THE Federal Government’s plan to run four budgets simultaneously in 2024 has drawn criticisms from a wide range of Nigerians, including civil society groups and lawmakers, who have expressed concerns over the potential implications of this unconventional approach to budgeting.
These budgets include the capital component of the 2023 budget, the 2023 supplementary budget, the 2024 budget, and the 2024 supplementary budget, which is expected to be sent by President Bola Tinubu soon.
The ICIR reported how the Senate approved the extension of the implementation of the capital component for the 2023 Appropriation Act and the 2023 Supplementary Appropriation Act to December 31, 2024.
The approval is the second extension of the 2023 budget from June 30th, 2024, earlier approved by the Senate in March 2024.
Notably, the 2023 budget of N28.1 trillion was signed into law by former President Muahammadu Buhari in January 2023. The 2023 budget had a capital expenditure of N5.9 trillion.
Meanwhile, Tinubu signed the 2023 supplementary budget of N2.17 trillion in November 2023 and the 2024 budget of N28.7 trillion signed in January 2024.
The president is expected to present an estimate of N6.6 trillion supplement budget for 2024 in July, according to a report.
The recent developments have sparked concerns among experts and lawmakers who questioned the country’s fiscal management as the Tinubu government operates four budgets in one year.
BudgIT, a civic organization, condemned the plan by the federal government, describing the situation as worrisome and would amount to severe credibility issues.
BudgIT’s Country Director, Gabriel Okeowo, said “The concurrent implementation of four budgets will lead to severe budget credibility issues, as revenues projected in 2024 alone would most likely be used in implementing four different budgets, negatively impacting service delivery in critical social sectors and the provision of essential public infrastructure.
He added that the government stop this budgeting system and return to a January to December budget calendar.
“If allowed to be implemented, the practice would convert Nigeria’s annual budget into a biennial one, a practice neither provided for by the 1999 Constitution nor the Fiscal Responsibility Act of 2007.
“We also urge the federal government to identify and implement only the projects and programmes that align with Nigeria’s overarching development goals, reduce inequality, and improve the lives of citizens, the bulk of whom are multidimensionally poor,” he said.
Lawmakers react
Reacting to this development, the House of Representative Minority Leader, Kingsley Chinda, said it would be morally wrong for the country to run three to four budgets concurrently.
“We are aware of the importance of the implementation of capital projects and we know what capital projects can do in the lives of our people. However, the application for extension of the 2023 Appropriation Act is also coming with the request to extend the life of the 2023 supplementary budget. We are also expecting the 2024 supplementary budget.
“A situation where we may have four budgets running concurrently is a bit of a problem. I will suggest that the House leader (Ihonvbere) step this bill down. Meanwhile, the projects that were not completed in the 2023 budgets can be transferred to the 2024 supplementary budget,” he said.
Similarly, the former leader of the House, Alhassan Ado Doguwa, frowned at the situation. He said, “Whatever we are doing, we must be accountable to the people. Every member here is representing a community and when we are discussing matters of budget, we should call a spade a spade. I agree with the submission made by the minority leader.
“This has nothing to do with (being a member of) the (ruling) APC. It has never happened. When you have something unexpected like this, then we should expect that people will ask questions, whether overtly or covertly.
“Even if it is legal, it is unexpected; we have two budgets and a supplementary budget. It is legal but that moral aspect, for us as a House, I will appeal we allow this to go for now but the message has to be sent that the government should do the needful”, Doguwa said.
When filing this report, The ICIR observed that the Budget Implementation Report for the 2023 budget, from the first to the third quarter, was recently uploaded, on June 28, 2024.
The ICIR’s 2024 budget series uncovered several frivolities and misappropriations contained in the budget.
Kehinde Ogunyale tells stories by using data to hold power into account. You can send him a mail at [email protected] (jameskennyogunyale@gmail) or Twitter: Prof_KennyJames