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BudgIT frowns at omission of NDDC allocation in proposed 2022 budget

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A public advocacy group, BudgIT Foundation, has criticised alleged discrepancies within the proposed 2022 budget due to the omission of the Niger Delta Development Commission (NDDC).

This was contained in a statement issued on Monday by the organization’s Chief Executive Officer, Gabriel Okeowo, signed by the body’s Communication Associate, Iyanu Fatoba.

According to BudgIT, the omission of NDDC’s entire capital budget allocation from the proposed 2022 budget and public scrutiny is a source of concern.

Okeowo noted that this was especially worrisome considering the scale of alleged corruption and diversion of public funds that has bedevilled the agency since its establishment.

He said: “NDDC receives an average of N198.7 billion per year from the operating budgets of oil companies (between 2016 and 2018) in addition to the annual Statutory Transfers it receives from the federal government (the latter which is projected to be N98.7bn in the 2022 budget).

READ ALSO: Politicians have turned NDDC into a cash cow – Wike

“The list of new and ongoing projects to be embarked upon by NDDC with this estimated N198.7bn in the year 2022 is glaringly missing from the 2,168-page 2022 FG budget details document and the 2022 Appropriations Bill sent to the National Assembly.”

The BugdIT further urged caution over the servicing of debts by the Federal Government as detailed in the 2022 budget due to the economic situation of the country.

“The size of FG’s new borrowing plans in 2022 is a serious cause for concern, especially as the FG spent over 90% of all its revenue in servicing old debts between January 2020 and June 2021. Also, FG’s 2022 deficit of N6.26 trillion represents 3.39% of Nigeria’s GDP, which is above the 3% threshold set in Section 12(1) of the 2007 Fiscal Responsibility Act (FRA),” the organisation noted.

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