FG removes professional bodies, councils from budget funding

With effect from 2026, the federal government will no longer subsidize professional organisations and councils.

Ben Akabueze, Director General of the Budget Office, announced this in a circular to the Nigerian Council of Food Science and Technology Fed. Min. of Science, Technology, and Innovation dated 26th June 2023, DG/BDT/GEN.CORR/2016/XII/3067.

According to Akabueze, the judgment was consistent with the Presidential Committee on Salaries, PCS.

He stated that the implementation would begin on December 31, 2026.

“I am writing to inform you that the Presidential Committee on Salaries (PCS) approved the discontinuation of budgetary allocation to Professional Bodies/Councils effective 2026 at its 13th meeting.”

“The purpose of this letter is to inform you that, in accordance with PCS’s directive, this Office will no longer make budgetary provisions to your Institution as of the above-mentioned date, and you will be considered a self-funded organization.”

See also  Why we increased PoS fees - Mobile money agents

“For the avoidance of doubt, you will be required to be fully responsible for your personnel, overhead, and capital expenditures as of December 31, 2026.”

The development coincides with the government’s goal to reduce the expense of governance.

With a total debt stock of roughly N49.85 trillion, excluding the Central Bank of Nigeria’s N22.719 trillion Ways and Means loan, Financial Experts are concerned about the country’s debt sustainability.

DMO was concerned that the federal government’s debt service to revenue ratio of 73.5 percent for 2023 surpassed the suggested level of 50%.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button