NASS queries unapproved spending by the Trade and Investment Ministry

Lawmakers on Friday queried the addition of N9 million to the cost of a capital project of the Federal Ministry of Industry, Trade and Investment that was supposed to be executed for N50 million last year.

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The lawmakers queried the additional spending during the 2025 budget defence session organised by the joint committees on trade and investment of the Senate and the House of Representatives.

The fund was spent on implementing NIRP engagement in the cotton, textile, and garment (CTG)policy.

The project is listed on item 34 of the ministry’s budget for 2024 with code ERGP 30140059.

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Abubakar Kasuda, a member of the House of Representatives who represents Kankiya/Kusda/Ingawa Federal Constituency of Katsina State, said a total of N50 million was budgeted for the project. Still, the ministry awarded the contract for N59 million, contrary to the provisions of the Appropriations Act.

In Nigeria, Ministries, Departments and Agencies (MDAs) of the federal government cannot spend more than the amount approved for a project by the National Assembly except when such agencies seek approval.

Mr Kasuda, a member of the All Progressives Congress (APC), said according to the document presented to him and other lawmakers on the financial appraisal of the ministry for 2024, the ministry spent beyond what was approved for the project.

He, therefore, demanded explanations on why the ministry spent more than what was approved by the National Assembly and how the money was sourced.

“The money appropriated for this item was N50 million, but you awarded the contract for N59,976,513. I would like to have an explanation on this, because the appropriated money is N50 million,” he said.

Another member of the House of Representatives, Mark Esset, also queried the unapproved spending by the trade ministry.

Mr Esset, who represents Uyo/Urhab/Nsit, the federal constituency of Akwa-Ibom State, demanded clarification on the issue.

Responding, the Minister of Industry, Trade and Investment, Jumoke Oduwole, through the ministry’s Director of Finance, said the figure was a typographical error.

The finance director noted that the amount expended on the project was N49 million, not N59 million, as indicated in the ministry’s financial breakdown.

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“It is a typographical error. My working document is N49 million, not N59. So we are sorry about that,” he said.

The chairperson of the Joint Committees, Sadiq Sulaiman, then directed the ministry officials to rework their financial documents and represent them to the lawmakers for proper scrutiny.