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N’Assembly accepts FG’s proposal to cut 2012 budget

By on February 10, 2012

The National Assembly has accepted the Federal Government’s proposal to reduce the size of the 2012 Budget.

It has however, directed the agencies and ministries to immediately submit the details of subheads from which they would cut down expenditures.

Chairman of the Senate Committee on Finance, Senator Bassey Otu, told our correspondent on Thursday that the National Assembly expected the Federal Government to do the reduction across the board.

He said, “We are expecting the cuts on overheads and other recurrent elements in the budget. We have accepted the proposal, but we need to see what they are proposing in black and white.”

He also noted that it was also uncertain if the reduction would be N400bn, but the actual amount would be determined by next week.

“We will be meeting with the agencies and we will then take a decision on just how much would be taken out, but for now we don’t know how much would be cut from the budget,” Otu said.

It was also gathered that the legislature was convinced that there was the need to consider the paucity of funds as a reason for the downsizing of the budget.

The Coordinating Minister for the Economy and Minister of Finance, Dr. Ngozi Okonjo-Iweala, appeared before the Senate Committee on Finance last week and suggested the move to downsize the budget because of certain pressing economic realities.

She hinted that the cut would only be on recurrent budget, while the capital budget would be left as it was, adding that the legislature should also do the same.

She said, “We still need to find more cuts. As the Executive cuts its own, we hope that the National Assembly will still cut its own in order to help us. We are going to look at the statutory transfers, look at the Judiciary, INEC and others; whoever we can negotiate with to help us out this year should do so.

” We need to make that sacrifice. At the minimum, we need to find N370bn, almost N400bn so as to bring down the deficit to a manageable level. It’s very difficult but that’s where we are now.”

President Goodluck Jonathan had presented a total budget of N4.749tn, of which N2.472tn is for recurrent(non-debt) expenditure; N1.32tn for capital expenditure; N398bn for Statutory Transfers and N560bn for Debt Service.

The Federal Government is expected to borrow N794bn out of the projected N1.104tn to finance the budget deficit.


  1. Hanacho

    February 11, 2012 at 11:17 am

    How Nigerian foreign missions treat citizens shabbilyBy HIDAYAT HASSAN- KADIRISaturday February 11, 2012
     More Stories on this Section  As a visiting scholar at Columbia University in New York, I have endured my academic and other concerns diligently without bothering any one, including the Nigerian mission in New York or the US at large. And because it isn’t my first scholarly sojourn outside Nigeria; it isn’t anything strange to me that Nigerian foreign missions are often indifferent to those they are primarily supposed to serve. But what can any one do in the event of the need for passport renewal and stuff like that? Brace up for the cold disposition of the tin gods at the missions. It was my turn, a few days ago in New York.
    I walked into the Nigerian foreign Mission in New York and the conversation below ensued:I: hello sirSecurity : what do you want?I: I will like to reserve a room for an upcoming meeting? Security: Call this number (He tore a two-inch paper and scrawled a number on itI: Thank you, Sir. But in case nobody picks, what do I do?Security: Drop a voice messageI dashed out immediately and called the number. It rang and rang to no avail. Afterwards, it slipped into voicemail: “You can’t drop a new message, as the message box is filled.”Undaunted, I returned to the security man and the conversation resumed.I: I called the number you gave me now, but the signal I got was that the message box is filled, so I couldn’t drop a message. Can you give me another number.Security: There is nothing I can do, even If I let you in, nobody will attend to you. Just go, go and go away…As the security man railed at me, a woman was about entering the building. As if she was sympathetic to my plight, she volunteered: “He is just a security man, so he can’t do beyond what he has done. Actually, he has gone out of his way to assist you, just go away and keep trying the number…” As the woman slammed the door thoughts ran riot in me and I began to wonder what claim to patriotism or even sheer courtesy those who run Nigerian foreign missions can pretend to possess? To the extent that it doesn’t bother them that the first person to be encountered in these missions should have some measure of courtesy?
    Six years ago, I was postgraduate student in Belgium and had almost the same experience at our(?) embassy over there. After all these years, I could never believe, in my wildest imagination, that I would have to go through the same experience in the Nigerian Mission in New York with the large army of staff and bigger than the UBA building in Nigeria. How do you go to your own supposed turf, your own country and you do not get as much as a hello from the first representative of the country, who is the security guard at the entrance? Why will the voicemail box of a whole embassy be filled with messages, as at 1pm on a Friday? It probably had not been accessed all week, if not all month). How do you encourage tourism and business into such a country where shabby reception and uncouth people are in charge? Are we saying that there are no good people in Nigeria fit for foreign services? Is there likelihood that there will be an intelligence staff in that office? I looked up and there were tears in my eyes; it finally dawned on me that all the complaints and allegations of my friends and relations hitherto are true.
    In December 2011 ,I had a good time with fellow Nigerians, and the subject of jokes was always the country and the embassy staff always extorting money from them to renew their passports, how things never work in my beloved country and so forth. I had always accused them of exaggeration. Now firsthand experience, I now know. There is no stopping Nigerian embassy staff inclination for the business-as-usual indulgence. One needs to see them saunter in and out of the mission, while also embarrassing fellow Nigerians they are supposed serve! A so called “glorious mummy” even told me: “You don’t talk to me like that.” Maybe she expected me to kneel down or rankadede her.
    As my pain is fresh and my heart bleeds once again for Nigeria, I then remembered a non-Nigerian colleague who once needed a national dress and told me she was going to get one from their embassy. I thought coming from a third world country, her embassy will have none to give her until I saw her in the dress, well ironed. She was resplendent in her national glory. I looked at her enviously. Then it dawned on me that she was right, things work in most countries, except Nigeria. Imagine me go request for a national dress (am laughing out loud at this moment). What would have happened to me? Maybe I would have got some whipping? Even if the Nigerian budget provides for national dress to showcase our culture, I suspect very strongly that some Nneka, Bose or Balarabe would have carted them away.
    If our diplomatic missions can’t be courteous or accommodating to us, the citizens, then it is better imagined how much of sheer drain pipes they constitute to hard earned revenues. Above all, I thank God I went with a fellow Nigerian and not a foreigner. Imagine the shame.When are things ever going to move forward for us in this country? When will good people be deployed to our diplomatic missions?
    • Barrister Kadiri, a lawyer and development expert, is a Visiting Scholar at the Columbia Law School, New York, USA.

  2. Hanacho

    February 12, 2012 at 5:12 am

    Nigerians please READ the
    NNPC Policy.


    And TELL me why the crops of thieves starting from the GROUP
    managing Directors are STILL in office.


    Established by the NNPC
    Act No. 33 of 1st April, 1977



    of All Government in the Nigerian oil Industry

    the development of Nigerians first gas master plan (GMP)

    efficient and effective operations in both downstream and upstream operations
    in the oil and gas sector

    the activities of its subsidiaries for effective service delivery.


    Madam Minister,


    (1) Please ASK yourself, Have these managers respected there
    VALUES .


    (2) With the huge fraud within the NNPC and its agents, the managers,
    starting from GROUP Managing directors have failed Woefully, defrauding the
    NATION and bastardising with huge abuse the oil sector which ought to keep
    every Nigerian happy.


    (3) No body is above the law , these guys have committed
    crimes, relocating them within NNPC is Nothing More like a MOCKERY to Nigerians


    MADAM Minister IT’S A BIG SHAME, you cannot take action
    on the thieves .









  3. Hanacho

    February 12, 2012 at 9:40 am

    This is FRAUD. Dont say investors are not interested . Say the people you want , will not agree if Nigerians dont pay high. Its your idea and the group of criminals you bring into Nieria for business.Power is a lasting opportunity as it is a business for every day . LONG TERM Business .The investor will invest and get back his money just like MTN, they have made back there profit since 3 years back ,but nigerians are still paying Huge amount compared to counterparts in South africa.
    This kind of broad day stealing Must stop.
    If they are not interested . I can Give you 10 companies interested in the Power Sector .Ifyou like reduce the present tarrif and they will still carry out the job.
    THis your KIRT no fly today again.
    Nigerians are wiser now  Dr. Sam Amadi .
    Work and then Eat .
    STOP THINK OF JEEPS YOU WILL SOON BUY .IF YOU GIVE 2hours Light , please maKe bill for 2hours .

  4. Hanacho

    February 13, 2012 at 6:41 am

    The Country is trying to wake up and make life meaningful for its citizens.Brothers take a good look at the economy of the West as its decaying daily.As our lives becomes good , it means bad for certain places of the world.We need to be wise NOW .Elders have failed due to ignorance and belonging to various societies which manipulated them.. But its time to help the youths Get back Nigeria to its FIT .We shall ALL be happy ,if we can TURN the clock together .Mind you , there are Nigerians who are sabotuers ,there loyalties is NOT to Nigeria but to some body outside nigeria.They are well read and have big certificate to put them on sensitive Positions to continue Fooling Nigerians .
    Never again shall Nigerians be taken for granted .Never again shall people ruin our economy collectively and abuse us as a Nation daily on media calling us theives while they are th ereal baseline thieves.
    The Mindset for every Nigeran should Change . CORRUPTION MUST SEIZE .Promote Patriotism dn accountability .Its the way Forward.
    NNPC Should have Metering facilities in all the Oil Infrastructures and Put Patriotic persons there to monitor.We as a Nation have been called FOOLs , But we SHALL NOT be called AGAIN.
    I am suprised BBC,CNN, and other medias are NOT Monitoring/Televising the HUGE FRAUD in the OIL and Gas SECTOR