The N11.03 trillion deficit proposed in the N19.76 trillion 2023 budget as indicated in 2023-2025 MTEF and FSP will be tackled by the National Assembly via necessary amendments of relevant provisions of the Finance Act .
Chairman, Senate Committee on General Services, Sen. Sani Musa ( APC Niger-East) made the discourse while speaking with newsmen in Abuja.
The Senate had, through its Committee on Finance at an interactive session with the Minister of Finance , Budget and National Planning , Mrs Zainab Ahmed on 2023-2025 MTEF and FSP, decried the proposed deficit as proposed in the N19.76 trillion 2023 budget .
Sen. Solomon Adeola ( APC Lagos) and Chairman Senate Committee on Finance, had told heads of revenue generating agencies to evolve other sources of revenue generation to reduce borrowing and ultimately the deficit in the nation’s budget.
Musa, however, said there was an urgent need to look into other areas beyond crude oil, to generate revenue to fund the budget and ultimately reduce the deficit in the budgetary provision.
He said: “The budget of this country has been in deficit and the only thing we can do is to amend so many things in the Finance Act. He said this would enable the generation of more revenues from other sources rather than depending on oil alone and by extension, reduce the size of proposed budget deficit.
Musa said the ninth Senate had done creditably, given the laudable bills passed to improve the economy, adding that the renovation of National Assembly complex was also a steering achievement of the ninth Assembly.
He said given the renovation, a temporal chamber for plenary was being put in place for senators ahead of its resumption on Sept. 20. “By now the temporary chambers should have been ready knowing that we are resuming.
“Initially we are supposed to resume on the 20th of this month but there are some little things that need to be done before then .
” But I can assure the general public that this will be done in the shortest time and we are going to resume to receive Mr President and to present the 2023 Budget.
“You will recall that the ninth Senate has done very well, because this edifice since it was built, has never been rehabilitated; we are refurbishing it, bringing it back to standard like any other parliament you see around the world.
“The FCT that is doing this Job, has been up and doing, but we need to push, they need to do more so that we will be able to resume as quick as possible.
” Commenting further on the general renovation work going on at the National Assembly, Musa said it was an overdue project and very necessary in making the NASS, particularly the hallowed Chambers, to meet up with global standard.
“It is a great achievement for us that we are renovating the National Assembly complex that has been built over 20 years.
” What we read from the newspapers that NASS leadership has not done anything on the leaking roof, is not true.
“This edifice is supposed to be managed and taken care by the FCT, because it is their property, but now we have taken it as a responsibility on us to make sure we renovate it.
“I’m sure that by the time the renovation of the National Assembly chambers is completed, other African countries will come to see and make Nigeria as a case study and see how we have improved on parliamentary infrastructure.
The National Pension Commission (PenCom) said the Federal Government was yet to pay only six months of pending accrued rights of retirees, under the Defined Benefit Scheme (DBS).
Director-General of PenCom, Aisha Dahir-Umar, disclosed this in Abuja on Thursday at the interactive session on 2022-2025 MTEF and FSP, organised by Senate Committee on Finance.
Dahir-Umar was responding to the questions from Senators on alleged delayed payment of pension benefits to retirees, possibility of investing pension fund for benefit of the economy, and alleged malpractice by Pension Fund Adminstrators (PFAs).
She said delayed payment of accrued rights would soon be a thing of the past as government was making frantic effort to clear the backlog of accrued rights.
According to her, government had in the last 17 years, consistently paid accrued rights, saying that it only owed six months of accrued rights.
She said that government was paying N49 billion monthly accrued rights in the last 17 years, adding that Federal Government via Debt Management Office (DMO), was on the verge of paying off the balance of accrued rights.
According to her, issue of accrued rights will soon be a thing of the past.
On investing the N14 trillion pension fund, she said PenCom was glad to invest the funds on attractive and viable instruments with the full involvement of government and the Federal Ministry of Finance because a lot of guarantees were required.
She said PenCom had invested 63 per cent of pension fund, adding that N9.5 trillion was invested on Federal Government securities, N1.2 trillion on equity, while 35 per cent was invested in money market.
She said the funds were not idle, but earning more funds for the contributors.
She explained that employees due for retirement, who didn’t appear for documentation and enrollment risked not getting paid their entitlements on time.
Chairman of the Committee, Sen. Solomon Adeola, said the Senate was interested in the activities of PenCom. He urged the commission to generate and pay more fund to the coffers of Federal Government, saying that Senate was considering adoption of cost of collection for MDAs to generate more funds for government.
NAN) Senate has constituted an ad-hoc committee to investigate the Nigerian Iron Ore Mining Company (NIOMCO), Itakpe over non-performance, despite budget allocations and releases of fund since 2008. The resolution to investigate the organisation followed a motion adopted by members of the Senate Committee on Finance on.
Day 3 of the interactive session with MDAs on 2022 to 2023 MTEF and FSP in Abuja on Thursday.
The motion was moved by Sen.Opeyemi Bamidele.
The ad-hoc committee has Sani Musa as Chairman, while the members are Opeyemi Bamidele, James Manager, Michael Nnachi and Sadik Suleiman.
The committee is to investigate the budget of the organisation, which comprises capital, recurrent and overheads in from 2008 to date and is expected to turn in its report in two weeks.
Earlier, the Chairman of the committee Sen.Solomon Adeola said the agency was a major source of wastage of government’s fund, following its moribund nature since 2008. He said the agency had been inactive for 14 years despite allocations of funds for capital, recurrent and overheads.
Adeola said N1.8billion was released as capital fund,while N2.5 billion had been cumulatively released to the organisation as of July. Adeola said it was worrisome that funds for capital, recurrent and overhead had been released to the agency since 2004 with no performance to show.
He said there was no reason for government to continue to fund an agency that “has been out of operation since 2008”.
“The organisation is deserted,and who are you paying salary, what project have you executed ,” Adeola wondered rhetorically.
Sen.Opeyemi Bamidela said “this is an entirely fearful situation and we are funding our budget by borrowing.
“And we have an agency that is meant to be developing our steel sector and they have not done anything since 2008,” Opeyemi said.
Jubril Isah accused the management of the agency of abandoning its mandate to some perceived social responsibility outside the mandate.
He urged the management to desist from further construction of projects not covered on its mandate.
Responding, the Sole Adminstrator of NIOMCO Mr Augustus Nkechika said the agency was mandated to stop operation since 2008, following the planned concession of the organisation, “which has resulted into litigation”.
He, however, revealed that efforts was being made to resolve the matter by the Federal Government.
He also revealed that the organisation has 700 staff in its payroll, saying that IPPIS was responsible for payment of staff salaries.
Senate to reduce 6trn proposed import waiver by 50% Senate to reduce 6trn proposed import waiver by 50% Waiver By Kingsley Okoye Abuja, Sept 14,2023 The Senate will reduce the import duties waivers proposed for the N19.76trillion 2023 budget with attendant deficit of N12.4trillion.
The Chairman, Senate Committee on Finance, Sen. Solomon Adeola made this known in Abuja on Tuesday, at an interactive session on the says it will reduce the N6 trillion proposed as import waiver for companies in the 2023- 2025 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper(FSP) with revenue generating agencies.
Adeola said the reduction became necessary, given the projected deficit of N12.4 trillion in the 2023 budget estimates and the current dwindling revenue profile of the nation.
Adeola said conscious effort must be made to reduce the growing budget deficits, adding that borrowing trends can not be allowed to continue unchecked.
He said there was an urgent need to look inward towards increased revenue generation and blocking of leakages.
“About six trillion was provided as waiver for companies in the 2023 proposal, but we should reduce it by 50 per cent.
“I don’t think we can accommodate that, we need to reduce the six trillion waiver by 50 per cent,” Adeola said.
Adeola also urged the Ministry of Finance to place 63 Government Owned Enterprises (GOEs) on cost of collection to fund their expenditures with immediate effect.
This, he said, would generate more revenue to fund the deficit envisaged in 2023 budget.
According to him, placing the agencies on cost of collection would spur the GOEs to collect more, because the more they generate, the more they receive .
Adeola also called for a review of pioneer legislation status on tax of some companies in the last five years.
The Minster of Finance, Budget and National Planning, Zainab Ahmed in her presentation on overview of 2023-2025 FSP disclosed that the Federal Government revenue for 2023 was projected at N6.34 trillion.
According to her, N373.17 billion would be generated from oil sources, while the balance of N5.97trillion would be earned from non-oil sources.
She also said the budget deficit for 2023 was projected to be N12.41 trillion, while the federal government’s 2023 aggregate expenditures was projected to be N19.76 trillion.
Responding to questions from senators, she said that it was the assumption of government that fuel subsidy would be exited by June 2023. She, however, expressed hope that the parliament would see a better way of ensuring exist of fuel subsidy.
She said the deficit envisaged in the budget was a concerned and debt serving was consuming a chunk of the nation’s revenue.
Ahmed said there was need to improve the revenue and reduce leakages inherent in the system.
“One of the ways to increase our revenue, is to strengthen our monetary generating enterprises and to provide real sanctions to defaulters based on the fiscal responsibility act.
On issuing tax credit to some companies and waivers .
She said:” Tax credit are issued only when companies construct projects and the projects are certified and certificate issued by the Federal Ministry of Works.
She also said that some of the waivers are backed by laws enacted by the legislature , adding that a review of the waivers would require an amendment to such laws.
The Controller -General of Nigeria Customs Service(NCS) retired Col. Hamid Alli in his presentation said NCS was working on implementing the collection of telecommunication tax in 2023 to boost the nation’s revenue.
He said the NCS projected a target of N2.8 trillion revenue collection for 2023, N3.5trillon for 2024 and N3.75trillion for 2025. The Chairman Federal Inland Revenue Services (FIRS) Muhammad Nami , told the committee that tax credit was an important innovation of government that has yielded positive results from Sept 2019 when it was introduced through Executive order 007 by President Muhamnadu Buhari He urged the committee not to legislate against it as it was only given to companies with evidence of projects execution.
He informed the committee that out of the N6.08trillion projected revenue from January to July 2022, FIRS generated N5.59trillion and assured that the N10.4trillion projected for the year , would be achieved News Agency of Nigeria reports reports that revenue generating agencies expected to appear at the five-day programme to make presentation on their revenue projections for the 2023-2025 MTEF-FSP includes the Central Bank of Nigeria,(CBN),Nigeria Port Authority, Amongst others.
The Nigeria Governors’ Forum (NGF) has called for the review of the National Water Resources Bill to accommodate the concerns of all states.
The forum made the call in a communiqué on Wednesday in Abuja and signed by its Chairman, Gov. Kayode Fayemi of Ekiti State after a teleconference meeting on Tuesday.
Fayemi said that the reintroduced Bill did not adequately address the interests of the states and was inconsistent with the provisions of the Constitution of the Federal Republic of Nigeria.
He said that the forum received presentations from the Minister of Agriculture and Rural Development, Dr Mohammad Mahmood Abubakar, on the Livestock Productivity and Resilience Support Project (LPRES) – a 6-year 500 million dollars World Bank programme.
The programme was aimed at improving the productivity, commercialisation and resilience of targeted livestock production systems in Nigeria.
Fayemi said that the governors unanimously agreed to spearhead the programme in their states.
This, according to him was particularly in areas such as institutional and innovation systems strengthening, livestock value-chain enhancement, crisis prevention and conflict mitigation and project coordination.
He added that the Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed presented the draft 2023 – 2025 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP).
Fayemi said that the presentation was part of the consultative process in the development of the Federal Government’s fiscal policy.
It was also to share relevant macroeconomic and fiscal assumptions to help States prepare their Economic and Fiscal Update (EFU), FSP and Budget Policy Statement (BPS).
“Following the presentation, governors had a robust discussion with priority given to the government’s response to the fallouts of the Russia-Ukraine war (including inflation and the rising food and nutrition crises).
“The continued impact of the petrol subsidy on the fiscal headroom of governments, implications of NNPC’s new transition on federation revenues.
“The widening divergence between the official and parallel market rate of the dollar on the currency,” he said.
Fayemi said that the State Action on Business Enabling Reforms (SABER) programme was also presented by Dr Jumoke Oduwole, Special Adviser to the President on Ease of Doing Business.
SABER was a 3-year performance-based intervention jointly designed by the World Bank Technical team and the PEBEC Secretariat with support from the Federal Ministry of Finance Budget and National Planning (FMFBNP), Home Finance Department (HFD) and the NGF Secretariat.
This was to incentivise and strengthen the implementation of business enabling reforms across Nigeria.
SABER was technically a successor to State Fiscal Transparency, Accountability And Sustainability ( SFTAS ).
“In line with the objectives of the programme, the forum endorsed the programme and committed to set up an Ad-hoc Committee to steer the implementation of the programme in all States of the Federation.
“In furtherance to meeting the goals of the Seattle Declaration, the forum committed to mobilising their state and local government teams for the PHC Leadership Challenge.
“Specific commitments include that Primary Healthcare (PHC) performance will be addressed at the state executive council level, governors will conduct visits to PHC facilities.
“Governors will hold meetings with traditional leaders to discuss PHC, deputy governors will chair PHC taskforces, while State committees will be set up on food and nutrition,” he said.
Fayemi said that the Minister of Health, Dr Osagie Ehanire, addressed the forum on available Global Fund support to state governments designed to revamp Primary Healthcare Centers, State Healthcare Centers, Ambulance Services and Drug Management Support in states.
He said that the governors thereafter resolved to work with the federal ministry of health to actualise the initiative.
Fayemi also said that the forum received a presentation from the leadership of the United Nations Children Fund (UNICEF), National Primary Health Care Development Agency (NPHCDA) on the Primary Health Care Leadership Challenge Fund. The fund was a product of the Seattle Declaration – the Primary Health Care and Human Capital Development Roundtable hosted in November 2019 by Mr Bill Gates, Alhaji Aliko Dangote, co-chair of the roundtable and the NGF.
“The Seattle Declaration sets out a series of commitments for State governments including the implementation of Primary Health Care Under One Roof, a costed Minimum Service Package tailored to States.
“State Basic Health Care Provision Fund requirements, improved financing for PHC as per the Abuja Commitment; “Review of State PHC performances in State Executive Councils, State Task Force on PHC chaired by the Deputy Governors, and the engagement of traditional and religious leaders on PHC,” he said.
Vertiv (www.Vertiv.com) (NYSE: VRT), a global provider of critical digital infrastructure and business continuity solutions, today released its inaugural Environmental, Social and Governance (ESG) report (https://bit.ly/3yq0FSP ), the company's first public report on its ESG activities.
The report outlines Vertiv's approach to energy and water efficiency; diversity, equity and inclusion (DE&I); employee health and safety; and other ESG-related topics. The content covered in the report serves as a baseline upon which the organization will build future efforts.
“We all know how critical connectivity is to our daily lives and the global economy. The global appetite for data continues to grow and our solutions keep data systems active and connected. At the same time, we recognize the current and potential impacts of climate change,” said Rob Johnson, CEO of Vertiv. “We seek to meet the growing demand for critical digital infrastructure while mitigating the environmental impacts of our operations and products. As a result, we are innovating to find more efficient and effective ways to support critical digital infrastructure.”
Vertiv's ESG Executive Steering Committee, made up of senior leaders from across the organization, is driving a company-wide ESG performance review. Some of the activities and results highlighted in the report include:The introduction of new and improved products with highly energy and water efficient attributes, with others planned for launch in the coming months and years. Participation in several industry associations aimed at addressing data center efficiency and emissions, including the EcoEdge PrimePower Project (E2P2) (https://E2P2.eu), the Sustainable Digital Infrastructure Alliance (SDIA) (https: //SDIAlliance.org/), the European Data Center Association (EUDCA) (https://EUDCA.org/), and the RISE Partnership Program (https://www.RI.SE/). An internal review of Vertiv's scope 1 and 2 greenhouse gas emissions. Development of performance and improvement benchmarks to help the organization reduce operational greenhouse gas emissions. A 12% year-over-year reduction in recordable injuries according to the U.S. Occupational Safety and Health Administration Total Reportable Injury Rate (TRIR) The introduction of training opportunities to support the organization's global focus on diversity, equity and inclusion. The appointment of several women to executive positions within the company in the last two years, including Sheryl Haislet, Chief Information Officer, and Stephanie Gill, Chief Legal Counsel.
“As the EU is a world leader in sustainability targets and regulation, this report is especially relevant for Vertiv in EMEA, where it will amplify regional momentum and enhance our sustainable growth targets in MEA,” said Karsten Winther, President of EMEA for Vertiv. “We must follow a two-pronged approach, to align with growing industry demand while ensuring our strategy promotes responsible practice.”
For more information or to download the full report, visit Vertiv.com.
The Fiscal Responsibility Commission, FRC, said it notified 14 banks and financial institutions that allegedly granted loans without due process to state governments.
FRC Executive Chairman Victor Muruako made the disclosure during a transparency and accountability awareness workshop for the South West in Lagos on Monday.
The two-day awareness-raising workshop on Tax Transparency, Accountability and Prudence at Subnational Levels is themed: “Tax Transparency and Sustainable Development at Subnational Levels”.
The event was organized by the FRC as part of a series of zonal awareness campaigns on Transparency, Accountability and Prudence (TAP) in Public Financial Management.
In his welcome speech, Muruako said the commission was already engaging with credit institutions and those found to be guilty would be punished.
Although he declined to name the banks and institutions involved, the FRC boss said the commission was still engaging them on the matter.
According to him, there are conditions that must be met by states before they can grant them loans.
“Banks and other financial institutions that voluntarily engage in tax negligence by granting loans to certain subnational governments without due regard will be penalized.
The issues of lending, borrowing and indebtedness are on the exclusive list of the 1999 Constitution of the Federal Republic of Nigeria (as amended).
“Section 45 (2) of Part X of the 2007 Fiscal Responsibility Act specifies the conditions for borrowing by“ any government of the Federation or its agencies and companies.
“Lending by banks and financial institutions in violation of this part is illegal,” he said.
He said subnational governments should not make loans their first and last consideration in closing income gaps, but should consider ways to harvest their dormant potentials for Internally Generated Income (IGR).
“In accordance with the above, the committee hereby advises failed banks and other financial institutions that the window for the use of moral persuasion is closing.
“In the future, we intend to invoke the provisions of the law against this expressly defined wrongful act, wherever it occurs.
“When the 2007 Fiscal Responsibility Act (FRA) seems insufficient to oblige, we will aggressively invoke our collaborations with sister agencies such as the ICPC and EFCC. "
He pointed out that even “bailout loans” granted by the federal government to states had a condition that recipient states would have to commit to a fiscal sustainability plan (FSP) consisting of 22 actions grouped under five goals.
“The objectives are to improve accountability and transparency, increase public revenue, rationalize public spending, improve public finance management and sustainable debt management. "
Also speaking, Mr. Abdulrasheed Bawa, chairman of the Economic and Financial Crimes Commission (EFCC), said states should domesticate the tax liability law.
Bawa, who was represented by EFCC Deputy Area Commander, Lagos State, Emeka Okonjo, said states must take accountability and transparency seriously.
In his submission, Mr. Toyin Raheem, President of the Coalition Against Corruption and Bad Governance (CACOBAG), deplored the inability of some declared to domesticate the FRA.
Raheem, who spoke on behalf of civil society groups, said concern for corruption remains a duty for all Nigerians.
“To build a stronger Nigeria, we must all be involved in governance issues and demand an explanation from our leaders about the funds and how they are spent. "
NAN reports that the workshop also has representatives from the finance ministries in the southwest and representatives from the House of Assemblies appropriation committees in the southwest.
By Femi Ogunshola
The Minister of Finance, Mrs Zainab Ahmed, has appeared before the House of Representatives Committee on Finance to give an overview of 2021 fiscal outcome.
She also gave an update on the 2021 budget implementation.
The minister gave the update during the 2022 the 2024 Medium-Term Expenditure Framework/Fiscal Strategy Paper(MTEF/FSP) Committee interactive session on Monday in Abuja.
She noted that as of June the Federal Government retained revenue was N2.23 trillion, which amounted to 67.3 per cent target, adding that the Federal Government shared of oil revenue was N492.44 billion.
Ahmed said this represented 49 per cent performance, while the non-oil revenue totalled N778.18 trillion at 104.5 per cent.
According to her, Companies Income Tax(CIT) and Value Added Tax (VAT) collections are ahead of the budget targets with N397.02 billion and N129 billion.
This represented 116.5 per cent and 108.2 per cent target for the period.
She stated that Customs collection was N234.02 billion at 92.1 per cent of target, stressing that other revenues amounted to N922.09 billion of which independent revenue was N558.13 billion.
On the expenditure performance, Ahmed said N5.81 trillion, representing 92.4 per cent of the budget had been spent, adding that this excludes GOEs and project-tied debt expenditure.
“Of the expenditure, N2.02 trillion was for debt servicing, which is 35 per cent of the Federal Government expenditures and N1.795 trillion for personnel cost.
“This is including pension at 30.9 per cent of Federal Government revenue,” she said.
She noted that as of June, N1.3 trillion, which represented 84.7 per cent, had been released for capital expenditure.
The minister said that the country’s economy faced serious challenges in 2020 with the microeconomic environment significantly disrupted by the COVID-19 pandemic.
She said that the economy sustained a tepid recovery in the first quarters of 2021.
The Speaker of the House of Representatives, Mr Femi Gbajabiamila, while speaking said that the National Assembly would begin consideration of the 2022 Appropriations Bill once it received it.
“The MTEF/FSP will have a direct impact on the content of that Appropriations Bill, as well as on our ability to deliver on the promises of governance and development that we have made to the Nigerian people,” he said.
On his part, the Chairman of the Committee, Rep Abiodun Faleke, said that the 2022 budget estimates would be derived from the MTEF/FSP.
According to him, this comprises of the government plan to accelerate the economic recovery process, promote social inclusion and strengthen the resilience of the economy.
” This has become necessary in the face of supply chain disruptions and heightened uncertainties occasioned by the COVID-19 pandemic.
“Especially with the renewed wave of the prevalent Delta variant not only in our country but across the world,” he added (NAN)
Online investing platform Wealth Migrate SA (Pty) Ltd has been approved as a Category I Financial Services Provider - FSP 47394, which allows it to provide its crowdfunding offering (when a group of people club together to fund a project or venture) on an intermediary services basis using shares as a financial product category.This marks the completion of a long journey that Wealth Migrate began about a decade ago. CEO Scott Picken said: “To put this into perspective, we worked with the Financial Sector Conduct Authority or FSCA (formerly known as Financial Services Board) for 10 years to allow this to happen.CEO Scott Picken said: “Wealth Migrate always had the objective to offer our crowdfunding offering to investors within a regulated environment. Obtaining our Category I licensing approval signifies the achievement of this objective.“With the approval of Wealth Migrate SA’s Category I license by the FSCA, Wealth Migrate is one of the leaders in obtaining the relevant financial product category approval from the South African financial services industry regulator. We now have the required approval and licensing from the FSCA that allows us to offer our crowdfunding business model to investors,” Picken added.He said that the Category I license approval for Wealth migrate represents an important achievement for the Fintech sector, SA, and the whole continent, and comes at a time when the Covid-19 pandemic has ushered in increased adoption of online and digital platforms,” Picken added.Our Category I license approval also provides investors, who are used to dealing with regulated companies and financial services providers, with a greater sense of security and peace of mind, Picken said.After a crowdfunding event it arranged in October 2015, the first of its kind in SA, Picken had said the company would love to be regulated, but at the time there was no regulation. We are excited this has no this has now happened.For Picken, obtaining the Category I license approval allows Wealth Migrate SA to maintain its commitment to using technology to remove the middleman, cut costs and increase trust and transparency. “This allows us to pursue our purpose, which is to close the wealth gap,” he said.
The documents were submitted by President Muhammadu Buhari to the Senate for consideration on July 21.
Chairman of the joint Committee, Sen. Solomon Adeola (APC-Lagos), while presenting its recommendations said there was need for the National Assembly to ensure effective collaboration with the executive to ensure effective implementation of the MTEF and FSP.
Following the presentations and contributions by some senators on need to cut cost of governance, reduce borrowing, reduce waste and shore up government revenue, Senate approved the 20-point recommendations of the committee.
One of the recommendations was that the Federal Government retained revenue of N7.89 trillion of the total proposed expenditure of N13.08 trillion in the 2021-2023 .
The Senate also approved the fiscal deficit of N5.19 trillion and borrowings of N4.28 trillion, including foreign and domestic borrowings.
Others are statutory transfers, totalling, N484.4 billion, debt service estimate of N3.12 trillion, while sinking fund to the tune of N220 billion was also approved.
It also approved pension, gratuities and retirees benefits of N520.6 billion and Federal Government aggregate expenditure of N13.08 trillion.
The expenditure is made up of total recurrent (Non-debt) of N5.66 trillion; Personnel Costs of Ministries Departments and Agencies (MDAs) of N3.05 trillion.
It includes capital expenditure (exclusive of Transfers) of N3.58 trillion, Special Intervention (recurrent) amounting to N350 billion and special intervention (capital) of N20billion.
The Senate also approved daily crude oil production of 1.86mbpd for 2021; 2.09mbpd for 2022; and 2.38mbpd for 2023.
This it said was to ensure greater budget realism and disruptions due to attacks, sabotage in the Niger-Delta which had substantially abated for a while.
The Senate also approved that the benchmark oil price of 40 dollars per barrel should remain because of the clear evidence of wide consultations with key stakeholders.
It also approved the exchange rate of N379 dollars proposed by the executive for the 2021-2023.
This it said was based on the determination of the Central Bank of Nigeria (CBN) to pursue unification around its rate over the medium term, where investors and exporters transact dollars at market determined prices.
It also approved the projected Gross Domestic Product (GDP) growth rate of 3.00 per cent, given the Federal Government’s response via fiscal policies adapted to contain the damage of COVID-19, including the N500 billion stimulus fund.
It also approved the projected Inflation rate of 11.95 per cent among other recommendations.
President of the Senate Ahmad Lawan, in his remarks, said that the Senate Committees via its oversight must ensure that revenue generating agencies meet their targets of revenue to the federation account.
“When it comes to revenue generation and remittances, we need to work so hard to meet our expectations especially for funding of development projects in the budget.
“Now that so many more agencies of government have been added, there is need for our committee on finance to closely monitor the revenue meeting of targets for these agencies.
“We should explore other options of funding the budget and minimise borrowing but we cannot eliminate borrowing totally.”
Edited By: Abiemwense Moru/Donald Ugwu