Why 2017 Budget Is Not Ready – Presidency

 The 2017 Budget will only be ready when the National Assembly has passed the 2017 – 2019 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) submitted to it by President Muhammadu Buhari. Leadership reports.

This was disclosed by the Senior Special Assistant to the President on National Assembly Matters (Senate), Senator Ita Enang, when he interacted with journalists at the National Assembly complex in Abuja yesterday.

  President Buhari had in a letter dated Friday, September 30, 2016, submitted the fiscal documents, which are requisites for the preparation of the annual budget, to both chambers of the National Assembly.

According to the details of the 2017 – 2019 MTEF and FSP, out of the N6.866 trillion proposed for the 2017 Budget, the government projects N1.765 trillion for capital expenditure while N2.563 trillion is for recurrent (non-debt expenditure) and N1.639 trillion for debt service.

The documents also indicated that the federal government has projected budget benchmark price of $42.5 per barrel and oil production volume of 2,200,000 per day, and an exchange rate of N290 to $1.

It is pertinent to note that the Fiscal Responsibility Act (FRA), 2007 makes statutory provisions requiring the Federal Government to prepare the MTEF and FSP – a three-year planning tool that defines government’s economic, social and development objectives and priorities, and also details the strategies to achieving them.

“The 2017 budget will be laid as soon as the parameters for the budget, as contained in the Medium Term Expenditure Framework and Fiscal Strategy Paper presented before the Senate and the House of Representatives are passed, harmonised and transmitted to Mr. President, which will form the basis for the budget.

“This depends on when we receive it but I want to assure you that nobody is waiting exclusively till the other person does his job. The Executive is doing its job and almost everything is ready, and the ministers are consulting with the ministries, departments and agencies,” Enang said.

Meanwhile, the Senate, which according to the Media Office of the Senate President, earlier scheduled the debate on MTEF and FSP for last Tuesday, failed to commence the discussion on the documents even as it refused to explain the reason behind its action.