2016 budget: FG directs MDAs to cut costs
All government Ministries, Departments and Agencies (MDAs) are expected to cut costs under the 2016 budget, Vice President Yemi Osinbajo has said.
The vice president said this in lieu of the need to control the expenditure of the Federal Government which, according to him, is too high.
Osinbajo stated this at the Presidential Villa in Abuja yesterday while meeting with permanent secretaries and directorgenerals for a sensitisation session on the 2016 budget and 2016-2020 Medium Term Plan.
He said President Muhammadu Buhari had directed that all agencies, including the military and universities, to join the Integrated Personnel and Payroll Information System aimed at curtailing “abuses in the salary and emolument processes.”
The spokesman of the vice president, Laolu Akande, quoted him as saying that the dwindling oil revenue as well as the high level of poverty in the country called for a change of budgeting system.
He said: “The greatest challenge to us is controlling ballooning recurrent expenditure and freeing up resources for growth-related capital expenditure. The government will do something about poverty, something more direct, different from how we have done it in the past. So, budgeting has to be done differently.”