The Senate on Tuesday approved the sum of N213billion to be vired from the N500billion earmarked for Special intervention programmes in the budget as against N180.8billion requested for by the President.
The virement request was made to the National Assembly last month by President Muhammadu Buhari to smoothen the implementation of the 2016 budget,
President Buhari had in his request, explained that his request for virment arose due to the shortfalls in provisions for personnel costs; inadequate provision for some items like the amnesty programme; continuing requirements to sustain the war against insurgency; and depreciation of the Naira.
He had initially requested for total sum of N14.208 billion as capital component of the virement and N166.630billion as recurrent component of the virement.
But the Senate in its approval of the proposal based on report submitted by its committee on Appropriation, approved N39.208billion for capital component of the virement and N169.613billion for recurrent component of the virement aside extra N5billion approved for sustainable development goals in the Ministry of Housing based on special request during consideration of the entire proposal, totalling N213.8billion.
Breakdown of the expenditure items of the virement as submitted by the Appropriation Committee Chairman, Senator Danjuma Goje (APC Gombe Central), are service wide vote: Public Service Wage Adjustment (PSWA) N71.8billion, service wide vote Contigency N1.2billion, Service wide vote: Margin for increase in cost N2billion and service wide vote: Amnesty programme N35billion.
Others are, service wide vote: Internal operations of the Armed Forces N5.2billion, service wide vote: Operation Lafiya Dole N13.933billion, NYSC N19.792billion, Ministry of Foreign Affairs (Foreign Missions) N16.349billion etc.
Deputy Senate Pesident, Ike Ekweremadu had earlier raised the issue of unconstitutionality of the request for virment, stating that there was no provision for that in the Nigerian constitution.
According to him, “though virement has been made in our budget implementation on yearly basis, but there is no room for the practice in the constitution which only provides for supplementary budget in situations like this”.
The Senate President however said the need to stimulate the economy urgently had necessitated the virment request by President Buhari for budget implementation a reason the Senate should approve the request..
He said: “I think your observation as far as the constitution is concerned is well noted. I think we are all fully aware of that and that is why I cannot continue to thank my colleagues so much in the way we have been addressing the issue of the economy and we are not looking at it whichever party we are or whatever side we belong.
“If we stick to the constitution you are very right and is part of our support and cooperation to the executive, to Nigerians to move things forward. As you rightly said this should come as a supplementary budget but in part of trying to make this move and incorporate it and ensuring that we give the support and the executive should also take note”, he said.
Saraki also expressed conviction that the Presidency will target the funding of local contractors as a way to push more resources to different areas of the country.
He added, “As we work to release these special intervention funds for critical recurrent and capital items, it is important that these contractors have a track-record of efficient and quality work”, he stated.
Saraki also stated that the Senate would utilize its oversight powers to ensure that the contracts follow a competitive bidding process, and that the projects themselves have a positive impact on the economy of local areas through the economic multiplier effect.
“Moving forward, as we round out the year,” he said, “The Senate and the Presidency will continue to work cooperatively to utilize the 2016 budget as a tool for economic growth and relief for local communities.”
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