Budget Passage Delays Bad For Nigeria's Economy - LCCI
Nigeria passed its 2017 budget on Thursday, almost six months after it was presented to the National Assembly.
This is not the first time the budget passage has been delayed. In 2016, quarrels between the legislature and the executive also delayed the budget until the second quarter of the year before it was finally passed into law.
This is not good for the economy, especially as it battles recession.
Muda Yusuf, who is the Director-General, Lagos Chamber of Commerce and Industry, LCCI, on Friday condemned this practice, saying that it causes uncertainty in an economy.
He therefore called on the executive and the legislature to review the country’s budgetary processes to facilitate early passage of budgets.
He said there was the need to review the age-old practice of late passage of appropriation bills and implementation of annual budgets.
“We need to get out of the practice of delayed budget. We should be conscious of time. The entire budgetary processes should be reviewed because there is no need allowing an annual budget to spill into the following year.
“The executive and the legislative should not manage the budgetary processes at their own pace because it is not good for the economy,” he said.
Nigeria’s 2017 budget of 7.2 trillion Naira was finally passed on Thursday after an almost six-month delay at the National Assembly.
The budget is 143 billion Naira higher than the 7.298 trillion Naira proposed by the executive.
In the budget, 2.987 trillion Naira was set aside as recurrent allocation, while capital allocation was 2.177 trillion Naira.