The Federal Government of Nigeria says it has so far released N336 billion to its Ministries, Departments and Agencies for the execution of capital projects in the first quarter of 2017.
Speaking in a statement by Patricia Deworitshe, deputy director of information in the ministry of finance, Kemi Adeosun, Nigeria’s Minister of Finance, said this was less than the N350 billion she had hoped to release for the quarter.
“Given that N2.18 trillion was earmarked for capital expenditure for the year 2017, it is third quarter of the year and the Federal Government has a pending balance of N1.84 trillion to release,” she said. “The Federal Government has, to date, released a total of N336 billion from the 2017 Budget to Federal MDAs for funding of capital projects in the first quarter of 2017.”
“The balance of N14 billion is being processed, pending resolution of some formalities within the agencies concerned.
“Power, Works and Housing received the largest allocation of N90 billion, followed by Defence and Security which got N71 billion; transport got N30 billion.
Furthermore, agriculture received N30 billion and water resources got N12 billion.
Other sectors combined, received a total of N103 billion, she said.
Adeosun said the priority on the release of available funds was made in accordance with the objectives of the Economic Recovery and Growth Plan (ERGP).
Adeosun said that throughout 2017, the Nigerian Government will focus on capital expenditure spending on priority sectors to stimulate economic activities and job creation.
“Despite fiscal constraints, the Federal Government was able to fully cash-back the budgeted capital releases so far made, which is a reflection of the current administration’s commitment to economic development,” the minister said.
The 2017 budget is N7.44 trillion with statutory transfer projections of N434.41 billion, N1.84 trillion for Debt Servicing and N177.46 billion for Sinking Fund from maturing bonds.
Recurrent expenditure was projected at N2.99 trillion; capital expenditure, N2.18 trillion, and provision of N2.36 trillion was made for fiscal deficit, with deficit to Gross Domestic Product (GDP) put at 2.18 per cent.
