On Wednesday, the Benue State House of Assembly approved the 2024 supplementary budget of N170,894,473,135 billion.
This brought the 2024 budget total to N396,621,868,343 billion. The initial approved budget by the House was N225,727,395,206.97 billion.
The passed supplementary budget brings the total recurring expenditure for the year to N155,647,410,359 billion, while capital expenditure stays at N240,974,457,983 billion.
Before making any changes to the budget, the House requested the planning commission and the state budget to confer with Public Sector Entities to make sure their opinions are taken into account.
The legislators also asked the State Ministry of Finance to make sure that budgetary approvals are released to MDAs as soon as possible so that they can operate more efficiently.
In order to prevent role conflicts that could compromise the correct codification of the State Budget at the Nigeria Governor’s Forum, they urged the state government to make sure MDAs continue to use their official nomenclature.
Earlier, Cephas Dyako, chairman of the House Standing Committee on Appropriation, stated that there was extra-budgetary expenditure on recurrent expenditure and overhead costs by Public Sector Entities, and that most MDAs performed poorly as a result of fund non-release.
Bernard Nule, the Clerk of the House, read the bill for the third time, and it was subsequently enacted into law.
Final Thoughts
This move likely aims to address critical needs or gaps in the initial budget, particularly in sectors requiring immediate financial attention.
However, the key challenge here will be ensuring that the supplementary funds are efficiently and transparently utilized, given the past concerns about the poor performance of many MDAs (Ministries, Departments, and Agencies) due to non-release of funds.
The Assembly’s emphasis on ensuring that the planning commission and public sector entities are consulted before making any budget changes is a positive step toward a more inclusive and thoughtful budgetary process.
Engaging these stakeholders helps in addressing practical needs and avoids potential pitfalls in the allocation and disbursement of funds.
However, the extra-budgetary expenditure mentioned by the House Standing Committee on Appropriation raises questions about financial discipline and accountability.
It signals a recurring issue with recurrent and overhead costs, suggesting a need for better fiscal management to avoid inefficiencies.
The legislators’ call for the Ministry of Finance to ensure timely release of budgetary approvals to MDAs is crucial. Without timely funding, the effectiveness of the supplementary budget could be undermined.
