The House of Representatives has called on the federal government through the Office of the Secretary to the Government of the Federation to carry out a forensic audit of its staff to address the problem of ghost workers to save money and reduce the increasing wage bill.
The decision of the House was sequel to the adoption of a motion on the need to investigate the nation’s galloping non-debt recurrent expenditure: Hon. Ademorin Kuye.
Moving the motion, Kuye said the federal government personnel expenses, pensions and other non-debt recurrent expenditures increased by 241% in 13 years from N2.4 trillion in 2011 to N8,27 trillion in 2023.
The lawmaker stressed that the total non-debt expenditure from 2011 to 2023 was N51.97 trillion while N42.24 trillion expended from 2015 till date, representing 81.8% of the total expenditures of the period under review.
Kuye added that the country’s revenue within the period received massive hits from debt servicing obligations, saying the government has little or nothing left for the recurrent expenditures and has resorted to borrowing.
He explained: “The Debt servicing obligations gulped 97 per cent of the total revenue of the N3.42 trillion generated in 2011, Nigeria expended N3.34 trillion on debt servicing, meaning all Federal Government’s salaries, overhead and Capital Expenditure was financed with loans and Central Bank of Nigeria support.
“Informed that the country’s revenues of N3.42 trillion in 2020, N4.39 trillion in 2021 and N7 trillion in 2022 could hardly fund the wage bill of N5.7 trillion, N5.76 trillion and N7.1 trillion in 2020, 2021 and 2022 respectively.”
Kuye expressed worry that the federal government wage bill, pension obligations and other non-debt recurrent expenditures continue to grow significantly, despite the marginal increases in revenues and apparent increases in debt servicing pressure;
He expressed concern that the sharp difference in the wage bill from N2.4 trillion in 2011 and N8.7 trillion in 2023 in a country of 113 million people living in multidimensional poverty was alarming and unjustifiable.
The lawmaker said despite the present administration’s economic restructuring policies, revenues cannot continue to pay salaries and other recurrent expenditures when there are still humongous debt servicing obligations to be taken care of.
The House resolved; “Urge the federal government through the Office of the Secretary to the Government of the Federation to carry out a forensic audit of its staff to address the problem of ghost workers to save money and reduce the increasing wage bill; and
“Also urge the Federal Government to embark on cost-cutting measures to reduce other non-debt recurrent expenditures.”
