure greater accountability and transparency in fiscal operations within the Medium Term Fiscal Policy Framework, and the establishment of the Fiscal Responsibility Commission.
But the failure to invoke the Fiscal Responsibility Act against corrupt officials is nothing short of a conspiracy in high quarters. That democracy in Nigeria will continue to be associated with mindless looting of public funds cannot be condoned.
Like the other anti-corruption agencies, the Fiscal Responsibility Commission must be seen to be working or be scrapped to save funds that are used to service its offices and staff.
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