In keeping strictly with the January – December budget cycle, President Muhammadu Buhari will today sign into law, the revised N10.8trillion budget for the year 2020 passed by the National Assembly last month.
Minister of Finance, Budget and National Planning, Dr. Zainab Ahmed, made the revelation yesterday when she met with the leadership of the National Assembly on plans to submit the 2021-2023 Medium Term Expenditure Framework and Fiscal Strategy Paper (MTEF/FSP) later this month.
The Minister while briefing principal officers of the Senate and House of Representatives led by the Senate President, Dr. Ahmad Lawan, and the Speaker of the House, Rt. Hon. Femi Gbajabiamila, disclosed that President Buhari had given directives for the Ministry to expedite action on next year’s budget estimates to enable him present the 2021 budget proposal to the National Assembly by the end of September this year.
“This for us is a journey towards ensuring that the progress that we have made as a collective to return the fiscal year to January – December is maintained for the 2021 budget as well.
“The President has directed that we must deliver the budget to the National Assembly by the end of September,” the Finance Minister said.
Ahmed while giving an update on the 2020 budget implementation between January and May 2020, stated that the Federal Government’s retained revenue was N1.48 trillion, an amount representing 56 percent of government’s target.
She added that out of the sum generated as revenue, oil revenues accounted for N701.6 billion; non-oil tax revenues N439.32 billion;
Companies Income Tax (CIT) and Value Added Tax (VAT) collections – N213.24 billion and N68.09 billion; and Customs collection N158 billion, respectively.
“Other revenues amounted to N339.51 billion, of which Independent revenues was N80.22 billion. Recoveries and Stamp duty collected during the period are yet to be booked in the fiscal accounts,” Ahmed said.
On Expenditure performance for the same period (January – May 2020), she disclosed that N1.25 trillion was expended for debt service; and N1.32 trillion for Personnel cost, including Pensions.
According to the Finance Minister, as at the end of May 2020, only N253.33 billion had been released for capital expenditure.
Mrs Ahmed while giving underlying assumptions driving the macro-economic parameters and targets of the 2021 – 2023 Medium Term Expenditure Framework, said same was “revised in line with the emergent realities.”