Fast track budget implementation

The breach between budgetary estimates and implementation in Nigeria seems to be perennial. Because of the role and importance of budget to economy, delay in budgetary implementation has become a growing concern and a contributory cause for poor economic development in Nigeria. In Nigeria, it is not unusual to hear of frequent delays in budget preparation by the executive, delays in budget approval by the legislator, and again delays in the budget execution.

The President submitted the 2018 budget to the National Assembly in November 2017 and it took the lawmakers six months to return the budget to the president. Perhaps, the outcome of the delay was the addition of N500bn, raising the figure from the proposed N8.6tn to N9.1tn.

In itself, budget is usually a fundamental framework for strategic planning and decision making by all the key players in the economy. Its delayed implementation is already causing dislocation in the economy and negatively affecting the wellbeing of the people. Delays in budget implementation means funds for essential sectors of the economy are not released, key infrastructure projects, especially human and capital development, are unnecessarily delayed and most times, salaries and pensions owed. For a country struggling with perennial unemployment and poverty, a speedy implementation of the budget will go a long way in creating employment and encourage productivity in the economy generally.

What is more, predictable and timely implementation of the budget will enable the private sector to harmonise its operation in line with government plans and aspirations, all geared towards helping the economic growth of the country.

Delay in budget implementation often has deleterious effect on the capital market. The market has been on a losing streak of late and the loses could not just be attributed to profit taking alone but the general lack of enthusiasm on the economy due largely to the absence of a budget almost six months into the fiscal year.

The budget may have come in late, but a lot can still be achieved within the time left if the government is determined to reverse the negative effects the absence of a budget has had on the economy all these while.

As the head of the executive who oversees the implementation of the budget, President Buhari should realise the enormous tasks ahead of him and mobilise his team to ensure that there is a full and speedy implementation of all the provisions of the budget especially those to do with public expenditure. Heads of ministries, parastatals and agencies must be made to realise the urgency of the moment, and get to work to end ensure they work with the president to deliver on the budget to provide succour to the long-suffering masses of the country.

For the future, the executive must determine to prepare and submit the budget to the National Assembly well in advance. This will help to avoid rush hour budget preparation that extends to the next fiscal year and give the National Assembly enough time to thoroughly consider the budget, get all ministries, departments and agencies to defend every provision in the budget and get it passed well on time for timely implementation.