Why 2020 Revised Budget Was Increased Despite Revenue Drop – Presidency

The Presidency has explained that the 2020 revised budget was increased to N10.8 trillion the need to tailor funds to address critical infrastructure gap and the consequences of the novel coronavirus (COVID-19) pandemic on the economy.
Umar El-Yakub, Senior Special Assistant to the President on National Assembly Matters (House of Representatives), said this in an interview with State House correspondents over the weekend.
President Muhammadu Buhari had on Friday signed the Appropriation (Repeal and Amendment) Act, 2020 of N10.8 trillion, which has N216 billion higher than what was initially proposed in the 2020 Appropriation Act into law.
El-Yakub noted that whereas the initial 2020 budget was benchmarked on $25 dollars per barrel of crude oil, the revised one had $28, which gave a bit of increased revenue.
He stated that the increase of the budget by the government is to prioritise infrastructure projects that will rejuvenate the country’s economy.
He said, “One needs to understand that the essence of the review is to prioritise government projects that will address infrastructure and ginger the economy more as well as address health issues.
“Because of the pandemic, investments are made in those regards and certainly you know that there are palliatives that had been initiated by the Federal Government in the phases of implementation.
“All those necessitated a new look at the budget so as to free certain amounts of money hitherto appropriated for certain projects which in the circumstances are not as expedient to prioritise.
“We looked at other infrastructure that need prioritisation so as to address the pandemic and the difficulties that it has brought to the lives of Nigerians.”
El-Yakub also spoke on the relationship between Executive and the 9th National Assembly, saying that it is a demonstration of the commitment of both sides to serve the people.
The presidential aide faulted the notion that the current National Assembly had become a rubber stamp for the executive.
“The secret is in the commitment on both the side of the federal government under the able leadership of President Muhammadu Buhari to serve the Nigerian people and also the commitment on behalf of the legislators in the National Assembly to live up to expectations and their call to duty to serve the Nigerian people as well.
“So it’s a relationship that is based on mutual understanding, respect and also the partnership in nation-building. It’s indeed a relationship that is predicated on service,” he said.