12.4.16

Read Ministry of Budget and National Planning's statement on the controversial Lagos- Calabar rail project


Read the statement as released by Akpandem
James, Media Adviser to the Minister of Budget
and National Planning, Udoma Udo Udoma
below.
In view of the recent controversies
surrounding the 2016 budget, it has
become necessary to state the following
so as to set the facts straight:
The details of the 2016 budget were
received by the President on Thursday,
April 7, 2016.
Immediately this was received the President,
desirous of signing the document into law as
soon as possible, directed that copies should be
made available to Heads of the various
Ministries, Departments and Agencies (MDAs) of
the Federal Government.
Ministers were asked to go through the details
and give their reactions as it affects their
respective Ministries so as to guide the
President and enable him sign the Appropriation
Bill into law.
That process is still on-going and no statement
has been issued by the Executive on the matter,
apart from the one by the Honourable Minister
of Information, Alhaji Lai Mohamnmed, to
confirm that details of the budget are being
examined. No final decision has been taken by
the President and no other statement
whatsoever has been issued on the matter.
With reference to the specific issue of the
Calabar – Lagos rail project, we will like to state
that the two railway projects, Lagos – Kano and
the Calabar – Lagos, are very important projects
of the present administration; and it was always
the intention of the Executive to have both
projects reflected in the budget submitted to the
National Assembly.
However, it will be recalled that the Budget
Office made a number of errors in the initial
proposals of a number of ministries. These
errors were all corrected by the Ministry of
Budget and National Planning and the corrected
versions were submitted to the relevant
committees of the National Assembly. This
included that of the Ministry of Transportation.
The amended Ministry of Transportation budget
was accepted by the relevant committees and
that was the version defended by the Minister of
Transportation and his team.
It must be emphasized that the two rail projects
are part of those for which the President is
currently negotiating funding with the Chinese
government.
The N60b provided in the budget for the Lagos
– Kano and Calabar – Lagos rail lines,
respectively, is counterpart funding, to support
the Chinese financing for the projects.
These projects are part of the Strategic
Implementation Plan of the government which
was disclosed by the Minister of Budget and
National Planning at the National Economic
Council Retreat in March 2016, in the presence
of state governors. They were also mentioned
by the Vice President last week in Lagos at The
Nation Newspaper’s First National Economic
Forum.
It is hoped that with this clarification, the raging
controversy over the Calabar – Lagos rail
project will be put to rest.
Signed:
Akpandem James
Media Adviser to the Honourable Minister

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