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NASS Set to Receive 2019-2021 MTEF and FSP

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The Minister of Budget and National Planning, Sen. Udo Udoma and the Director-General of the Budget Office Mr. Ben Akabueze unveiled a draft of the 2019-2021 Medium Term Expenditure Framework (MTEF) and the Fiscal Strategy Paper at a public consultation comprising of civil society organisations, the media, organised private sector and the general public at Rotunda Hall, Ministry of Foreign Affairs, Abuja on Thursday, 18 October, 2018[1].
Although the final version of the document is yet be presented to the Federal Executive Council (FEC) and the National Assembly for approval, it foreshadows what the National Assembly will receive when the 2019 annual budget is laid. The MTEF and FSP are adopted planning tools by the Federal government that define its economic, social and developmental objectives and priorities over a three-year period. Among others, it highlights key assumptions behind revenue projections in the budget and the strategic objectives within the expenditure framework and fiscal target that form the basis for budget preparation under the Fiscal Responsibility Act.
The parameters of the N8.6trillion 2019 budget for instance are premised on an oil production volume of 2.3 million barrels per day at $60 per barrel, an exchange rate of N305 per dollar, an inflation rate of 9.98% and a nominal GDP rate of 3.0%. Also while N6.9 trillion has been projected as available to fund the budget, debt service for the same fiscal year is estimated at N2.1 trillion.
A review of the parameters indicate that the same oil output level of 2.3million barrels per day and exchange rate of N305 per dollar in the 2019 budget are the same with the projections in the 2018 budget, while the inflation rate of 9.98 in the 2019 budget and 3.0% GDP growth rate are lower than what obtained in the 2018 budget at 12.4 and 3.5% respectively. However, the nominal GDP of the 2019 budget projected at 139,811 billion is higher than the 113,088 billion projected in the 2018 budget.
Other key highlights for the 2019 budget from the MTEF and FSP document presented include the following:
Share of oil revenue
3,688,282,600,552
Independent revenue
624,579,910,673
Statutory Transfer
506,860,342,965
Sinking Fund
220,000,000,000
Recurrent (Non-Debt)
4,753,409,587,691
Aggregate Capital Expenditure
2,793,593,789,919
Total Fiscal Deficit
2,240,249,536,334)
GDP
139,811,509,172,405
These however, highlight some worrying trends. For instance, the recurrent expenditure as a total percentage of Federal Government Expenditure is estimated to rise from 66% in the 2018 budget to 73% in 2019 and peak at 76% in projections for the 2020 budget. Debt service to revenue ratio is also set to rise from 28% in the 2018 budget passed to 31% in 2019 and 38% in 2020 leaving less funds available to deliver on human capital and infrastructural projects. In addition to this, the total fiscal deficit is set to rise from 1.9 trillion in the 2018 budget to N2.2 trillion in 2019 and 2.9 trillion in 2020. However, this figure slightly falls from the 2020 projection to 2.5 trillion in 2021[2].
This burgeoning debt profile appears to buttress Sen. Udo Udoma’s point that there are significant medium-term fiscal challenges with revenue generation and a need for bold, decisive and urgent action to achieve the Federal Government’s goals of fiscal sustainability. This is more so as (barring National Assembly’s intervention), the budget as anticipated is smaller than the N9.12trillion budget passed by the National Assembly in June 2018. However, on a brighter note, there are social interventions that the 2019 budget is likely to bring such as the allocation of over 527 billion naira as pensions, gratuities and retirees’ benefits and the appropriation of 1% of the Consolidated Revenue Fund (about 51 billion) to the Basic Health Care Fund in line with the National Health Act, 2014 among others.
Yet, it is uncertain when the National Assembly will sit and pass the document with Sen. Udo Udoma admitting “early budget passage is unlikely given that 2019 is an election year.” It will be recalled that President Buhari in July, 2018 rejected a Constitution Alteration Bill titled “Authorisation of Expenditure 2” that sought to amend sections 81 and 121 of the Constitution so that a President/Governor presents budget estimates not later than 90 days to the end of the financial year. Civil society groups had advocated for its passage as a remedy out of Nigeria’s errant budget cycle and to encourage fiscal discipline.

[1] 2019-2021 Medium Term Expenditure Framework and Fiscal Strategy Paper: Public Consultation with CSOs, Media, Organised private Sector and the General Public
[2] 2019-2021 Medium Term Expenditure Framework and Fiscal Strategy Paper: Public Consultation with CSOs, Media, Organised private Sector and the General Public

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Police Seals Anambra Assembly Complex

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The Police Command in Anambra has announced the sealing of Anambra House of Assembly (ANHA) complex over the impeachment crisis rocking the House.
SP Haruna Mohammed, Police Public Relations Officer (PPRO) in Anambra disclosed this in a statement in Awka on Friday.
Mohammed said the application to seal off the complex was contained in an official letter to the Commissioner of Police.
“The Anambra State Police Command wishes to inform the public that it has sealed off the Assembly Complex with effect from 6:00pm of Thursday 15th November, 2018 as a proactive measure to avert possible breakdown of law and order in the Assembly,” he said.
The command implored members of the public to stay away from the complex until further notice.
It also solicited the co-operation of Anambra people in its commitment to provide adequate security in the state.
The News Agency of Nigeria (NAN) reports that there was strong police presence at the complex on Nov. 15 when the House resumed after the impeachment saga that rocked it on Nov. 13.
The house was divided between former Speaker Rita Mmaduagwu who was purportedly impeached and Mr Ikem Uzoezie who was installed as new speaker.

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INTRIGUES OF A FAILED IMPEACHMENT

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By Ifeanyi Afuba
The attempt to seize power at the Anambra State House of Assembly on Tuesday, November 13, 2018, was doomed from the outset. The conspirators took for granted the resolve of Ndi Anambra to defend the present reign of good governance in the State.
The plot to remove the Speaker of the State Assembly, Rt Hon Rita Maduagwu was driven by mercantile politics.
A couple of weeks to the failed impeachment, the lawmakers involved held series of meetings at hotels in Awka with moneybag politicians angling for the 2019 elections. Deals were soon struck to begin an orderly destabilisation of the State Government beginning with the seizure of the Assembly’s Speakership.
Driven by greed and haste, the actors turned blind eyes to the rules of engagement. The announced figure of 18 members in support of the impeachment move was not the case. At least two members whose signatures were forged as among the proponents of impeachment cried blue murder over the falsification. For having the courage and decency to unmask the deceit, the henchmen of impeachment declared the purported suspension of Hon Paschal Agbodike and Hon Uche Okafor.
Similarly, Hon Obinna Emeneka who was out of town had condemned the smuggling of his name into a retrogressive line of action.
More members have continued to turn their backs to the conspiracy on realisation of the sinister agenda. A few members who had been recruited into the plot at the last minute on the deception that the list was to protest deductions from their emolument have since rallied behind the Speaker, Rita Maduagwu. With Hon Chugbo Enwezor and Hon Nnamdi Okafor out of the country and their stand unconfirmed, the number of the rebelling legislators stood at 13.
Conscious of their minority status, they dodged the statutory requirement of calling for individual votes on the question of whether Hon Rita Maduagwu was to step down as Speaker. Without voting on the issue, the presiding Deputy Speaker, Hon Harford Okeke, who had just returned from his monitoring of activities at Government House, then announced the election of a new Speaker.
What could be more childish? Wisely, the Clerk of the House, Mr Pius Udoh declined to swear in the purported new Speaker. There could be no swearing in because there was no valid step taken to remove the Speaker Rita Maduagwu and there was no recognised process of electing a new Speaker. It requires 20 members to oust the Speaker. Why do the rebelling lawmakers think that a bag of intrigues, lies and noisy propaganda can change this fact? Well, they have to be seen as discharging the contract entered into with the moneybag politicians from Abuja.
Shortly after, the Speaker, Hon Rita Maduagwu convened the House and forming the quorum, the more purposeful and well meaning members went into serious legislative business.
The outrage that greeted the rascality by the 13 impeachment legislators should be a clear message to them and their politically ambitious sponsors that Ndi Anambra will not permit any playing with the fortunes of the State.

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Laws can help fight terrorism in Africa- Senate President

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President of the Nigerian Senate, Dr. Bukola Saraki, has underscored the importance of appropriate legislations in winning the war against crime and terrorism in the African Continent.
Senator Saraki made this known in his speech at the opening session of the 73rd Executive Committee Session and the 41st Conference of the African Parliamentary Union (APU), in Abuja, on Thursday.
He insisted that African legislators need to do more to share ideas and work together to devise new and effective strategies for addressing the many challenges facing the continent.
“It is clear that, in order to achieve desired outcomes in the fight against terrorism and pursue growth and development, we must adopt both regional and Africa-wide strategies. African governments should be supportive of one another and put up a united front. The legislature is at the vanguard of this. Collaboration is essential. We must share ideas and mechanisms for overcoming the challenges, and this Conference is a most effective platform for doing so,” he said.
According to him, “These challenges are common to us all, and we must respond accordingly, with a common purpose. Terrorism and organised crime recognise no borders. Africa’s problems require African solutions. Collective effort is needed. We must therefore ask ourselves as legislators: what role are we playing? How have we supported the Executive in dealing with these matters?
“You will agree with me that legislation is key in fighting crime and terrorism. If you look at the developed countries, it is through legislation that they have stayed on top of these issues,” he stated.
The President of the Senate further stated that members of national parliaments need to unite in order to be able to collaborate across borders in the discharge of their responsibilities.
“Permit me to say that the nucleus of legislative power in each country should not be neglected,” he said. “Charity, they say, begins at home. In this scenario, it means that, in order to effectively collaborate across borders for continental peace and progress, the legislature must first collaborate from within.
“I would, therefore, encourage better relationship between members and the leadership of parliament in individual countries. This is the foundation of the continental relationship we are striving for, and it would give much needed fillip to the work of the African Parliamentary Union.”
He thanked the APU for granting the hosting rights of both meetings to Nigeria and expressed hope that the events would go down in the annals of the African Parliamentary Union as time well spent, “both in terms of the objectives of the meetings and memorable experiences in our serene capital city.
“Let me assure you that we are committed to doing all in our power to ensure positive outcomes on all fronts. To all our special guests from all over the continent of Africa, we bid you welcome,” he added.

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Senate reviews approval of virement for 2019 elections

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The Nigerian Senate has reviewed its earlier approval of the virement/supplementary budget for the INEC and security Agencies for their conduct of the 2019 general election. This decision followed Wednesday’s recommendations made to that effect by the Senate Committee on Appropriation.
It therefore approved that the sum of two hundred and forty two billion, two hundred and forty five million, fifty thousand, one hundred (=N=242,245,050,100) naira only, be vired from thirty Ministries, Departments, and Agencies (MDAs) of the government, as against the earlier decision to source the entire fund from the service wide volt.
Chairman of the committee, Senator Danjuma Goje while presenting the report, explained that the earlier virement of =N=242bn for the elections budget entirely from service wide votes (Special Intervention Programme) should be rescinded and approve new sources from thirty MDAs as recommended.
According to him: “because of the obvious and imminent issues of national social-economic importance, the virement/supplementary request cannot be implemented as earlier approved,” he submitted.
A breakdown of the new report shows that the sum of =N=25.5billion from =N=714.668billion appropriated for the power sector in the 2018 budget as parts of monies vired for the conduct of the 2019 general elections.
The Education sector also suffered from such virements as =N=10.238billion was vired from =N=651.226billion appropriated for the Education ministry in the 2018 budget to make up for the =N=242.2bn now budgeted for conduct of the 2019 general elections.
Apart from the two ministries, 28 other MDAs also had parts of their 2018 budgetary allocations vired in addition to the =N=121.2bn vired from service wide votes to make up for the =N=242bn for the 2019 polls.
The recommended new sources as presented and approved by the Senate are =N=121.2bn to be vired from service wide votes (Special Intervention Programme) and the remaining balance of =N=121bn to be vired from 2018 budgetary votes of affected 30 MDAs.
Some of the MDAs affected are Federal Ministry of Water Resources which has =N=12.954bn vired from its =N=155.149bn 2018 budget, Federal Ministry of Agriculture where =N=11 billion was vired from its =N=203bn 2018 budget .
Others are, Ministry of Budget and National Planning =N=8.845bn, Ministry of Defence =N=2.636bn, Foreign Affairs =N=1.737bn and Federal Ministry of Health =N=8.059bn.
Also affected in the virements are Office of the Secretary to the Government of the Federation =N=6.734bn, Office of the National Security Adviser =N=1.120bn, Ministry of Labour and Employment =N=2.727bn, Information and Culture =N=1.884bn, Ministry of Niger Delta Affairs =N=1.199bn, Science and Technology =N=7.466bn , Industry, Trade and Investment =N=7.085bn etc .
However the committee in the report, retained the spread of the =N=242bn virement votes for conduct of the 2019 general elections across the six affected agencies as earlier approved by both chambers of the National Assembly with =N=189bn for the Independent National Electoral Commission (INEC), =N=27.3bn for the Nigeria Police Force and =N=9.481bn for the office of the National Security Adviser.
The rest are =N=10.213bn for the Department of State Services (DSS), =N=3.573bn for the Nigeria Security and Civil Defence Corps (NSCDC) and =N=2.628bn for the Nigeria Immigration Service (NIS), all totaling =N=242.245, 050, 100bn.

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House eradicates age limit for job seekers

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A bill that seeks to abolish age discrimination against job seekers in government agencies has passed second reading in the House of Representatives.
The bill seeks to provide a regulatory framework that will eradicate age discrimination against job seekers on the basis of age.
If assented to, the bill will ensure that no artificial barrier is allowed to deny graduates above thirty years of age from getting employment in government agencies.
Mr Sergius Ogun from Edo State while leading the debate on the bill said the spate of disqualifying ordinarily qualified job seekers on account of age in Nigeria must stop.
The lawmaker stated: “This practice is gradually becoming a norm in the recruitment process, and the absence of legislation has led for many years multinational companies disqualifying job seekers from getting employment on account of age.”
Contributing, Mr. Babajimi Benson noted that age discrimination has hindered many Nigerian youths from getting employment in many government’s agencies.
Also speaking, Mr. Istifanus Gyang stressed the need to put in place stiff penalties for Ministries, Departments and Agencies that fails to comply with the law when assented too.
Speaking against the bill, the deputy speaker, Mr Lasun Yusuf said what the bill is seeking to achieve has already been addressed in the Nigeria Constitution, adding:“Those perceived to have been disqualified on account of age can seek the court to address it for them if they believe their rights have been infringed upon.”

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Shake-up in Senate as Saraki reshuffles committee

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The President of the Senate, Bukola Saraki, on Wednesday announced minor changes in the leadership of four standing committees.
By this development, Sen. Lawal Gumau (APC-Bauchi), who was elected into the Senate in August, is now the Chairman of the Committee on Federal Character.
Gumau took over from Sen. Tijani Kaura (APC-Zamfara North), who has been moved to the Police Affairs Committee as Chairman.
Kaura replaces Sen. Abu Ibrahim (APC-Katsina South), who now heads the Committee on Employment, Labour and Productivity.
Former Majority Leader, Sen. Ali Ndume (APC-Borno South) is now the Chairman of the Committee on Establishment and Public Service, formerly headed by Sen Paulker Emmanuel (PDP-Bayelsa Central). – NAN

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National Assembly Adjourns for Oversight Visits

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The National Assembly will resume plenary on Tuesday November, 6, 2018 after it adjourned plenary for two weeks to allow relevant Committees embark on oversight visits of various Ministries, Departments and Agencies (MDAs).
Among others, the ‎Committees were tasked to ascertain the level of the implementation of the 2018 budget and how foreign loans have been utilised after some Senators advised the Executive to limit its borrowings.
The powers of the National Assembly to carry out this form of oversight are rooted in section 88(2)(b) of the 1999 Constitution (as amended) that enable it expose corruption, waste and efficiency in the management of public resources. Committee reports from its oversight visits are usually submitted to the Clerk of Committees in the National Assembly. Committees seeking further action on their report may lay their findings in chamber for legislative input/resolution by the Committee of the Whole.

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Dogara reshuffles House C’ttee chairmen

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ABOUT seven months to the end of the eighth Assembly, Speaker of the House of Representatives, Yakubu Dogara,

yesterday announced re-organisation of  chairmanship of key standing committees.

This came as the House adjourning till November 6. Former chairman House committee on Appropriation Abdulmumin Jibrin (APC-Kano) who was relieved of his appointment as chairman is to chair House Committee on Land Transport. With the new development, Dandutse Mutari is to chair House Committee on FCT Judiciary; Edward Pwajok, chairs House Committee on Rules and Business; Emmanuel Orker-Jev chairs House committee on FCT which was vacated by Herman Hembe (PDP-Benue) while Sadiq Abubakar chairs House Committee on Human Rights. Others are: Mahmood Mohammed, who chairs House Committee on Housing; Tajudeen Abbas chairs House Committee on Solid Minerals; Hakiru Jika, chairs House Committee on Privatization and Commercialization; Yerima Ahmad, chairs House Committee on Constituency Outreach; Lawal Abubakar, chairs House Committee on Police while Aminu Sani, chairs House Committee on Population.


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Senate confirms President’s appointees for Civil Service Commission

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Report of the Committee on Establishment and Public Service on the confirmation of the following persons for appointment as Chairman and Commissioners for the Federal Civil Service Commission by Senator Emmanuel Paulker.

Thirteen Nigerians have been confirmed by the Senate for appointment as Chairman, and Commissioners of the Federal Civil Service Commission (FCSC).
Senate’s confirmation of the appointments follows the consideration of the report of its committee on Establishment and Public Service, held during Wednesday’s plenary. And a breakdown of the appointment list, shows that ten out of the thirteen appointees are on new appointment while the remaining three, are on renewed appointments.
Dr. Bello Tukur Ingawa who hails from President Buhari’s state of Katsina is the Chairman of the Commission, and he is on a new appointment. Others on new appointment are, Moses Ngbale from Adamawa state, Waziri Ngurmo, mni from Borno state, Alhaji Bello Babura from Jigawa state, and Ahmed Sarna from Kebbi state.
The new appointees also include: Princess Iyabode Odulate-Yusuf from Ogun state, Shehu Danyaya from Niger state, Fatai Adebayo from Oyo state, Chief Ejoh Chukwuemeka from Anambra state, and Joe Philip Poroma from Rivers state.
The remaining three commissioners whose appointments were being renewed are: Ibrahim Mohammed from Kaduna state, Prof. Aminu Dio Sheidu from Kogi state, and Mr. Simon Etim from Akwa Ibom state.
Thereafter, the senate suspended plenary for two weeks, adjourning till the 6th of November to enable the various committees complete their oversight assignments with outstanding MDAs and to present the reports in good time.

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Kaduna Killings: Senate Moves to End Crisis

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Today, the Nigerian Senate, called on security agencies to investigate the cause of the killings in Kaduna State and ensure that the perpetrators are brought to justice.
The decision was taken following a Point of Order moved by Senator Sulaiman Hunkuyi on the killings in the State, which he described as “inhuman, unmindful and unnecessary.” Hunkuyi also stated that the perpetrators carrying out the killings needed to be tackled.
The Senator representing Kaduna Central, Senator Shehu Sani, said: “We are deeply concerned. There is a need for community and religious leaders to come together to discuss solutions.”
“Life is given by God and there is no reason why it should be taken by man. We cannot continue to just observe this, something must be done,” said Senator Danjuma Laah, the Senator representing Kaduna South.
Speaking on the resolution, the President of the Senate, Dr. Abubakar Bukola Saraki, said: “The contributions from Distinguished Senators show clearly that a major cause of this impunity is the fact that no one is being sanctioned. As a Senate, we need to come together to discuss this in a manner that is non-partisan.”
Saraki also said: “It is the lack of cooperation, collaboration and implementation of resolutions at the level of the security agencies. Therefore, let us bring together the Chairmen of the important Committee and have an executive session to put forward our observations and recommendations.
“There, we will discuss the things that need to happen and the implementation of the conclusions reached at the summit. At the end of the day, it will still come down to the Executive arm of the Federal Government, therefore, let us seek a session with the executive arm of government to discuss some of these our recommendations and observations.”
The Senate President then directed the Leader of the House, and the Chairmen of the Committees on Security, Defence and Police to fix a date to meet with the Executive.
The Senate also resolved to:
i. Pay a special condolence visit to the Governor and people of Kaduna State, particularly Kasuwan Magani and other affected areas;
ii. Call on the Kaduna State Government and the Federal Government to quicken the process of the release of the paramount ruler, Maiwada Galadima;
iii. Observe a minute silence for the repose of souls lost in the crisis; and urge Nigerian Emergency Management Agency (NEMA) to step in and assist those who have been affected, especially those who have to go out on a daily basis to survive;
iv. Urge the relevant security agencies to investigate the cause of the incident and ensure that the perpetrators are brought to justice; and
v. Commend the security agencies for the prompt manner in which they responded to the matter without allowing the situation to escalate.

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