The Nigerian senate on Tuesday resolved to investigate the N27Trillion Ways and Means it approved during the Ninth Senate for the Muhammadu Buhari administration.
The decision came to the fore during deliberations on the report of the Joint Senate Committee on Banking, Insurance and other Financial Institutions, Finance, National Planning, Agriculture and Appropriation on its interaction with the Federal Government Economic Management Team on the state of the economy.
The interactive session was held last week.
In the report which was read by Senator Aetokunbo Abiru, Chairman, Banking, Insurance and Other Financial Institutions who was Co- chairman of the Committee, the lawmakers expressed displesure with the Ways and Means policy, which they noted had a destabilizing effect on monetary conditions.
Last May, the Senate had approved the request by President Muhammadu Buhari to restructure the N22.7 trillion loans the apex bank extended to the federal government under its Ways and Means provision.
The Committee in its report took a swipe at the monetary policy which it insisted instigated inflationary pressures.
Chief Whip of the Senate, Ali Ndume in his contribution, said details of the expenditure was not presented to the Ninth National Assembly.
He said:’ Mr President, I was not part of the plenary that gave the nod for Ways and Means but the detail of funds spent was not provided. This is illegal.”
Deputy Senate President, Barau Jibrin who incidentally was Chairman of the Senate Committee on Appropriation, corroborated Senator Ndume as he confessed that details of the expenses was not made available to the Parliament.
“It was approved for emergency, when they were brought, it was due to emergency. They told us because it was urgent. We said we are going to pass it but they didn’t bring the details. ”
The immediate past senate President and Senator representing Yobe North Ahmad Lawan, however expressed strong reservations about the lawmakers stance to investigate the Ways and Means.
Even as he admitted that the Senate under his leadership approved N22 trillion, not N30Trillion, the former Senate President claimed that the probe of the Ways and Means advances would not serve any useful purpose as he insisted that what was paramount in the minds of Nigerians was how to put food on their table.
He said:” There is nothing that National Assembly can’t review afresh. If sanctions are necessary, we can go ahead.
What the 9th NASS approved was N22 Trillion, in terms of Ways and Means. It wasn’t N30trillion and N819bn for infrastructure.
“If we had a Ways and Means that was N30trillion, that means something happened. So, if the figure we have today is N30tn, then we must investigate it.
“However, what Nigerians want today is food and security. So, let’s concentrate on what is urgent, which is the report of the joint committee on agriculture.
“In the immediate term, what bothers Nigerians is how to put food on their tables.”
President of the Senate however noted that the nation was experiencing economic challenges because of illegal things done by the previous administration.
“We are where we are today as a result of illegal things and I think it is necessary that details of Ways and Means be provided.”
Apart from the Ways and Means advances, the Red Chamber also resolved to investigate other interventions such as the N10Trillion Anchors Borrowers Programme financed by the apex bank.
The Committee recommendations read in part: “The government should prioritize liquidating the N30 trillion Ways and Means obligation of the federal government through a quicker resolution mechanism than the current securitization arrangement over a period of 40 years. In addition, the CBN should put in place measures to ensure the repayment of various intervention programmes by the beneficiaries after a thorough evaluation of their performance. These will help reduce money supply.
“Also, the ‘quasi-fiscal measures totalling N10 trillion of which the Anchor Borrower programmer is a major part should be further interrogated by the Committee with a view to plugging loopholes in future development finance activities of the Bank.
To promote fiscal discipline, the Senate urged the Tinubu administration to reduce “government expenditure to lower fiscal deficits and promote fiscal sustainability. In this connection exchange gains from naira depreciation should be used to wind down government deficits at all levels rather than expand the size of the budget.”
The Senate also recommended that government should ” Provide interventions in the area of food and transportation to alleviate the suffering of vulnerable Nigerians and mitigate the impact of economic challenges.”