Transport Minister, Rt.Hon Rotimi Amaechi and Works, Housing and Power
Minister, Mr. Babatunde Fashola, were responsible for President Mohammadu
Buhari’s withdrawal of the 2016 Budget from the National Assembly, a
reliable source in the Presidency told Pointblanknews.com.
The source who is not authorized to speak to the press said the two
Ministries were not properly captured in the 2016 budget as presented to
the National Assembly.
The Transport Ministry, Works, Housing and Power are expected to play key
roles in delivering key electoral promises of the Buhari’s administration.
“After the 2016 Budget was submitted, it was realized that the key
Ministries such as Transport and Works, Housing and Power were not
properly represented in the budget presented to the National Assembly”,
the source told Pointblanknews.com.
According to the source, “if the 2016 Budget is left the way it was first
submitted to the National Assembly, those Ministries won’t find it easy
delivering the dividends of democracy.
However, Buhari has written to the parliament requesting the withdrawal
of the 2016 budget in order to make changes, sources at the presidency and
Senate said on Sunday.
Buhari unveiled the budget for Africa’s biggest economy in December, which
included a tripling of capital expenditure, as the continent’s top oil
exporter tries to overcome its worst economic crisis in years caused by
the fall in crude prices.
The president said spending would be 6.08 trillion naira and the deficit
would double to 2.2 trillion naira ($11 billion) under his
administration’s plans.
With Brent crude, which gives Nigeria around 95 percent of its foreign
earnings, falling to $30 a barrel for the first time in 12 years, the
naira has dropped to record lows against the dollar on the parallel market
amid dwindling FX reserves.
The 2016 budget assumed an oil price of $38 per barrel, whereas lawmakers
passed last year’s budget at $53 a barrel.
“Mr president has written to the Senate and the House of Representatives
to withdraw the 2016 budget to enable him to affect some amendments
following the further dwindling price of oil among other areas,” said a
presidency source, speaking on condition of anonymity.
Buhari’s spokesmen, who have travelled with the president to the United
Arab Emirates for the World Future Energy Summit, were unavailable for
comment.
A source at the upper house of parliament, the Senate, said Buhari had
written to the National Assembly, which consists of both houses, to
request the withdrawal of this year’s budget.
“The Senate received the letter on Saturday but it does not specify what
is to be corrected,” said the source, who wished to remain unnamed.
Ita Enang, the president’s senior special assistant on National Assembly
matters, on Sunday issued a statement confirming that a message had been
sent.
“Mr President has sent a communication to the National Assembly on the
2016 Budget,” said Enang. “The content is as will be read on the floor in
plenary.” He added that the reading would take place on Tuesday.
Last week the naira NGN=D1 – pegged at around 198 to the dollar on the
official interbank market – slid to a record low of 305 on the parallel
market, fuelling speculation that Nigeria will soon have to devalue it
currency. And stocks posted their biggest fall in eight years.
Senate members have summoned Central Bank Governor Godwin Emefiele to
explain the naira’s plunge on Tuesday.