BY REUBEN AYODELE
Budget is a yearly ritual that the executive arm of government makes yearly and passes to the national assembly for approval. In the case of states, governors send it to the state houses of assembly for approval and these budget are then send back to the president for accent in case of state governors accent to it ,making it the appropriation law for the year under review.
But the obvious facts about these budget and appropriation law are that the executive arm of government never follows its implementation to the later. In some cases implementation is below 45%.The type of budget system Nigeria operated is outdated and unrealistic ,a budget which lay more emphasis on recurrent and overhead cost by government rather than on capital expenditure. No country developed by allowing it operational budget to be more on recurrent expenditure.
A review, of the 2015 budget of Nigeria shows that the sum of N4,493,363,957,158(four trillion four hundred and ninety three billion three hundred and sixty three million nine hundred and fifty seven thousand one hundred and fifty eight naira only). Was pass as the 2015 budget of the federal republic of Nigeria, out of this amount N2,607,132,491,708(two trillion six hundred and seven billion one hundred and thirty two million four hundred and ninety one thousand seven hundred and eight naira only), is for recurrent expenditure. N953,620,000,000(nine hundred and fifty three billion six hundred and twenty million naira) is for debt services while capital expenditure is a meager N556,995,465,449,00(five hundred and fifty six billion nine hundred and ninety five million four hundred and sixty five thousand four hundred and forty nine naira only).The percentage breakdown of the 2015 budget shows that recurrent expenditure is 58.02%,debt services 21.22%, statutory transfer 8.36%, capital expenditure 12.40%,national assembly 8.36% of the Nigeria’s budget accruing to it through the recurrent expenditures.
How can the country grow its economy, overcome the binding constraints on growth to mobilize the necessary indexes to attain development, if we merely pay salaries and allowances and do not invest in capital expenditure? Recurrent expenditures are ballooning at the expense of capital expenditure. The change administration of president Muhammadu Buhari most strive to reduce this ugly trend if it is serious about moving Nigeria towards industrialization.
Nigeria cannot continue in this barber’s chair movement, were we are spending more money to service debt than we are currently investing in the development of our country. We borrow money to fund recurrent expenditure, which at most is used in paying salaries, allowances and overhead cost of running government. These situation is worrisome and if not properly nick in the bud may lead to collapse of government .The situation were the federal government fund more than 601 ministry, department and agencies (MDA) and also having 144 foreign mission is unacceptable . Why will the country still be running mission in Somalia, Iraq and Libya? This monumental waste is unnecessary.
The 8th national assembly must cut down cost of governance, the situation were the national assembly currently enjoy 8.36% of our national budget is irresponsible. A breakdown of senators salary and allowances shows that the senate president has a total annual basic salary of N2,484,242.50 and annual allowance of N6,210,606.25, making the total annual salary of N8,694,848.75 which brings the monthly salary to about N724,570.75 in an addition, he collects 250% of his annual salary as constituency allowance. However, his vehicles and maintenance of the vehicles are provided by the federal government. Senators receives basic salary of N2,026,400.00, they receives 75% of annual salary as allowance for vehicles and maintenance and another 75% of their salary for domestic staff,30%,for entertainment and 250% as as constituency allowance.
All senators who just concluded their tenure in the 7th national assembly all received certain percentages of their annual salary as gratuity. The 2015 budget as it is presently needs to be discarded or restructure. Because it cannot address the real change Nigerians desires. The administration of president Muhammadu Buhari should consider new sources of revenue generation to the treasury, aside this current monolithic economy which is solely dependent on oil and gas .The administration of change should stop this theft called petroleum subsidy by oil marketers which is an avenue use in milking the economy. Government at all levels should stop borrowing money to finance recurrent expenditures.
This administration should call out economic summit whereby each state will make presentation on the real state of it economy with a view of drawing out a master plan, which will project Nigeria economy towards industrialization. Government should cut down on the number of agencies and commissions which it’s currently operate and fund especially those who have duplication of duties.

sources:http://bnaijatalks..com/2015/07/2015-budget-movement-in-barbers-chair_12.html