President Muhammadu Buhari has disrupted the annual budget Key Performance Indicator (KPI) schedule for ministries, departments and agencies (MDAs) from yearly to quarterly. From yearly performance assessment, MDAs are now to be assessed on a quarterly basis.
Minister of Finance Budget& NationalPlanning, Mrs. Zainab Ahmed, confirmed President Buhari’s MDAs KPI latest position during the budget breakdown. She premised the decision on determination to implement the 2022 fiscal budget to substantial levels. Ahmed said all top government officials on performance mandate were being spot-lighted for assessment.
The Minister disclosed this as she was tasked with explaining how the government would implement the 2022 N17.1 trillion budget given that most MDAs default in revenue remittance to the Consolidated Revenue Fund (CRF) accounts. “We are continuously working on our fiscal laws We are also working with themonetarypolicyauthorities to ensure we have good and acceptable policy.
“Federal government is measuring MDAs on KPI. KPI for MDAs used to be on yearly basis but Mr. President has moved it to quarterly basis. Its good because everybody is on the spot. We are strongly convinced we will do better in 2022. The Finance Act has been signed into law by Mr. President, having been passed by the NationalAssembly,” Ahmed explained. She said the Buhari administration was fully committed to the implementation of Strategic Revenue Growth Initiatives (SRGI), a strategy developed to improve government revenue and entrench fiscal prudence with emphasis on achieving value for money.
These measures include improving tax administration framework, and tax filing and payment compliance improvements. Others are evaluation of the process and policy effectiveness of fiscal incentives, review of sectors eligible for Pioneer tax holiday incentives under the Industrial Development Income Tax Relief Act (‘IDITRA’); dimensioning the cost of tax waivers/concessions, and evaluating their policy effectiveness, setting annual ceilings on tax expenditures to better manage their impact on already constrained government revenues and ensuring that MDAs appropriately account for and remit their internally generated revenue.
The minister said that government revenue earnings from independent revenue sources had significantly improved. “As at November 2021, we had surpassed all collections for FGN independent revenues from 2017 to date. This reflects performance of our revenue growth initiatives for this revenue stream.