Former Vice President Atiku Abubakar says the Federal Government’s resolution to slash the 2020 budget from N10.594 trillion to N10.523 trillion doesn’t correctly handle the nation’s fiscal realities.
However, the outbreak of the coronavirus illness (COVID-19), which has contaminated over 4.Four million folks the world over, has disrupted the worldwide economic system.
This led the Federal Executive Council to approve a revised budget of 10.523 trillion, a distinction of N71.5 billion, throughout its assembly on Wednesday, May 13, 2020.
The Minister of Finance, Budget, and National Planning, Zainab Ahmed, stated the FEC accredited the discount of oil benchmark worth from the preliminary $57 to $25 per barrel, and crude oil manufacturing from 2.18 million to 1.94 million per day.
“As we cut down the size of the budget, we also have to bring in new expenditure previously not budgeted, to enable us adequately respond to the COVID-19 pandemic,” she stated.
In an announcement launched on Thursday, May 14, Atiku stated the slash is inadequate and doesn’t handle Nigeria’s incapacity to broaden its income base via the non-oil sector.
He stated the discount in expenditure by simply 0.6% doesn’t replicate the truth that the coronavirus pandemic has tanked the nation’s earnings by greater than 50%.
“Putting politics aside, this is grossly insufficient and betrays the fact we have lost touch with the current realities in the global political economy,” he stated.
Atiku, who misplaced the 2019 presidential election to Buhari, stated Nigeria can’t hope to make up for its loss of anticipated income by taking out extra loans and issuing out extra bonds.
He suggested the Federal Government to tighten the belt and cut expenditure within the government and legislature.
He stated, “The billions budgeted for the travels and feeding of the President and Vice President has to be diminished.
“The 27 billion budget for the renovation of the National Assembly has to go. The huge budgets to run each the Presidency and the Legislature has to be downsized.
“The budget for buying luxurious vehicles for the President, his vice, and different political workplace holders should be deserted.
“Leave the salaries of civil servants alone, but reduce the salaries of political appointees. Sell 8 or 9 of the jets in the Presidential Air Fleet.”
Atiku, vp between 1999 and 2007, stated the federal government should additionally realign the 2020 budget to redirect expenditure away from working an enormous forms, into social growth sectors like schooling, infrastructure, and above all, healthcare.
He stated the federal government should sacrifice residing in luxurious at a management stage, and as an alternative concentrate on investing within the Nigerian folks.