An investment analyst, Mahmood DanAudu, has knocked the Minister of Finance, Wale Edun, over alleged failure to dutifully implement the 2024 budget.
He said the poor capital budgetary releases not only pose a grave threat to the nation’s economic development but also creating a negative image for Bola Tinubu administration.
DanAudu, who claimed that releases for overhead cost and intervention funds for the 2024 budget are 100 percent, alleged that capital releases so far were about 20 percent even though the lifetime of the 2024 budget ends in June.
“How can we have a minister that is comfortable with about 100 per cent releases for the overhead cost and intervention funds but has refused to release funding for capital projects as a result of which most contractors have abandoned sites? Do we expect to build a virile economy under this scenario?”
He alleged that those saddled with the responsibility of ensuring budgetary releases were concentrating on areas that benefit them and some people while ignoring the main budget (capital) which benefits all.
He noted that such an act was making the APC-led government unpopular, noting “those doing this are sabotaging the government and may well be working for the opposition.”
He accused the Accountant General of not helping matters by failing to advise against starving contractors of funds with a plethora of projects abandoned.
“This non-release of funds has led to many contractors leaving sites and this will lead to variation and more spending by the government. Because contractors are not being paid, jobs are not being commissioned. MDAs are grounded. It is only FCT that is not on TSA that is working. We cannot justify the fact that about two months to the expiration of the 2024 budget calendar, only 20 percent of capital release has been made.”
He claimed that non-release of funds for the 2024 budget has made many Nigerians to lose hope on government ability to fund the 2025 budget.
“We are tempted to believe that the 2025 budget is not realistic. It’s mere deception and propaganda since we did not achieve more than 20 percent of the capital vote for the 2024 budget.
“In spite of devaluation, increase in fuel price and huge borrowing, people are being told that there is no money to fund projects. This is a clear attempt to portray the government in a very bad light. We suspect sabotage. This whole thing is making the government unpopular as a lot of contractors have lost confidence and hence abandoned sites. Residents and other immediate beneficiaries of the projects are disenchanted.”
He hinted at plans to sabotage the government’s bottom-up method of payment and urged President Tinubu to “watch the deliberate attempt to sabotage the bottom-up system of payment which is the best and help to guard against sharp practices.”
Under the Bottom-up system, payment is initiated from the ministry up to the Office of the Accountant General. It guarantees transparency and makes it impossible for anyone to be paid for a job not done.
DanAudu said those trying to circumvent it were not just enemies of the government and the people but economic saboteurs who should be shown the way out and replaced by persons that will work towards building favourable support for this government as the build up to the 2027 election intensifies.
“I am appealing to the president to overhaul the leadership of the finance ministry to avoid further damage to the nation,” he noted.