A financial expert, Prof. Sheriffdeen Tella, has urged the Federal Government to channel the N350 billion it would soon release for capital projects into critical sectors to promote ease of doing business.
Tella, Professor of Economics, Olabisi Onabanjo University Ago-Iwoye, Ogun, gave the advice in an interview with the News Agency of Nigeria (NAN) in Lagos.
He said that the money should be committed particularly to transport and power sectors to reduce cost of goods and services.
Tella told NAN that the nation’s infrastructure deficit was enormous, urging that the fund should be used judiciously.
He also called for prompt release of the fund.
“If the fund is released early next quarter, given bureaucratic processes, the effect will not be felt until the following quarter as shown by our recent research results.
“The earlier the fund is released, the better, “Tella said.
NAN reports that the Federal Government said on June 19 that it was set to release the first tranche of N350 billion to its Ministries, Departments and Agencies (MDAs) for the implementation of the 2017 Budget.
The Minister of Finance, Mrs Kemi Adeosun, gave the assurance during the public presentation of the 2017 Budget.
Adeosun said that a cash plan meeting would soon be held where the fund would be released to the MDAs.
“We are ready to make releases as soon as the budget is loaded.
“ We have a cash plan meeting, and we will release the first tranche of N350 billion for capital projects,” she said.
NAN reports that the 2017 Budget tagged, “Budget of Recovery and Growth’’, was presented to the National Assembly on Dec. 14, 2016, and passed by the lawmakers on May 11.
It was signed into law by Acting President Yemi Osinbajo on June 12.
The budget has a total expenditure outlay of N7.44 trillion, out of which N2.99 trillion is for non-debt recurrent spending, N2.36 trillion for capital expenditure, while debt servicing is to gulp N1.66 trillion. (NAN)