President Muhammadu Buhari on Monday challenged governors of the 36 states of Nigeria to devise creative ways to deal with mounting workers’ salary arrears, which might be a tacit indication that the hope of a bailout from the Federal Government might be farfetched..
Buhari while pledging to to ensure accountability, transparency and integrity in the distribution of funds in the Federation Account, noted that non payment of salaries is causing hardship to workers across Nigeria.
APC governor had about a forthnight agomade a spirited plea for a bailout from the Federal Government on the mounting salary bills. Buhari was silent on that possibility.
The president spoke while inauguratin the National Economic Council (NEC).
He asked the governors to be more prudent in the management of state fiances and to evolve measures to to boost their Internally Generated Revenue (IGR) to supplement income from the Federation Account.
He said that all revenues from the Nigerian National Petroleum Corporation, Nigerian Customs Service, Federal Inland Revenue Service, Nigerian Ports Authority, Central Bank of Nigeria, Nigerian Maritime Administration and Safety and the Liquefied Natural Gas, among others should be remitted into the Consolidated Revenue fund.
Buhari reminded the council members of issues and challenges facing the oil-rich nation, from insecurity to unemployment, corruption power shortages and his commitment to be visionary in order to surmount the challenges.
He made reference to remittances to the Federation Account by government agencies and pledged to ensure accountability and transparency in the distribution of funds from the Federation account.
“Your Excellencies, it is evident that the task of ensuring growth, job creation and equity, is quite enormous. Consequently, we must kick-start this process by cultivating a culture of prudent management of resources at all levels of government.
“This will entail looking inwards to secure sustainable ways of increasing Internally Generated Revenue (IGR), and harnessing growth potentials of each state to supplement the Federation Account allocation to states.
“I therefore urge council members to consider, as a matter of urgency, exploring efficient means of gradually liquidating all unpaid salaries of staff, which have brought untold hardship to thousands of families.”
The President also asked the states to undertake only projects that will meet immediate needs of the people within available resources while they should also cooperate closely on projects like interstate and feeder roads, soil erosion, desertification and other developmental programmes.
He said, “I would like also, as a former governor myself to remind us the need for neighbouring states to cooperate closely on projects such as interstate and feeder roads, soil erosion, desertification and other developmental programmes,” he stated.
He also advised the governors to remove politics from developmental programmes.
“Our country is one and we who have the responsibility to run it should lead by example. As far as is possible there should be distance between politics and developmental programmes,” he added.
Buhari also promised the Governors that the Federal Government will ensure greater accountability, transparency and integrity in the distribution of the Federation Account as it will abide by the provisions of Sections 80 and 162 of the Constitution.
“All revenue generating agencies such as Nigeria National Petroleum Corporation (NNPC), Nigeria Customs Services (NCS), Federal Inland Revenue Services (FIRS), Nigeria Ports Authority (NPA), Central Bank of Nigeria (CBN), Nigeria Maritime Administration and Safety Agency (NIMASA) and Liquefied Natural Gas (LNG) amongst others shall comply with stipulated financial regulations and administrative instructions in their remittances into the Consolidated Revenue Fund.”
The President also promised that he will continue the fight against Boko Haram, pointing out that the Armed Forces have shown renewed commitment and made steady progress in the fight against Boko Haram.
“I am also happy to reiterate that following my invitation to Germany early this month by the G-7 Nations who have shown concern about the insurgency and promised to intervene to restore the destroyed infrastructure, schools and hospitals amongst others, I have directed the front line states of Borno, Yobe and Adamawa to articulate realistic assessments, costs, locations on local government by-local government of affected facilities for submission to the President of the G-7 for further verification.
“In addition, the requirements of the military have been prepared by the Service Chiefs for the consideration of the G-7 Nations.”
The NEC which is headed by Vice President Yemi Osinbajo consist of 36 State Governors, the Minister of the Federal Capital Territory and Permanent Secretaries for the key ministries that have something to do with the economy.
President Buhari renews his pledge to abide by the Constitution of the Federal Republic of Nigeria. Buhari ruled with draconian laws during his days as the military head of state.
He also pledged his renewed commitment to the fight against the Boko Haram terrorists, urging front line states to articulate assessment of the destructions in their states for submission to the G7, which had requested for the document.
The Nigerian President further reiterated his high expectations from the National Economic Council.
President Buhari also urged them to separate politics from development programmes.
The NEC serves as an advisory body to the President on economic matters and is made of the 36 State Governors and select members of the Federal Executive Council.
According to tradition, the council is expected to be chaired by the Vice President, Professor Yemi Osinbajo.
With Ministers yet to be appointed, the Permanent Secretaries of some ministries such as finance, and national planning as well as the Governor of the Central Bank of Nigeria were at the inauguration.
The council will draw up the economic blue print for the current administration.
