Chief Executive Officer of the CFG Advisory, Tilewa Adebajo, came out to speak on the economics of the 2023 Supplementary Budget and the Medium Term Expenditure Framework revealed by the current administration.
There have been reactions over the N2.176 trillion budget for ministries, departments and agencies under the government.
In an ARISE NEWS interview on Friday, Adebajo stated that he had more questions on how the government has plans on acquiring funds despite speculations that it would be from either money saved from subsidies or the recent World Bank loan.
When asked if the budgetary allocations were justified he said, “I don’t know. In the sense that there are already budgets this year for these departments so why do all these people need a budget by this time, two months to the end of the year?
“We have 130 million Nigerians in multidimensional poverty so a lot of these things become insensitive. And you know, you really need to manage the optics otherwise you’ll see the outcry we’ve been seeing.”
The CFG CEO further explained, “Yes the FAAC allocations have increased significantly without a doubt. We want to find out where that is coming from. So when you are talking about revenues, is it from taxes or can it be quantified?
“How we’ve been surviving in Nigeria now has been through FIRS, and Ways and Means. NNPC has not been remitting to the federation account. So let us know what NNPC is starting to remit to the account between May and now.”
Adebajo said that his main focus would be on the 2024 national budget rather than the current supplementary budget. He also spoke on the government’s bid to convince the Central Bank to increase the current Ways and Means borrowing cap and reduce the CBN governor’s power in the control and intervention in the economy.
“There’s nothing wrong with the CBN Act as it is. If the CBN governor contravenes the Act, that’s a different issue. The CBN has a board that was sitting when the central bank was breaching the CBN Act.”
He stated that section 38 of the Act needs to be reevaluated and the government needs to find a way to resolve the current N30 trillion Ways and Means cap as turning to private sectors would stunt the growth of the economy.
Concerning the administration’s mission to grow the country’s to one with a $1tn economy, Adebajo stated that though the nation has the potential to raise its GDP, the issue lies in the ineffectiveness of those who manage the economy.