Features
2016 Budget: Need For Thorough Scrutiny
One feature of a corporate
plan is a series of budgets that translate country, state, local government or company intentions into a series of assignment and provide the money to carry them out. The Oxford Advanced Lerner’s Dictionary defines budget as the money that is available to a person or an organization and plan of how it will be spent over a period of time. Since a budget extends over a period of time, it represents a flow of assignments rather than a stationary approach, and changes can be made rather quickly, especially if the budgets are reviewed monthly or quarterly.
There are two main types of budgets which include capital and expense. Capital spending is investment, merely a change in the form in which assets are held. The money a government or company spends to carry on its day-to-day activities or business, on the other hand, represents the actual out-of-pocket costs that must be recovered through internally generated revenue or sales during the budget year.
In the government circle, budgets are targeted to capture all the projects and activities proposed for the year, hence we have the capital expenditure, recurrent expenditure and the targeted revenue. In every budget, some scheme of priorities for projects must be adopted and there are some projects that simply have to be undertaken regardless of the economic calculations, since they must be budgeted for if the country should live up to its responsibilities or expectations.
There are projects required to meet the provisions of the law and there are numerous regulations by local, state and federal governments relating to security, defence, employment and employees’ welfare, among others that may necessitate new investment or expenditure. If there is pressure on government to tackle a problem that affects generality of the citizenry, it may have to spend a great deal of money for solution even though the project brings in no return in the conventional sense. Generally, when a government is compelled to restrategise, it has to incorporate improvements.
The controversy that trailed the 2016 Budget would have been avoided if those who prepared it for the President before presentation to the National Assembly were careful and displayed professionalism in that craft. When President Muhammadu Buhari assumed office, on being sworn-in, he told Nigerians that a team of technocrats had been assembled to affect the change philosophy of the ruling All Progressives Congress (APC).
In fact, the circumstances that surrounded the 2016 Budget that was presented to the Senate on Tuesday, December 23, 2015 is a clear indication and manifestation of incompetency from the Presidency to the Senate. At no time in the history of Nigeria that a documented budget proposal was pronounced missing or withdrawn from the Senate after presentation. A lot of Nigerians were disgusted and disappointed with the intricacies that contrived the budget.
From a 2-week recess, the Senate resumed plenary without the 2016 Budget on the order paper for debate amid heightened curiosity, as to what might have gone wrong. Some senators allged that the budget was nowhere to be found at the National Assembly with other fillers that the budget documents that were laid before the Senate by President Buhari early December 2015 had not been duplicated for distribution to Senators and members of the House of Representatives due to paucity of funds. There was also a wide speculation in some quarters that the documents had been withdrawn or got missing from the Senate. Some lawmakers said they were suspicious that the Presidency might have colluded with the management of NASS to quietly withdraw the documents after detecting some discrepancies in them.
One of them likened it to a kind of national embarrassment. His words, “can you imagine this kind of national embarrassment? Documents that were presented to us with fanfare have been stolen. This is unbelievable as it has not happened since history of Nigeria”. Senators of the PDP accused the Presidency of being behind the theft of the documents, an accusation rejected by APC, who said it was too early to speculate.
On his part, Senate President Abubakar Bukola Saraki later denied disappearance of the budget but disclosed that copies of a version different from the 2016 Appropriation Bill as originally laid by Buhari had been served to senators by the Special Adviser to President Buhari on NASS Matters, Senator Eta Enang. According to him, it was alteration of the doctoring of the original documents, pointing out that the finding of the Committee on Ethics, Privileges and Public Petitions on investigations surrounding the 2016 Appropriation Bill was that Senator Eta Enang printed copies on the Bill and brought to the Senate was different from the version presented by Mr. President.
A former National Chairman of the APC, and one-time governor of Osun State, Bisi Akande while commenting on the 2016 budget controversy in an interview, lampooned the Senate leadership for what he described as an act of indiscipline. He said that his party was mindful of the consequences of allowing wrong people to be at the helm of affairs which was the reason the party wanted disciplined individuals to lead the Senate.
“Nigeria’s budget is huge document and wonders how such a document could be missing in the Senate”, Akande said, adding “the development is a fallout of indiscipline that brought the current leadership of the Senate into the position and as you know, that was not the choice of our party”.
The Presidency had after presenting the budget discovered that some of the figures proposed were increasingly high through a letter addressed to Bukola Saraki and Dogara of the NASS and House of Representatives respectively. The report revealed that the old budget contained major omissions like absence of allocation for the second Niger Bridge while a large sum was allocated for line items which had now been reviewed.
Following the purported missing of the documents, the Senate President Saraki met with President Buhari at the Presidential Villa.
It is traditional that once the budget is laid, it would be referred to the joint Committee on Finance and Appropriations for section by section analysis. That the differences spotted by the Senate “do not really affect the substance of the budget to the extent that there is serious breach” is not enough to believe that all is well with the budget, even though the Senate went ahead to deliberate on it.
The preparation of the 2016 Appropriation Bill was a litmus test of the Presidency’s efficiency, but the controversy that trailed it on presentation to the Senate shows that no thorough work was done. The criticisms and revelations that followed or emerged in the process and the carelessness of the NASS management in securing the original copy laid before the Senators by President Buhari amply signify that the budget is not perfect. Before the controversies that beclouded the budget, there had been some hard knocks on it in some quarters.
One of such criticisms came from a renowned Nigerian Economist, Professor Pat Utomi, who described the 2016 national budget as ‘a joke’. President Buhari had presented a budget estimate of N6.08 trillion before a joint session of the National Assembly on Tuesday, December 22, 2015. Speaking on Channels Television’s Sunrise Daily, Professor Utomi said, “Putting it in a very awkward position, I consider the budget process a joke”. He said the issue was not about making luxurious budget but argued that the major deterrent was always implementation”.
Utomi emphasized, “we somehow do not have the discipline of the budget process, we go through budget as public relations exercises because they are supposed to be done and decision makers go ahead to do whatever they want to do” . Proffering solutions to the problem of budget implementation in the country, he said “the goal is to achieve an execution premium, but if those who are responsible for the budget really had no plan whatsoever to follow it, then, you are wasting your time”. “I think what has happened to us is that we got to a point of disconnect between the leadership elite, the political class, the bureaucratic elite and development aspirants of the Nigerian people. The major reason the budget is not working in Nigeria is leadership”, Utomi said.
Indeed, there is low energy in the leadership of this country as they are not leading in the right direction. The country is dealing with a huge financing gap, no doubt, and we cannot pretend that all is well, but if we do, then, “we will run into an economic spiral”.
Also bemoaning the 2016 budget, the PDP said, “By all standards, the budget, the first major economic policy outing of this present government, is completely unrealistic and duplicitously embellished with impractical predictions, a development that confirms fears by economy watchers and investors that this administration is obviously ill-equipped for governance”. The PDP, therefore, advised President Buhari to once again involve experienced and well-tested hands in the management of the economy, and budgeting processes.
A very important type of budget to which countries across the globe are giving increased attention these days is the cash flow budget. A country may estimate a certain amount over the period of a year and find itself in difficulty, even if the estimate is accurate. Money seldom flows in evenly. In the meantime, Nigeria needs money to finance projects and provide the welfare needs of the people and not a bogus budget that is not realizable and implementable. Comparison of performance against budget is one of the best methods of determining whether or not the country is spending more or less than it had planned to, and tracing the reasons for overages and underages or deficit and making any necessary corrections.
Budgets are an excellent tool for both planning and control, although they have their shortcomings. Thus, the budget is usually based on historical trends which may not continue as it may be influenced by what the leadership of the country or state would like to happen or do. Naturally, the leaders are interested in larger money and hopefully budget on the basis that this will materialize, even though the chances of their doing so are not very great. So, the 2016 budget in its final form must be carefully scrutinized and watched to achieve the best result and proper implementation.
President Muhammadu Buhari
Shedie Okpara
From the fore going, the fight against drug trafficking should be treated as an international challenge with open collaboration, if the world leadership must win the fight!.
The circumstances or should I say the improvement on drug related activities are modifying and updating on daily basis. A close friend of mine in the United States of America who recently visited Jamaica, came with a lot of complicated information about drug trafficking and transaction. Being a qualified Nurse in US and on a visit to the Reggae Country (Jamaica), she said she was put aback when a man approached her and introduced himself as a Pharmacist. According to her, she immediately picked interest due to her professional background. To her, a business partner is birthed. But she was shocked to the narrows on learning that drug dealers or traffickers and subriquited Pharmacist in that Country. From her account, they ( The Jamaican Pharmacists), are the first set to people to meet and greet you at the Airport. No government or authority challenges them in the open due to the sophisticated nature of their transportation
Come to think of it, who would want to attack a Pharmacist on duty? Nigerians are not left out in the improvement on drug deal. A chat with a confident in the National Drug Law Enforcement Agency ( NDLEA) Rivers State Command, so revealed. The Officer draw my attention to the movement of Dispatch Riders. He said part of the reasons they ride with almost speed equivalent of the thunder lightning, is to meet up with the appointment of delivering hard drug consignment to a client of theirs. According to him, those guys popularly referred to as Yahoo Boys are the ones who now payroll dispatch riders so that they can deliver their consignment ( hard drugs) on schedule no matter the sort of traffic or weather condition. The fear of loosing rich clients and that of the unknown treatment that may come of the Boys, as the officer puts it, drives the Riders crazy thus the reason to speed even at the expense of their lives.
The account of a prominent Party Promoter, Wayne Anthony, as obtained online recently, also pointed out that ‘No Legislation Will Stop Clubbers From Doing Drugs’ Party promoter, Wayne Anthony, arrived in Ibiza, a Spanish Island in 1988, at the same time as dance music and the party drug ecstasy. Despite hallucinating badly enough to make him give up the lifestyle forever, he says laws will never stop clubbers taking drugs. “I don’t think you can control these things,” said former party promoter Wayne Anthony. He arrived in Ibiza in 1988 and began setting up club nights and raves in some of the island’s most iconic venues. In the years that followed, the sleepy Spanish island turned into a raver’s haven of clubbing and hedonism, with party drugs like ecstasy commonly found. “What Ibiza represented was this beautiful, hot island which was visually stunning and we knew you could party there quite legally,” said Wayne. “You didn’t have to look over your shoulder. You could just be as free as you possibly could be.”
That freedom came with a price. Along with the lavish clubs, all-day-benders and hot Spanish sun came drug cartels and crime. The city transformed into one the world’s most vibrant party capitals, “fuelled by a dangerous and lucrative drugs trade which drew as many criminals to its shores as it did party animals”. Wayne, one of the contributors to the documentary, spoke to Sky News ahead of its release.”I’m not going to sit here and say the cartels aren’t there. They are all there and they’ve been there from the ’90s,” said Wayne. But he said most people tried to ignore the organised crime going on around them. According to Wayne, clubbers usually took the approach of: “‘Give me 10 E’s . Behind the scenes of the filming of Ibiza Narcos with Wayne Anthony. Behind the scenes of the filming of Ibiza Narcos with Wayne Anthony. Hallucinating giant spiders Although he described the Balearic island as the “motherland”, it was eventually a bad experience with drugs that convinced Wayne it was time to leave Ibiza.
He’d been partying for days when he realised he’d taken too many drugs. A friend told him to drink cough medicine, dangerous advice that he now says could have killed him. “I saw the worst hallucination I’ve ever seen in all of my life. I ended up locking myself in the villa with all the shutters down. When he sobered up, he realised he had “come to the end” of his party life on the island. “I never looked back. I never took another drug. I got away from the club world.” ‘I don’t think you’re going to be able to stop it’ Despite his life-changing experience, he doesn’t think criminalising drugs is a good idea – or particularly effective. “If you’re old enough to vote for who’s going to be a world leader, if you’re old enough to put your name down on debt for 25 years, I feel like you should be old enough to govern what you put inside your own body, you know?” said Wayne.
Back to Nigeria, some illicit drugs worth over N30billion seized at Onne Port in Rivers State.
This blood chilling development forced the Federal Government to declare a state of emergency at the Onne Port, following what authorities described as repeated incidents of importation of dangerous cargo, including arms and ammunition through the said port. To this effect, the government said it was immediately implementing emergency protocols at Onne Port for the next three months by conducting thorough examinations of all suspected containers in the premises.
The Comptroller-General of Customs, Bashir Adeniyi, in charge of the port via a press conference, said it henceforth, unveiled the seizures of illicit goods by the Nigeria Customs Service, Area 2 Command, Onne in Eleme Local Government Area of Rivers State. In defence for his action, Adeniyi said the recurring incidents posed a threat to national security, adding that the health of citizens at the Onne Port is increasingly being used as a destination for dangerous and illicit cargo, describing it as a disturbing trend.
The customs boss stated, “Earlier today, I joined numerous stakeholders to take a significant step towards the cause of trade facilitation through the inauguration of upgraded facilities provided by the West Africa Container Terminal, Onne. “As I express delight that trade facilitation is getting traction in Onne Port, I cannot help but call your attention to a grave concern. This has to do with the repeated incidents of national security breaches unfolding in Onne Port. I appreciate your presence, as we all have a shared responsibility in safeguarding our national security. As we are all aware, the policy thrust of Mr President supports the re-energising of our business environment to drive faster import clearance and grow our capacity for exports, Our emphasis has been to promote initiatives that speak to Trade facilitation and economic development. “It is a matter of regret that criminal elements in the international supply chain are exploiting our pro-trade stance to commit atrocities bordering on national security breaches”.
“The attempts to test our will through the importation of dangerous cargo through this port has necessitated the declaration of a state of emergency in Onne Port, coming on the heels of a seizure of a huge cache of arms a couple of months ago. It is disheartening that perpetrators have not backed down on their illegal acts. Recent intelligence and seizures have revealed a disturbing trend; Onne Port is increasingly being used as a destination for dangerous and illicit cargo. The scale and nature of these illegal importations pose a significant threat to our national security and the health of our citizens. Today, we are here to showcase yet another series of significant seizures made by the diligent officers of the Area 2 Command. On display are twelve containers of illicit goods intercepted through a combination of intelligence gathering, inter-agency collaboration, and meticulous physical examination. Seizures on Display include: Three (3) x 40-feet containers: Containing 562,600 bottles of 100ml cough syrup with codeine and 3,150 pieces of chilly cutters, with a Paid Duty Value (DPV) of N4,716,573,846.
“Others are, three x 40-feet containers containing 380,000 bottles of 100ml cough syrup with codeine, 24,480,000 tablets of Royal Tramadol Hydrochloride, 5,350,000 tablets of Tapentadol and Carisoprodol, and other items, with a DPV of N17,432,506,000 were seized”.
According to the report, more seized items were, “Five (5) x 40-feet containers; Containing 892,400 bottles of 100ml cough syrup with codeine, 1,300,000 tablets of 50mg Really Extra Diclofenac, 7,250,000 tablets of 5mg Trodol Benzhexol, and other items, with a DPV of N8, 128,568,295,90. This very action of the Nigeria Customs Service, further complicated the hope of how soon the fight against drug trafficking could be brought to a halt owing to its high profile nature.
Another hair-raising report of the illicit drug deal has it that when NDLEA bursted a Snake-Guarded Shrine Used For Storing Illicit Drugs sometime ago in Edo State. This very news report was published in The Tide Newspaper on June 24, 2024. According to the report, NDLEA said its operatives uncovered a shrine, guarded by a snake, being used for storing illicit drugs, during an operation in Edo State. The Agency in a statement by its spokesperson, Femi Babafemi, added that its operatives discovered a specially constructed large hole in a wall, hidden behind wallpapers and fetish objects used for drug storage. It further noted that methamphetamine, Loud, Colorado and Arizona, all strong strains of cannabis with a total weight of 8.743kg among others, were recovered from the shrine.
To be cont’d
King Onunwor
The persistent clash between farmers and herders in Nigeria has been a longstanding issue. These conflicts, often, over resources like land and water, have led to loss of lives, destruction of property, displacement of large numbers of people, deep-seated mistrust between communities and insecurity. Herders, traditionally nomadic, move their livestock in search of grazing land and water. Farmers, on the other hand, require the same resources for their crops. This competition often leads to clashes, especially in areas where land is becoming increasingly scarce due to population growth, climate change, and environmental degradation. As these clashes intensify, there has been a growing call for sustainable solutions. Two weeks ago, President Bola Tinubu took a bold step towards tackling the issue by inaugurating the Presidential Committee on Implementation of Livestock Reforms and creating the Ministry of Livestock Development.
The committee which has the president as the chairman and the former Chairman of the Independent National Electoral Commission (INEC), Professor Attahiru Jega as the deputy chairman has the mandate to address obstacles to agricultural productivity and open up new opportunities which benefit farmers, herders, processors, and distributors in the livestock-farming value chain as well as propose recommendations aimed at fostering a peaceful co-existence between herders and farmers, ensuring the security and economic well-being of Nigerians.The establishment of the Ministry of Livestock Development was part of the recommendations of the National Livestock Reforms Committee. Part of the 21 recommendations submitted to the president include: “This agenda should include the establishment and resuscitation of grazing reserves as suggested by many experts and well-meaning Nigerians and other methods of land utilisation.
“Create the Ministry of Livestock Resources in line with practice in many other West African countries. In the alternative, Federal and State Governments should expand the scope of existing Departments of Livestock Production to address the broader needs of the industry,” among others. Experts in the agricultural sector have posited that the livestock industry can create millions of jobs directly in farming, processing, and distribution, and indirectly in related sectors like feed production, veterinary services, and marketing. It provides livelihoods for rural populations, helping to reduce poverty and improve the quality of life in rural areas. It also increases the Gross Domestic Product (GDP) and foreign exchange earnings through the exports of livestock and livestock products such as meat, dairy, wool and leather.
According to them, a well-funded livestock industry supports the growth of agro-processing sectors, such as meat packing, dairy processing, and leather manufacturing, adds value to raw products and creates additional economic activity as well as stimulates the development of supply chains, including logistics, packaging, and retail, contributing to broader economic growth. It enhances economic resilience by diversifying the agricultural sector and providing a buffer against crop failures or other agricultural shocks and many more. Some other agriculturists have also opined that the livestock industry in Nigeria is currently underdeveloped and that by the creation of the ministry of livestock development will open up the industry which will be a huge money spinner for Nigeria.
Reports have shown that a Livestock Ministry can play a pivotal role in mitigating conflicts between farmers and herders by implementing policies and programmes aimed at fostering coexistence and sustainable resource management. The Ministry can work towards clearly demarcating grazing routes and farming areas. This would reduce instances of trespassing and accidental crop destruction, a common flashpoint for conflict. While introducing rotational grazing systems can ensure that land is used sustainably, preventing overgrazing and land degradation, establishing water points and boreholes specifically for livestock can reduce competition for water resources. Similarly, promoting the development of pasturelands through reseeding and controlled burns can improve grazing conditions.
According to a veterinary doctor, Dr Andrew Obadiah, by providing training for herders on sustainable livestock practices and for farmers on conflict resolution, both parties can understand the importance of coexistence. He said that extension services of the ministry can offer advice on improving livestock health and productivity, reducing the need for large herds and extensive grazing. “Setting up local committees involving both farmers and herders to mediate disputes can provide a platform for dialogue and peaceful resolution. Encouraging community-based conflict early warning systems can help prevent clashes before they escalate”, he emphasised.For Mrs. Stella Ugwu, a farmer, having a ministry dedicated to the development of the livestock industry can help in diversifying income sources for both farmers and herders and in turn reduce dependence on land.
”For instance, promoting agro-pastoralism can provide farmers with livestock and herders with agricultural produce”, she explained, adding that providing incentives for adopting sustainable practices, such as subsidies for fodder production or crop insurance, can ease economic pressures. Ugwu was however of the opinion that the creation of a new ministry to handle livestock affairs was uncalled for, since the job can effectively be done by the Technical and Service Department of the Federal Ministry of Agriculture and food security and its equivalent on the states level.In some countries, the establishment of a Livestock Ministry or similar bodies has shown promising results. For example, Ethiopia’s Ministry of Agriculture includes a dedicated department for livestock which has successfully implemented programmes to improve pastoral livelihoods and reduce conflicts.
In Kenya, the establishment of the National Drought Management Authority has helped manage resources better, thus reducing clashes between herders and farmers during dry seasons.The president of Miyetti Allah Cattle Breeders Association of Nigeria (MACBAN), Othman Ngelzarma, sees the Ministry of Livestock Development achieving the same feat for Nigeria in the near future. He told newsmen that, “MACBAN expresses its deepest appreciation to the Federal Government for creating a ministry of livestock to unlock the trillion-naira livestock economy and create qualitative and productive jobs across the value chain to improve the Nigerian economy. With this development, MACBAN believes the hope of the Nigerian pastoralists is now achieved under the Renewed Hope Agenda.
However, the Middle Belt Forum took a different view of the proposed Ministry of Livestock Development, saying it was not enough to sustainably resolve the decades-long farmers-herders crisis in the country. According to the National President of the association, Mr. Bitrus Pogu, what is needed to end the perennial farmers/herders clashes is a deliberate action by regulatory bodies and the government to stop criminal elements from carrying out deadly attacks on innocent Nigerians, mainly farmers. Hear him: “If the reason for creating the Ministry is to stop clashes, I think it is wrong because all of these attacks and killings that are happening have nothing to do with conflicts between farmers and herders. “Farmers have never connived at any given time to go and attack herders, but rather, criminals who happen to be Fulani gang up and attack farmers, kill, maim and chase them out of their ancestral homes.
“Then, the Fulani will come and occupy them. So, it is more about invasion, criminality, and terrorism. And the majority of those they hire to do these evils are not even those who have cattle. So, a deliberate action has to be taken by the government against the perpetrators, which will address the criminality.” Mr. Pogu suggested that the government should adopt ranching for productivity and enduring peace between the pastoralists and farmers in particular and the entire country in general.While the establishment of a Livestock Ministry presents a viable solution, it is not without challenges. Funding constraints, bureaucratic inefficiencies, and corruption can hamper its effectiveness. Additionally, deeply ingrained cultural practices and mistrust between farmers and herders can be difficult to overcome.
Critics argue that without a holistic approach that includes land reform, climate change adaptation, and broader economic development, a Livestock Ministry alone may not be sufficient. Therefore, it must work in tandem with other governmental and non-governmental bodies to ensure comprehensive solutions. “A dedicated Livestock Ministry, with its focus on sustainable resource management, conflict resolution, and economic incentives, offers a promising avenue to address the root causes of these clashes. However, its success depends on effective implementation, adequate funding, and the cooperation of all stakeholders involved. With the right strategies and commitment, devoid of any political or selfish interest, it can play a crucial role in fostering peace and prosperity in affected regions”, they advised.
Calista Ezeaku