Nigeria submits to IMF, sets up asset evaluation team

The Federal government has exhibited an apparent readiness to sell government’s equity holdings in the national assets in Nigeria, in line with one of the conditions given by the International Monetary Fund (IMF).

The government has set up the Asset Tracking and Management Project (ATM Project) to locate, identify, and evaluate all its moveable and immoveable assets domiciled at various ministries, departments and agencies (MDAs).

IMF had advised Nigeria to sell its interest in some viable national assets, including NLNG, airports and others to qualify for loan facility and have resources to exit recession.

Though the Finance Minister, Mrs. Kemi Adeosun, while making the disclosure in Abuja at the weekend, failed to link the exercise to the condition from the financial creditors before Nigeria’s pending $1.2bn loan facility will be granted, she said the initiative would help government have a full value of the assets.

Adeosun stated that there will also be a Central Asset Register (CAR) to be kept at the ministry for recording the actual quantity, value, condition and location of all the capital assets belonging to the Federal Government.

According to her, under the International Public Sector reporting Standard (IPSAS), the Federal Government is expected to record both its assets and liabilities.

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“These are new initiatives of the Federal Ministry of Finance designed to enhance accountability, promote transparency and deepen efficiency in line with the change agenda of the administration of President Muhammadu Buhari.

“The asset tracking exercise and register will make planning and control easier and improve accountability for assets.

“With the increased allocation to capital expenditure to 30 per cent, it is important that all assets are recorded and accounted for.

“Where disposals occur, they must be in line with the laid down procedures and must be transparent.”

Officials of the ministry said the last visit a delegate of IMF made to Nigeria in January 2017 was informed that the ATM Project would first turn in its report before any further action could be taken on the possibilities of selling any of the national assets.

But a project coordinator, Adeosun said, has been appointed for the immediate take-off of the ATM Project and the creation of the first CAR for the Federal Government.

She stated that a circular had already been issued to all MDAs requesting their accounting officers to prepare an inventory of all fixed assets held as at December 31, 2016, to facilitate physical verification by the project team.

The circular, sighted by Ripples Nigeria requests all heads of MDAs “to ensure that any assets held by current and former staff are fully accounted for. In this regard, you may find it necessary to contact any former staff and/or political office holders to avail them the opportunity to return relevant assets in their possession

“All inventory records submitted will be cross-checked to capital releases and project account purchases to ensure completeness. Where assets have been sold or otherwise disposed of, they must be recorded with supporting authorisation for sale and evidence of payment, where applicable,” it says.

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