Even former President Shehu Shagari, whose government is widely regarded as not being a prudent manager of resources, attempted to tame government expenditure by introducing what he described as austerity measures when he realised that the Nigerian economy was heading toward collapse.
Surprisingly, the two budgets that President Bola Tinubu has proposed so far do not seem to reflect the reality of the abyss that the Nigerian economy was plunged into after his government (justifiably) removed petrol subsidy and collapsed the foreign exchange rate regime.
The 2023 Supplementary Budget contains provisions for the purchase of a presidential yacht, said to be a military asset that is yet to be fully explained to the understanding of any intelligent and right-thinking person.
The N2.176tn 2023 Supplementary Budget is said to have been prepared to strengthen Nigeria’s security architecture and address the critical infrastructure deficit. The Special Adviser to the President on Media and Publicity, Ajuri Ngelale, quoted the Minister of Budget and Economic Planning, Abubakar Bagudu, to hide the weakness in the supplementary budget.
Ajuri announced that defence and security took 30 per cent of the budget. The N4bn to be spent on the renovation of the Presidential Quarters and the residence of the Vice President was hidden in the 35 per cent that went to the Federal Capital Territory, the Ministry of Works, and the Ministry of Housing and Urban Development.
This vote includes the N1.5bn to be used to purchase vehicles for the (unconstitutional) Office of the First Lady, the N2.9bn to be used to buy SUVs for the Presidential Villa and another N2.9bn for operational vehicles.
The N35,000 palliative for 1.5 million federal workers between September and December 2023 took 32 per cent of the supplementary budget. Ajuri’s analysis leaves out a three per cent unaccounted for.
On the other hand, the 2024 budget proposal of N27.5tn that is still in the works comes with a healthy revenue projection of N18.32tn, with N9.18tn (or one-third) deficit and N8.25tn (or nearly one-third) projection for debt servicing.
But regrettably, after taking care of the N8.25tn for debt servicing, other expenditures of a little above half of a trillion naira, and N9.92tn for recurrent expenditure, only N8.7tn is earmarked for capital expenditure. That is a poor showing of a little less than one-third of the entire budget.
Some Nigerians wonder why the Federal Government allocated N15bn and N10bn respectively for the renovation of State Houses in Abuja and Lagos but chose to spend a mere N500m on the Lagos-Port Harcourt coastal highway.
This probably suggests that the personal comfort of Nigeria’s apex politicians is more important than the economic well-being of the citizens of Rivers, Bayelsa, Delta, (possibly) Edo, Ondo, Ogun and Lagos states, which constitute the hub of the Nigerian economy.
And if it is indeed true that N13.5bn of the 2023 Supplementary Budget was allocated to Aso Rock Villa, right-thinking Nigerians should ask why should another vote be earmarked for the State House Dodan Barracks in Lagos and Aso Rock Villa in Abuja in the 2024 Appropriation Bill.
Something doesn’t quite add up here. Nigerian citizens should be asking if those who prepared the 2024 Appropriation Bill expect that the Lagos and Abuja State Houses will be knocked down after the allocation from the 2023 Supplementary Budget has been expended on them.
It is interesting to note that while the President is spending so much money travelling to several countries to woo foreign direct investors, multinational corporations that already operate in Nigeria are folding up, and leaving, or are at least significantly reducing their operations.
The pharmaceutical giant, GlaxoSmithklineBeecham; fast-moving consumer goods giant, Procter & Gamble; and indigenous conglomerate, Patterson & Zochonis, are pulling out.
The legislative arm of the government is equally guilty of the squandermania and jamboree that seem to be consuming the executive branch under Tinubu.
After Senate Godswill Akpabio openly committed the gaffe of disclosing that senators would be gifted some holiday freebies, the senators themselves decided to gift themselves brand new SUVs at the exorbitant cost of N160m.
Regrettably, senators who are members of the Labour Party, whom everyone thought would have a moral compass, greedily went for the SUVs after Julius Abure, their National Chairman, cautioned them against taking the vehicles. Some naive Nigerians had thought that the Labour Party had a modicum of ideological direction. But alas!
But even worse is that the presidential candidate of the Labour Party, Peter Obi, who spoke out of both sides of his mouth, ended up endorsing the greed of his party senators. He gave the jejune explanation that the vehicles would be used for official duties. As if anyone was ever in doubt about that.
Not a few Nigerians were worried about his position, though he somewhat redeemed his image when he wondered why the government voted only N57bn to the Police Trust Fund (to protect Nigeria’s 200 million citizens), but awarded the higher vote of N65bn for the travels of government personnel in the presidency only.
When you hear that Falalu Bello, National Chairman of People’s Redemption Party, asserts that “(The President Tinubu) government is still a relic of the past that is jealously protecting a few Nigerians, lacking a clear path to the prosperous future (that) Nigerians aspire to as a nation,” you will understand why it may be difficult to have a tangible break from the old way of doing things.
The same individuals, who traditionally prepared Nigeria’s budgets in the past, are still the ones who are preparing the current budgets. They are used to the envelope budgeting method that is informed by absolute guesswork.
It appears that while the civil servants who prepare the budgets are generally incompetent and unprofessional, members of the political class who are elected to run the system (albeit for a season), are unable to pay attention to details.
Senator Adams Oshiomhole was able to reveal the absurdity of unthinking prison administrators who are unable to determine that it is ridiculous to feed a guard dog with N800 per day and feed an awaiting trial accused in prison custody with N750 per day.
It is becoming ever so obvious that those who run Nigeria are insensitive and probably unaware of the bite of the economy on the citizens of Nigeria. Some mischievous people think the state actors are looking for any way to recoup their electoral expenses.
That is why you should wonder why both the 2023 Supplementary Budget and the 2024 Appropriation Bill that succeeds it have provisions for the renovation of the residential quarters of the President and the Vice President.
Nigerians aren’t quite sure of what to make of the promise by Vice President Kashim Shettima that Nigerians will (positively) feel the impact of the government. They are unable to match the words of the government to its recent actions.
While the government is asking Nigerians to endure the hardships arising from its policies, state actors make wasteful policy decisions that look as if the intention is only to take care of their existential issues.
The National Assembly should weed out rehabilitation of residences out of the 2024 Budget because it’s not a priority.
