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Kaduna govt splashes 93.55% of wage bill on civil servants

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2 years ago

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A total of N3.1bn of Kaduna State’s N4.49bn March 2021 wage bill went into paying the salaries of civil servants in the state.

Kaduna State Government stated this, saying its 31,064 civil servants alone earned 93.55 percent of the state’s total wage bill for that month.

It added that pension payments and contributions for salaries of primary healthcare workers gulped N1.1bn while 337 political appointees were paid N259m also in March.

The government explained that the N4.49 billion does not include the wages of local government employees.

The breakdown is contained in a statement by Muyiwa Adekeye, Special Adviser on Media and Communication to Governor Nasir El-Rufai.

He explained that the breakdown was necessary in view of claims in some quarters  that the salaries of  political appointees gulp a large chunk of the state’s personnel cost.

Adekeye said, “The state government’s total wage bill in March 2021 was N4.498bn. That month, the direct salary bill was N3.39bn, as the 31,064 state civil servants earned N3.13bn, while the 337 political appointees were paid N259.17 million.

“Other components of the monthly wage bill were: payments of N478.8m to pensioners on defined benefits, N253.72m as the state government’s 40 percent contribution to the salaries of primary healthcare workers, N197.4m as eight percent  pension contribution and N173.3m for the  five per cent  retirement benefit bond.”

The statement also dismissed the suggestion that the government should  use part of  its Internally Generated Revenue(IGR)  and all Federal Accounts Allocation Committee (FAAC) revenues to  maintain its machinery and pay its less than 100,000 workers.

Adekeye recalled that the government announced its intention to right-size its workforce in April, as part of efforts to manage its fiscal challenges. He added that the exercise would affect political appointees and civil servants.

He said, “In April 2021, the government also released details of its FAAC receipts and personnel costs in the six months leading to March 2021. These figures showed that personnel costs account for between 84.97 percent and 96.63 per cent of the state’s FAAC revenues.

“In November 2020, government had only N162.9m left after paying salaries. That month, the state got N4.83bn from FAAC and paid N4.66bn as wages. In March 2021, the state had only N321m left after settling personnel costs.”

He further said that the government  got N4.819bn from FAAC and paid out N4.498bn, representing 93 percent of the money received.

“The balance cannot cover the funding requirements for standing orders, security, and other costs essential to running the government, and the total does not include the wages of local government staff,” Adekeye added.

According to him, the government which was the first to pay the current minimum wage in September 2019 will continue to honour this commitment.

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Naira redesign hardships: We’ll reconvene before elections if… – Gbajabiamila

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10 hours ago

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February 6, 2023

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Speaker of the House of Representatives Femi Gbajabiamila
The speaker of the House of Representatives, Femi Gbajabiamila, has said that the House would have no option but to reconvene before the February 25 elections if the Central Bank of Nigeria, CBN, failed to address the hardships Nigerians face due to the currency swap policy.
A statement by the spokesman for the speaker, Lanre Lasisi, Mr Gbajabiamila said the House would continue to monitor the CBN’s implementation of the policy closely following the Green Chamber’s meeting with the CBN governor, Godwin Emefiele, on the issue.
Speaking during a town hall meeting with some ethnic groups in Surulere, Lagos, on Sunday, Mr Gbajabiamila said he was on the verge of signing an arrest warrant against Emefiele following his initial failure to appear before an ad hoc panel of the House.
“The House of Representatives intervened on several occasions. We summoned the CBN governor the first time and again, but he refused to answer, because we had many hard questions for him.
“It was until I issued the threat of warrant of arrest before he came, and I would’ve signed that warrant; it would’ve been the first time in the history of National Assembly that a CBN governor would be arrested. I would’ve done it.
“Many have argued on the independence of CBN, the autonomy of CBN. That does not make CBN above the law. The constitution gives the House the power to issue an arrest warrant against anyone, we can summon anybody, and that was exactly what the House was going to do until the CBN governor came.
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“So, we are watching, and we are monitoring very closely. If need be, we will reconvene the House, even though we’ve all been away for our elections. I will call the House back, if need be.”
Mr Gbajabiamila also said that amidst the ongoing hardship, the presidential candidate of the APC, Asiwaju Bola Ahmed Tinubu, has identified with Nigerians and faulted the implementation of the policy at this time, which necessitated the extension of the deadline for the collection of the old currency.
“On the currency swap, let me explain something to you. We are all very intelligent people. Many are suffering, we have paid your salary, and you cannot withdraw it; people cannot eat, what kind of thing is that?
“But I have news for you. There’s one man who is running for president of this country, and that man has courage and audacity. This man came out boldly and identified the problem, that the fifth columnists, in cooperation with the PDP are the ones trying to sabotage this election.
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“Many have said he’s talking about Buhari, but he told them ‘no, I’m not talking about Buhari; I’m talking about fifth columnists.’ If you don’t know the meaning of fifth columnists, go and check your dictionary. Fifth columnists infiltrate people, they even infiltrate families, otherwise how do you explain this type of policy?
“The president, being a compassionate person that he is, has asked for a few more days to look at everything that is going on and see if anything could change. We pray that things will change. If nothing changes, we will intervene again, but be sure of one thing: that Asiwaju Bola Ahmed Tinubu stands with you and stands with Nigerians in their suffering.
“He was the first to shout that what is going on? He has cried, he has begged, he has screamed that people are suffering, what did the PDP candidate say? He said, ‘no, CBN don’t listen to them; you must not extend this thing; let people continue to suffer.’ That is what the PDP candidate said. He said it publicly.
“So, you have the tale of two presidential candidates: one who stands with the people and says this currency swap must stop; the second one says,’ no, it cannot stop, it’s a good policy. CBN, don’t listen to him. Let the people continue to suffer.’ I leave the rest to you to determine who is with you and who is against you.”
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Osinbajo picks holes in naira redesign policy, says scarcity of notes ‘is disturbing’

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1 day ago

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February 5, 2023

By

Vice-President, Yemi Osinbajo

Osinbajo on Friday urged the Central Bank of Nigeria (CBN) to engage financial technology companies (fintechs) as well as mobile money agents to address the issue of getting new naira notes across the country.

Vice-President, Yemi Osinbajo, the second man in the President Muhammadu Buhari’s administration, has described as “disturbing” the inability of Nigerians to have access to the new naira notes and the ongoing naira scarcity which has caused protest nationwide.

Osinbajo on Friday urged the Central Bank of Nigeria (CBN) to engage financial technology companies (fintechs) as well as mobile money agents to address the issue of getting new naira notes across the country.

Osibanjo, in a meeting with some fintech stakeholders, expressed worries over the difficulty in getting new naira notes and advised the CBN and commercial banks to address the situation immediately.

“You need cash to pay for transport. For instance, in Abuja, how do you take ‘drop or along’ or use a Keke NAPEP without cash, or buy foodstuff on the road or in canteens, or even buy recharge cards?” Osinbajo said, according to a release by Laolu Akande, his spokesperson.

“Parents with kids in public schools give money daily to their children for lunch, most commerce is informal, so you need cash for most things.

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“It seems to me that banks must engage their mobile money operators. Fintechs with mobile money licenses and many of them have micro-finance bank licenses now and already have a network of mobile money agents or human banks or human ATMs (as they are sometimes called) who are responsible for them and they can supervise themselves. They can do currency swaps and open bank accounts.”

Speaking further on the redesign of the naira notes, Osinbajo lamented the scarcity of the new notes.

“More disturbing is the fact that after depositing your old notes, there are no new notes, so people everywhere in the urban areas and rural areas simply have no money,” he said.

“There are logistical challenges that have to be addressed by the CBN and the banks, especially from the point of view of the average Nigerian and those in the hinterland who hardly use any electronic platforms.”

Osinbajo also said while there has always been a certain failure rate in online banking and money transactions, they have become even more difficult now with the increase in the number of transactions congesting the system.

 “So where in the past you used POS or any of the electronic platforms, you had maybe 20 percent to 30 percent failure rate, now because everyone is trying to get on those platforms, obviously, the failure rate is much more and the problems are much more pronounced,” the Vice President noted.

“We really need to make progress even as we make efforts to deal with some of these issues confronting us today,” he said. SR

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Senate gives Aregbesola 24hrs to defend N700m collected to monitor Edo, Ondo elections

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1 day ago

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February 5, 2023

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Minister of Interior, Ogbeni Rauf Aregbesola

THE Senate has given the Minister of Interior, Ogbeni Rauf Aregbesola twenty- four hours ultimatum to appear before it and defend the N700 million the ministry  collected from Service Wide Votes, SWV for the monitoring of Ondo and Edo Governorship elections.

The Chairman, Senate Committee on Public Accounts, Senator Matthew Urhoghide gave the directive to the Permanent Secretary of the Ministry , Dr Shuaib  Belgore due to excuse by the Ministry that the N700 million would  be accounted for by the Nigerian Civil Defence Corps (NSDC).

According to the Committee, from the record, the money was released in two batches, N400 million for Ondo Governorship election and N300 million for Edo Governorship Election.

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This is contained in the Authority to Incur Expenditure (AIE), a document produced by the office of the Accountant General of the Federation which shows that  N400 million was released  to the Ministry of Interior for logistics and operational support in respect of forthcoming Ondo state gubernatorial election.

The second release read that N300 million was released to the Ministry of Interior for logistics and operational support in respect of forthcoming Edo state gubernatorial election.

According to the Permanent Secretary, it is the NSDC that will account for the money, we only make request on behalf of the NSDC.

Not satisfied with the defence of the Permanent Secretary, the Chairman of the Committee, Senator Urhoghide  said that the excuse was  not tenable because the NSDC did not collect the money , it was the Ministry that collected the money.

Urhoghide who noted that the NSDC will only come before the Committee to account for the money requested personally from Service Wide Votes, said, ” NSDC has their own queries , they are coming before the Panel to respond to the one that bears their names, they have the money given to them directly.

“From our records, it is your ministry that will defend the expenditures not NSDC.”

The Chairman who  thereafter gave the Ministry 24 hours to defend the N700 million for the Edo and Ondo governorship elections, said, ” You have 24 hours to make your report available to us, we must get explanation from you.”

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