MDAs get Sept 5 ultimatum to submit 2022 budget proposals

The Federal Government has directed all Ministries, Departments and Agencies of government to submit their 2022 budget proposals before September 5.

The directive was contained in a circular issued by the Budget Office of the Federation which was signed by its Director-General, Ben Akabueze.

The circular, was titled, “2022 budget submission deadline” and dated September 2, 2021.

It was addressed to the Chief of Staff to the President; Deputy Chief of Staff to the President; Office of the Vice President; Ministers/Ministers of State; Secretary to the Government of the Federation; Head of the Civil Service of the Federation; Chairmen of Commissions; and Permanent Secretaries.

Others are Service Chiefs or Inspector-General of Police; Auditor General for the Federation; Accountant General of the Federation; Heads of Extra Ministerial Departments or Directors-General; Chief Executive Officers of Parastatals and Agencies.

It reads in part, “Please refer to the 2022 Budget Call Circular Par. 7 which explicitly required government owned enterprises and MDAs to make their 2022 budget proposal submissions online using the Building Information Modelling and Management Solutions/ Government Integrated Financial and Management Information System -Budget Preparation Subsystem not later than Friday, August 27 and September 3, 2021 respectively.

“The Ministry of Finance Budget and National Planning has committed to Mr. President submitting the 2022 budget proposal to the National Assembly this September 2021, in full compliance with the Fiscal Responsibility Act 2007.

“Ministries Department and Agencies are hereby advised to fully comply with the final submission date of Friday, September 3, 2021.

“The GIFMS -BPS Platform wall be closed to MDAs for Budget upload by midnight Sunday September 5, 2021.”

The circular noted that MDAs must include the revenue sources and not just expenditures in their budget submissions.

“For avoidance of doubt, every single MDA is required to populate the Revenue Section on the GIFMIS BPS except for self-funded agencies that are only required to upload the budget on the BIMMS,” it added

It was reported last week that the Federal Government had barred MDAs from introducing new capital projects in the 2022.

It also urged MDAs to accord priority to ongoing projects especially those nearing completion that fit into government’s current priorities when allocating capital budget resources.

As a general rule, the Federal Government said MDAs may not be allowed to initiate new projects unless they can demonstrate that adequate provisions have been made for ongoing projects.

In addition to alignment with the objectives of the Medium-Term National Development Plan, the government stated that projects with likelihood of completion not later than 2024, should be considered in prioritizing capital projects.

It stated that only expenditures on projects that are truly of a capital-nature will be admitted into MDAs’ capital budget proposals.

In addition, it said capital projects must be linked to Ministerial Mandates as well as the Medium Term National Development Plan.

The government reminded MDAs not to provide for recurrent expenditure in their capital budget as a way of subverting the recurrent expenditure ceilings.

The government explained in the document that the Budget Office would reallocate any such provisions to Capital Projects that are outside the MDA as it deems appropriate.

(The PUNCH)