2016 Nigeria budget analysis.Would the 2016 Nigerian budget ever be signed? Will it ever get off the ground?That's the 2 billion Naira question asked by every Nigerian.But alas,if the latest reports are to be believed,it's about to indeed be signed by President Buhari.
According to DailyTrust, the FG has set out “34 strategic priority programmes and projects” that it intends to achieve beginning with the 2016 budget. According to the Minister of State for Budget andNational Planning, Zainab Ahmed, the 34 priority areas categorised into thematic areas are:
* To achieve and maintain a capital spend minimum of 30 percent annually with the objective to reflect the economy and enhance employment generation capacity for the productive sector.
* To achieve an appropriate exchange regime to achieve a predictable exchange rate by the end of 2016.
* To increase low interest lending to the real sector at single digit “maybe nine percent” in order to increase output and growth.
* (On diversifying the economy) To attain self-sufficiency in tomato paste in 2016 and rice production by 2018.
Nigeria spent $2.41 billion on rice importation between January 2012 and May 2015 and another $1bn on tomato paste importation.
*To increase local production of maize, soya beans, poultry and livestock and to stop import. The deadline for these to be announced later in the year.
*To expand the agro- allied sector to intensify local production of cassava, cocoa, cashew nuts, fruits and sesame seeds.
* To make use of 5,000 hectares arable land in 12 River Basin Development Authorities and to utilise 22 dams for commercial farming.
Priorities under power, rails and road
*To optimise up to 7,000 megawatts installed capacity with the associated infrastructure in order to enhance investment, productivity and employment.
*To complete the Kaduna-Abuja-Ajaokuta railway lines in 2016.
*To commence the construction of the Lagos – Kano standard gauge rail line and also to finalize the negotiation regarding the Calabar-Lagos rail line.
The objective of this is to increase availability of mass transit, to relief pressure on road infrastructure.
*To undertake the rehabilitation and construction of 31 major projects and restore the degraded sections of some major high ways and improve connectivity over a distance of 210,093 kilometres through public works maintenance, Public Private Partnership (PPP) and other interventions.
*To adopt and execute comprehensive national oil and gas policy which is supposed to be the road map for the petroleum industry development diversification as well as privatisation.
*Sets a three-year deadline to achieve self-sufficiency in refined petroleum products and to become a net exporter of petroleum products.
*To push for the passage of the Petroleum Industry Bill (PIB).
*(Ease of doing business) Sets target to move 20 places up the ranking from 169 to 149 by fast-tracking business approvals, acquisition of land titles, issuance of visas for persons seeking to come into the country do business.
*To invest in the lives of our people by implementing various social projects covering health and education.
* Government to rehabilitate 5,000 primary health centres in 5,000 wards this year to deliver affordable health care services to Nigerians as close as possible to their homes