President Goodluck Jonathan will today (Wednesday) present the 2015 budget proposal of N4.3 trillion to the joint session of both Senate and House of Representatives.
However, the presentation will be done through the Minister of Finance and Coordinating Minister for the Economy, Mrs. Ngozi Okonjo-Iweala, who also presented the 2014 budget.
Presenting the 2015-2017 Medium Term Expenditure Framework (MTEF) on Tuesday, Mrs. Okonjo-Iweala said that the proposed budget of N4.3 trillion for 2015 is not sacrosanct.
In a letter read by Senate President David Mark, President Jonathan said the oil benchmark price is pegged at $65 per barrel, stating that his request was in line with the provision of Section 81 (1) of the constitution of the Federal Republic of Nigeria, 1999 as amended.
He also said that he was familiar with the fact that the budget estimates are presented before the passage of the 2015-2017 Media Term Expenditure Framework (MTEF), due to the circumstances they faced in 2014.
This is the third time in two months that the MTEF has been submitted to the National Assembly with an oil benchmark of $65 a barrel.
The passage and consideration of the MTEF was a prerequisite for the passage of the Appropriation bill.
The President’s letter reads, “I write to request that the distinguished senate grant the honorable Minister of Finance, the slot of 11am on Wednesday to enable her lay before you the 2015 budget estimates.
“I am cognizant of the fact that the budget estimates are being presented before the passage of the 2015-2017 Medium Term Expenditure Framework (MTEF).
“This is due to the extra-ordinary global circumstances that confronted us in the latter quarter of the 2014 fiscal year.
“We would like to confirm that having submitted these budget estimates, we are not proposing further revision o the oil benchmark price.
“The uncertainty surrounding the global price of crude oil and it’s continuous fall has occasioned delays in both the submission of a final MTEF and budget estimates and we thus request your kind consideration of both these items together in view of our national budget calendar.
“We would like to confirm that having submitted these budget estimates, we are not proposing further revision of the oil benchmark price.
“Though prices continue to be extremely volatile at present and to trend further downwards, these are indications based on the price intelligence we have at this time, that prices may range between US $65- US $70 a barrel in 2015.
“Nevertheless, we would like to emphasize that there is no iron clad guarantee where oil prices are concerned due to numerous underlying global geo political factors that are outside our control and unpredictable should prices fall below the range, the country would have to make further adjustment.
“We hope that despite these circumstances, the Distinguished Senators will give kind and due consideration to the budget estimates in sufficient time for us to implement the 2015 budget starting early next year”.
