Hon. Abubakar Kabir Bichi, Chairman of the House of Representatives Committee on Appropriation, shed light on the rationale behind the National Assembly’s decision to raise the 2024 budget from N27.50 trillion to N28.78 trillion.
Bichi clarified that the augmentation was prompted by assurances from government-owned enterprises (GOEs) to bolster their revenue generation in the upcoming fiscal year.
The harmonized budget, passed by both the House and the Senate on December 30, marks an increase of approximately N1.27 trillion compared to the initial proposal put forth by the president.
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The chairman emphasized the crucial role of revenue-generating agencies in this adjustment, highlighting their commitment to a substantial increase in revenue for 2024 to fortify the budget.
Hon. Bichi Justifies Budget Increment
“We had a meeting with the GOEs, and we believe that their submissions are not enough. They have agreed to increase their revenue. That is how we can get that 1.2 trillion which we applied to capital.”
Importantly, the additional funds allocated through the appropriation bill are earmarked for the capital component rather than recurrent expenditure. Bichi expressed confidence in the brilliance of the budget, emphasizing its positive impact on the nation. He noted, “This is the first time the capital (component) is bigger than recurrent.”
Citizen engagement played a pivotal role in shaping the budget, with contributions from the public gathered during a one-day town hall meeting organized by the House. The collaborative efforts of the National Assembly Joint Committee on Appropriations and the executive were instrumental in finalizing the budget.
During budget defense earlier in the month, Bichi urged government agencies to aim higher in revenue targets. Notably, he directed the Comptroller-General of the Nigeria Customs Service to raise the revenue target for 2024 to N6 trillion, up from the proposed N5.79 trillion.
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A similar call was made to the Nigerian Upstream and Downstream Petroleum Regulatory Commission, urging an increase in its revenue target to N6 trillion from the proposed N5.6 trillion.
This strategic move by the National Assembly reflects a concerted effort to align fiscal plans with anticipated revenue growth, signaling a commitment to financing crucial projects for the benefit of the Nigerian populace.
