See How Much FG Has Spent In Nine Months

In the first nine months of the year,
the Federal Government had spent
N3.42tn out of the total N4.493tn
spending approved in the 2015
budget.
These figures are contained in the
Medium Term Expenditure
Framework and Fiscal Strategy Paper
(2016-2018) sent by President
Muhammadu Buhari to the National
Assembly.
The document was approved by the
Federal Executive Council on
Monday and sent to both chambers
of the National Assembly on Tuesday
for deliberation and approval.
In the MTEF, a copy of which was
obtained by our correspondent, the
Federal Government said the
N3.42tn was spent on both recurrent
and capital expenditure in the nine-
month period.
It stated, “Of the total appropriation
of N4.49tn and a supplementary
budget of N574.53bn for spending
on security and emergency provision
of subsidy claims, N3.42tn had been
spent as of September for both
recurrent and capital, with the
shortfall in revenue inflow being
made up by additional financing
from borrowing and other sources.
“Recurrent expenditure has been on
track. About 78.1 per cent, that is
N1.77tn of the N2.23tn budgeted for
the payment of salaries, pensions
and overheads has been released,
while debt service has been largely
covered.”
The document stated that while
recurrent expenditure had been on
track, capital spending had been
lower than what was budgeted due to
revenue shortfalls.
The seventh Senate had in passing
the 2015 budget, slightly reduced the
N2.607,601,000,300 proposed by the
executive to N2.607,132,491,708 as
recurrent expenditure, and
simultaneously scaled down the
capital expenditure from
N642,848,999,699 estimated in the
proposal to N556,995,465,449.
The budget was based on $53 per
barrel oil benchmark price, an
exchange rate of N190 to the United
States dollar; 2.2782 million per
barrels of crude oil production per
day; and a deficit Gross Domestic
Product of 1.12 per cent.
The document also put the fiscal
deficit at N1.075tn; N953bn for debt
service; and N375.6bn as statutory
transfers.
Education took the lion’s share of the
budget with N392.3bn; followed by
the military, which got N338.7bn,
while police commands and
formations got N303.8bn.
In the same vein, N237bn was voted
for the health sector; N153bn for the
Ministry of Interior, while N25.1bn
was budgeted for the Ministry of
Works.
The MTEF stated, “Capital spending
was lower than budgeted due to the
revenue challenges and the need to
cater for pressing procurement
needs like payment of salaries and
debt service.
“As of September, N194.77bn of the
N557bn budgeted for capital
spending had been spent by
Ministries, Department and
Agencies.”
The country had in the last 18
months experienced price and
commodity shocks owing to decline
in oil prices as well as crude oil theft
and pipeline vandalism.