The supplementary budget, which will be financed through additional domestic borrowings, will raise the budget deficit for 2022 to N8.17 trillion.
By Emma Ogbuehi
The Senate on Wednesday passed President Muhammadu Buhari’s 2022 Supplementary Appropriation Bill of N819,536,937,813.00.
The passage came even as the Red Chamber of the National Assembly extended the implementation of the 2022 budget till March 31, 2023.
The passage followed the consideration and approval of the report of the Senate Committee on Appropriation, chaired by Senator Barau Jibrin.
Senator Jibrin said the amount was meant to complete ongoing capital projects, including roads and dams destroyed by flooding.
He added that the sum would be sourced from additional domestic borrowings by the Federal Government.
President Buhari, in his letter transmitting the supplementary budget to the National Assembly, stated: “The country has witnessed the worst flood incident in recent history, which has caused massive destruction of farmlands at a point already close to harvest season.
“This may compound the situation of food security and nutrition in the country.
“The flood also devastated the road infrastructure across the 36 states and the FCT and affected several sections of major roads and bridges nationwide that are critical for the movement of goods and services.
“The water sector was equally affected by the flood and there is the need to complete some ongoing critical projects that have achieved about 85 per cent completion.
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“The nine critical projects proposed in the sector cuts across water supply, dam and irrigation projects nationwide.
“I have, therefore, approved a Supplementary 2022 Appropriation of N819,536,937,813, all of which are capital expenditures.
“The supplementary budget will be financed through additional domestic borrowings.
“This will raise the budget deficit for 2022 to N8.17 trillion and deficit to GDP ratio to 4.43 per cent.”
Meanwhile, the Senate also on Wednesday extended the implementation of the 2022 capital budget till March 31, 2023.
This followed the consideration and passage of a “bill for an Act to amend the 2022 Appropriation Act in order to extend the implementation year from 31st December 2022 to 31st March 2023 and for related matters, 2022.”
The Senate, however, suspended its standing order 70 to enable it to read the Bill for the first, second and third time before its passage.
The Executive Bill was sponsored by the Senate Leader, Ibrahim Gobir.
He said it became necessary to extend the implementation of the capital appropriation for 2022 in order to allow for the completion of ongoing projects.
Gobir said the development followed a delay in the release of funds for the implementation of the capital component of the 2022 budget.
