“Challenges in Nigeria’s Budget Defence: The Need for Adequate Funding”

The 2024 Appropriations Bill has recently been approved by the House of Representatives following an extensive debate and examination of the legislation. Subsequently, numerous details and concerns have surfaced during the ongoing budget defence with various governmental departments and agencies.

One significant disclosure was made by the Minister of Solid Minerals, Mr. Dele Alake, during his ministry’s budget defence. He revealed the involvement of influential figures in illicit mining activities, associating them with the funding of banditry and terrorism nationwide. Without directly identifying individuals, the minister emphasized the necessity to address these issues and engage illegal miners through cooperatives to mitigate further security threats.

Furthermore, the minister underscored the budget allocation for the solid minerals sector, expressing that the insufficient capital budget of N24 billion would hinder the achievement of the sector’s goals. He appealed for a budget increase to N250 billion for exploration, citing its potential to significantly contribute to the country’s revenue and economic growth.

In addition to the solid minerals sector, the House Committee on Appropriation and the Nigeria Customs Service (NCS) have set a revenue target of N6 trillion for the year 2024. The Comptroller General of NCS, Adewale Adeniyi, expressed confidence in meeting this target with necessary measures and policy adjustments.

Furthermore, the House Committee on Customs and Excise recommended the establishment of a tripartite committee comprising the Central Bank of Nigeria (CBN), Ministry of Finance, and the Nigeria Customs Service (NCS) for coordinated fiscal and monetary policies. This initiative aims to enhance transparency and facilitate open dialogue on critical decisions impacting trade and economic growth.

As the budget defence activities continue, it is evident that the government is grappling with significant challenges, including underfunding and security threats related to illegal mining. While daunting, these issues underscore the crucial need for proper financial allocations and strategic collaborations to surmount these challenges and unlock Nigeria’s economic potential.

In summary, the ongoing budget defence sessions have brought to light pivotal issues that demand immediate attention and action. Adequate funding for sectors such as solid minerals, ambitious revenue targets, and coordinated fiscal and monetary policies are imperative to address these challenges and propel Nigeria towards sustainable economic growth and development. The government must carefully deliberate on these matters as it finalises the budget ahead of the upcoming Christmas and New Year break.