Senate Set To Amend Fiscal Responsibility Act 16 Years After

Sixteen years into its existence, the Senate has resolved to amend the Fiscal Responsibility Act, 2007, based on the Medium Term Expenditure Framework (MTEF) report.

The FRC is one of the most critical Agencies of Government because its role is not just to monitor the fiscal policies but also to help generate what the monetary policies can achieve.

Speaking yesterday in Abuja during the ongoing 2023 budget defence and 2024 budget presentation at the National Assembly, Chairman, Senate Committee on Finance, Senator Muhammed Sani Musa, APC, Niger East explained that the Senate was going to work on the FRA, 2007 and look at those areas that they feel they can strengthen the Commission and also look at the area of human capital because there is no way we can have Fiscal Responsibility Act, 2007.

Musa said, “We are worried every day about the huge debt burden we are experiencing in Nigeria.

“We have made a law, and we must abide by those laws because most sub-national governments are not supposed to go to any bank to collect any overdraft without clearance or proof of compliance from the Fiscal Responsibility Commission.”

The Senator who assured the Commission that the Senate was ready to create a better working environment for the Fiscal Responsibility Commission, said that based on the input which the Commission has already started making at the National Assembly which is yielding positive results on revenue.

Musa who noted that the Upper Chamber was going to look into this at the Committee level and make a recommendation to the Senate, said that his hope is that the appropriation Committee would reason with them and do something about the Budget of the Commission.

In his presentation, the Chairman of the Fiscal Responsibility Commission, Barrister Victor Muruako

who appealed to the Senate Committee on Finance to continue supporting the Commission in Actualizing her mandate, however placed more emphasis on adequate funding in the successful implementation of the Act.

He therefore solicited the assistance of the Senate and expresses the willingness of the Commission to ensure higher remittances of revenue by the ministries, directorates and agencies.

Muruako who considered the proposal of independent revenue estimated to be N3m as an error and proposed a further increase to the sum of N20m, expressed hope that this is attainable, hence their proposal should be adjusted, just as he challenged other agencies to improve on their revenue drive.