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Yearly delay in passage of budget reflects weakness of institutions, says Moody’s

Leading global investment analyst group, Moody’s Investors Service has faulted the endless yearly circle of national budget delays, describing the trend as a reflection of the weakness of institutions in the country.

Moody’s Senior Analytical Advisor for Africa, Mr. Aurélien Mali in an interview argued that not assenting the 2018 national budget more than two weeks after Senate had passed the document amounts to misplacement of priority by the government.

The group also noted that such breaches will impede on the efficiency and success of the prevailing Economic Recovery and Growth Plan (ERGP) of the government.

Business Hilights recalls that the budget of N8.6 trillion was passed six months after the president presented it to the legislature. But Mali pointed out that the budget delays “speaks to the weakness of the institutions in Nigeria,” adding that it is “has also been a long term constrain for the rating.”

Continuing, Moody’s Advisor argued further that implementing is budget is also important to improve the state of infrastructure in the country.

“Nigeria needs better infrastructure to be able to take off in terms of sustainable growth and reaching a growth rate that supports the living standard of Nigerians.

The presidency is yet to give reason why it has not found it needful to assent to the 2018 Appropriation Bill which it has received more than two weeks ago.