PRESS STATEMENT

December 4th , 2008

$24 BILLION BUDGET UNSPENT FUNDS

IMPERATIVE OF JUDICIAL PROBE

Conference of Nigeria Political Parties {CNPP} took a critical analysis of the philosophy and thrust of President Umaru Musa Yaradua’s 2009 Budget ; reviewed the poor funding and poor implementation of previous Capital Budgets since 2000, taking into cognizance the revelations of the Speaker of the House of Representatives, Hon Dimeji  Bankole and President Yaradua’s independent anniversary speech and came to the inevitable conclusion that, as a matter of urgent national importance a high powered Judiciary Probe Panel be instituted to unravel the missing  unspent Budget funds.

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It is our considered view that no sane society in dire need of urgent transformation, renewal and development of critical infrastructure, collapsed social services and pursuit of pro-poor policy; can sweep the statements of number one and four citizens of the country under the carpet.

W e read carefully the independence anniversary speech, where the president told the country that over N400 billion unspent 2007 Budget duly appropriated fund was recovered from Ministries, Departments and Agencies; in the same vein, the Speaker in the presence of President Yaradua told Nigerians that in executing their oversight functions, the House stumbled into $24 billion unspent funds that are missing; thus at variance with Sections 16,19 and 20 of Finance { Control and Management} Act and Section 2,3 and 22 of Fiscal Responsibility Act.

Whereas the CNPP will not begrudge the regime shopping for foreign direct investment, borrowing from World Bank and other sundry avenues; however we wish to warn that he who goes a borrowing goes a sorrowing; therefore we must go deep and recover the missing funds as the golden-oil-age is fast vanishing, meaning that those who squandered it should be prosecuted.

We also implore President Yaradua to explore this valid option of recovery of our stolen funds; instead of his plan to raise funds through heavy taxation of hapless Nigerians who had been famished by predator looters.

CNPP study takes the award of major road  contracts across the country in 2001 as a case study. In 2001 the ex-president Chief Olusegun Obasanjo awarded the dualisation of Agege-Ota-Abeokuta to Julius Berger, Ibadan-Ilorin to PW, Onitsha-Owerri to CCC and Gombe – Maiduguri to Triket, year in year out the roads were duly budgeted for and the contractors were not paid and monies got missing. Today none of the roads mentioned nor similar ones had been completed.  This is the crust of our call for Judicial Probe.

The world is ready to help Nigeria to recover the looted funds; all they are waiting for is the political will of President Yaradua, who proclaimed that the war against corruption is one of his cardinal programmes, claiming that he is committed to zero tolerance of corruption. This is a litmus test to the genuineness of President Yaradua’s in the fight against corruption.

As it stands the seven-point-agenda, vision 2020, nor section 16 of the 1999 Constitution, are on deficit as President Yaradua regime cannot actualized any of them if such stern measures are not taken to recover our looted funds.

Whereas, we acknowledge President Yaradua’s admission that the performance of the 2008 Budget has been  mixed and indeed far from satisfactory; however  nothing on the table indicates the arrival of a new president with a new political will momentum, to implement the 2009 Budget  or erase the inertia template, corruption and gross inefficiency. Of what use is a Budget if not funded and implemented?

We are appalled that instead of using the anti-graft agencies to recover these monies to balance the fiscal budget deficit, to mitigate the down turn of oil revenue and massive funding of infrastructure; rather President Yaradua  is hoping to fund the budget through heavy  taxation, thus squeezing the citizenry whose patrimony had been thoroughly looted.

We are astonished that inspite of the various  public service reforms that the recurrent expenditure is  peaked at N1.649 trillion against capital expenditure of meager N796.7 million; this is unwarranted and calls for serious scrutiny.

The inertia template, corruption and gross inefficiency of the Yaradua’s administration render the assumptions of the Budget, vague, utopian and unworkable. We are at a loss, for example, on how President Yaradua will increase oil production in the Niger Delta to 2.29 mbd, without any sign post emanating either from the Budget or commitment from him to address the gridlock of the Niger Delta posed by the militants?

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Whereas, the NDDC is owed over 300 billion naira statutory allocations, only 27.12 billion naira is budgeted for NDDC and 50 billion naira budgeted for the new Niger Delta ministry. It is uninspiring and cannot douse the inferno in the region.  Other critical infrastructures suffer the same poor funding and poor implementation.

We align with some patriots like Engr. Hamman Tukur, chairman Revenue Mobilization, Allocation and Fiscal Commission, who argue that our Excess Crude and some percentage of our foreign reserve should be injected into our economy for massive infrastructural development; instead of waiting for the illusive foreign direct investment.

The Medium-Term-Sector-Fiscal-Framework and the global credit crunch clearly exposed the inefficiency and corruption of the past nine years; as failure to use our golden-oil-age to transform and close the critical infrastructure gap, human capital development and provide social services, had simulated social insecurity in the system. This breeds instability and regime panic.

CNPP had for the umpteenth time like an old stuck gramophone pin, cried out that poor funding of critical infrastructure like power, inter-state railways, human capital development and social services; will leave our economy in a primitive state, no matter the BB ratings of rating agencies, incidentally the same agencies that rated the subprime deals that led to the global meltdown.

Consequently, it is our considered opinion that the allocation to Niger Delta, power, railway et al, is too poor for a nation in dire need of urgent industrial development, implementation of the seven-point-agenda and pursuit of pro-poor policy to lift over 70% citizenry below the poverty line out of poverty.

ONLY JUDICIARY PROBE PANEL CAN RECOVER THE MISSING BILLIONS.

Osita Okechukwu

National Publicity Secretary

CNPP

08039738870