ABUJA – Unprecedentedly, the National Assembly approved the 2018-2020 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) simultaneously with Second Reading of the 2018 Budget yesterday.
They also suspended plenary until December 19, 2017, to enable the various Committees work on the respective envelopes that make up the budget for final approval at the plenary.

The MTEF and the FSP are the parameters on which the Budget is based. They were supposed to have been determined and passed by the NASS at least three months before the budget is presented to the legislators.
However, the documents were forward to the NASS barely a week before the 2018 Budget was presented to a joint sitting of the Senate and the House of Representatives.

In the documents the NASS resolved that benchmark for crude oil production of 2.3 million barrels per day (mbpd) and ?305/US Dollar as proposed by the executive for the 2018 Budget was adopted.
The NASS however adopted $47 as against the proposed $45 per barrel benchmark for the fiscal year 2018.
This is in consideration of the current positive outlook in the global oil market and expectation that OPEC and other allied oil partnership countries will sustain oil production “cuts deep” into 2018.
They further adopted projected ?5.279 trillion for non-oil revenue and ?1.699 trillion new borrowing for 2018 as proposed by the Executive.

Moreso, the NASS adopted 3.5 percent growth rate especially with the latest figures indicating a doubling of growth rate to 1.4 percent in third quarter, 2017.
They also chorused that the CBN should adopt measures to close the gap between the parallel market and the official exchange rate.

The federal lawmakers also enjoined revenue generating agencies to intensify efforts on collections and measures that would reduce revenue loss.
They sounded that loans must be project-tied stressing that borrowing more, government must remain focused and ensure it is used to fund critical projects that will increase productivity and contribute to financing such debt.
Meanwhile, a Bill for an Act to authorise the issue from the Consolidated Revenue Fund of the Federation the sum of N8.6 trillion passed through second reading yesterday at the NASS
This followed conclusion of a week-long debate on general principles of the Bill by the lawmakers at plenary.
Out of the N8.6 trillion for the 2018 Budget estimates, N456 billion is for Statutory Transfer and N2 trillion for Debt Service.

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It proposed N3 trillion for Recurrent-Non-Debt Expenditure and N2 trillion for contribution to the Development Fund for Capital Expenditure for the year ending December 31, 2018.
In his remarks, President of the Senate, Dr Bukola Saraki, commended the lawmakers for taking out time to make contributions to the general principles of the Bill.
He urged standing committees to work within the two-week time frame given for defence of the budget, which would commence on Wednesday through December 18.
Saraki called on Ministries, Departments and Agencies (MDAs) to comply with invitations for the defence of the budget.

“We know that the time-table is very tight and we will be suspending plenary to enable us start the defence. Committee chairmen and members should please ensure to keep to the time-table.
“I want to therefore use this opportunity to issue a warning to heads of MDAs to strictly respect the letter of invitation to attend the defence.
“This is not time for excuse for ministers or heads of parastatals to be travelling and not be able to attend the defence.

“We do not have the time. It is a very short timetable so that the committees can wrap up to be able to present their reports by the time we resume on December 19.
“Also, the Appropriation Committee should take note of the comments of the Deputy President of the Senate, Ike Ekweremadu.

“The committee should particularly note the aspect where he talked about making it mandatory for the executive to come back to us for expenditure in excess of the budget or the benchmark,’’ he said.
He announced that there would be a public hearing on the budget in the course of the week to enable the public have input before its passage.

The Bill was referred to Committee on Appropriation with directive to return it to plenary on December 19 when plenary was adjourned to allow standing committees to commence budget defence.
President Muhammadu Buhari had on November 7, presented the 2018 Budget Estimates of N8.6 trillion to the joint session of the National Assembly.