- Senate Passes revised MTEF FSP
President Muhammadu Buhari has asked the leadership of the National Assembly for permission to present the budget estimate for next year on Thursday.
In a communication read by the President of the Senate, Ahmad Lawan at the plenary on Wednesday, the president requested the leadership of the National Assembly to grant him the slot of 12 hours on Thursday, 7th October to formally present the 2022 appropriation bill to the joint session of the National Assembly.
Meanwhile, the Senate has passed a revised Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) for the 2022 fiscal policy sent this week by the president to the lawmakers.
President Muhammadu Buhari on Tuesday sent a revised Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) to the National Assembly, seeking an increase in the proposed budget estimate for 2022.
The President in the revised MTEF is seeking the approval of the parliament to raise the 2022 budget proposal by N2.47 trillion to N16.45 trillion against the previous figure of N13.98 trillion.
In the MTEF FSP approved by the two chambers of the national assembly, the president had proposed N13.98 trillion for the fiscal 2022.
In the letter which convey the new proposal to the Senate and read by the deputy senate president, Ovie Omo-Agege at plenary, President Buhari said that the adjustments were important to reflect “the new fiscal terms in the Petroleum Industry Act (PIA).”
“The PIA establishes a progressive fiscal framework aimed at encouraging investment in the Nigerian petroleum industry,” the president said.
After working on Buhari’s request, the senate committee on finance pegged the federal government’s total expenditure at N16.39 trillion, reducing what the president sent by N60 billion.
While Buhari had pegged the fiscal deficit at N692.0 billion, the senate put it at N635.4 billion.
The senate fixed the retained revenue of the federal government at N10.3 trillion, but the president sent the sum of N10.13 trillion for approval.
The upper legislative chamber retained the provisions of N100 billion to the Independent National Electoral Commission (INEC) for the 2023 polls and N54 billion for the National Agency for Science and Engineering Infrastructure (NASENI).
“The budget office of the federation leveraged the senate and house committees on finance recommendation that all revenue generating agencies must remit their revenue to the consolidated revenue fund (CRF) or they will not be captured in the 2022 budget proposal,” Solomon Adeola, chairman of the finance committee, said.
The budget size was reduced after recommendations in a report presented by Adeola were passed.