- FG Sets Up Committees To Monitor Implementations
- FG in the process of identifying contractors with ongoing contracts as part of plans to further stimulates the economy.
- Resolved to put the measures in place to tackle observed challenges
Federal government yesterday rose from the two-day economic retreat with a resolution to immediately pump the sum of N350 Billion into the economy as part of measures to stimulate growth and ease economic sufferings in the country.
This is just as government has also resolved to free the N58 bllion currently trapped with the Universal Basic Education Commission to rehabilitate about 1000 Schools across the 36 states of the federation
Minister of Finance, Kemi Adeosun disclosed this while speaking at the end of the two day economic retreat organized by the federal government which took place at the Presidential Villa, Abuja.
Adeosun who spoke in the presence of Chairman Nigeria Governors Forum and Zamafara Governor, Alhaji Abubakar Yari, Anambra State Governor, Chief Willie Obiano, as well as the Minister of Budget and National Planning, Udoma Udo Udoma, said government was in the process of identifying contractors with ongoing contracts as part of plans to further stimulate the economy.
“From the federal ministry of finance in anticipation of the approval of the budget , we have virtually lined up about N350billion which we would be pumping into the Nigerian economy in the forth coming months”
“We explained our rational and the processes that we have put in place, safe guards to ensure that this money actually achieves the desired objective which is to stimulate the economy”
“We are already discussing with some of the contractors who will be paid these monies and the objectives from the overall criteria is how many Nigerians would be re-engaged”
“We are specifically looking at contractors who have laid off staff and how many Nigerians are you going to put back to work as a result of this money that we are planning to release and we believe that this would bring significant economic activity”
The Minister noted that government, after deliberating extensively on the drop in revenue particularly as to how it affects the state government and their ability to pay salaries and obligations, resolved to put the measures in place to tackle observed challenges
“The general resolve of the house and consensus was that there was a need to bring in more cost efficiency in their operations”
She also declared that in particular the retreat looked at the setting up of the efficiency unit within the state governments, to rationalize expenditure and of course to increase internally generated revenue IGR.
“To that end there was a need to generate data because data is the basis of any revenue collecting efforts”
She also announced that both the Federal and state inland revenue services will collaborate to do join audits to invest in revenue, relevant technology and efforts to improve collection.
“There is a need to develop incentives for both federal and state revenue generating agencies to ensure that there is an alignment of interest”
“There is a focus at state level on property and consumption taxes to help in improving revenue in a fair manner. Tax payer education must be intensified and to expand the tax base and ensure that there is a buy-in in the revenue collection agencies from the populace.”
“State governors were encouraged where possible to rationalize numbers of commissioners and general political appointees and in addition cost control measures to be identified and implemented on an on-going basis and there was a sharing of best practices from a number of states that could be applied elsewhere.”
Speaking on the trapped funds with UBEC, the Minister noted that ” We also discussed UBEC and the need to get legislative approval to change the need for counterpart funding on the part of state governments which we feel is putting them further into debt, to reduce that requirement from a temporary period to 10% from the current 50%”
” And that will release an estimated 58 billion Naira that is currently un-accessed and it was discussed that with that money we could possibly address around 1,000 of the worst classrooms in each of the 36 states and rehabilitate them and ofcourse this would also create jobs and economic activity”
The retreat also resolved to make Nigeria self sufficient in various agricultural produce currently being imported into the country within specific time frames.
“We resolved to work together to make sure that by the end of this year, we will be self sufficient in tomatoes paste and by 2018, we will be self sufficient in rice production and by 2019 we will be self sufficient in wheat production.”
“We also resolve that the Ministry of Solid Minerals will present Solid mineral road map by March 2018.”