A Bill seeking to provide legal framework for the establishment of Budget Management office of the federation has passed second reading at the House of Representatives.
Sponsored by the Speaker, Mr Femi Gbajabiamila, and Mr Henry Nwawuba, the proposed legislation is to ensure effective regulation of budget preparation, presentation, implementation and auditing.
When passed into law, the bill shall also supervise full implementation of budget by ministries, Departments and Agencies-MDAs of the federal government, evaluate effectiveness of their programs, policies to ensure consistency with government priorities.
If fully established, the office shall further approve the withdrawal of funds from the federation accounts for the purpose of implementing the appropriations and provide quarterly reports of budget performances of the MDAs and to the National Assembly.
The Office shall also apply concrete indicators to measure the performance of the annual budget to ensure delivery of the expected development outcomes as set out in various development plans.
The bill however, proposed that the office be headed by a Director General of Budget who shall be appointed by the President for a period of six years and shall not be eligible for re-appointment.
The Director General shall serve as Chief Executive and Accounting officer of the office who will be responsible for the management of it’s daily affairs and he can from time to time, review the formats of requisitions and withdrawals of funds from the federation accounts.
The bill also proposes that the budget process calendar shall commence first week of June in each financial year when the Minister of Finance issues a Budget Call Circular to all the relevant Ministries, Departments and Agencies.
It states that all institutions of government shall, in compliance with the Fiscal Responsibility Act, formulate their budget for the fiscal year for submission to the relevant authority for incorporation into the National Budget not later than the first week of July in each financial year.
Similarly, the bill proposed that the President or his representative shall, not later than the second week of September in each financial year, present the annual budget to a joint session of the National Assembly for timely consideration by the two Chambers.
TSIBIRI SALIHU