No Going Back On Restructuring, Rationalisation Of Parastatals, Agencies — FG

The Federal Government on Tuesday restated its commitment towards the implementation of reform initiatives on restructuring and rationalisation of government parastatals, agencies and commissions in order to reduce the cost of governance.

Secretary to the Goverment of the Federation, Mr Boss Mustapha, spoke in Abuja while receiving reports from committees, one, on the review of white paper on the 2014 Steve Oronsaye report which recommended scrapping and merger of some goverment parastatals, agencies and commissions and the other on review of parastatals, agencies and commissions created after the conclusion of the report on restructuring and rationalisation.

While receiving the reports, SGF said the submission of the reports has given the goverment an opportunity to move quickly with concluding the almost ten years problem.

“The highlights of your submissions, as presented by the various Chairpersons gives me comfort that we have a workable document with which to proceed in reducing the cost of governance in our public administration.

“The daily galloping recurrent expenditure which is 40.3% (N6.9Trillion) as against 31.9% (N5.471Trillion) for Capital expenditure in the year 2022 appropriation further places enormous burden on this administration to deal with the matter of the cost of governance,” he said.

Mustapha further noted that reforms were usually complex and tortuous to undertake but are necessary for the development of any nation and requires political commitment at the highest level to make them sustainable.

He said: “Sustainable reforms are even more critical and necessary in the Public Service, especially as it is the face of government responsible for formulating, implementing, managing and reviewing government Policies, programmes, projects, and initiatives for development.

“President Muhammadu Buhari is committed to leaving a sustainable legacy and has demonstrated the highest political commitment, given tremendous support and consistently pursued reforms in all sectors of the Nigerian Economy.

“Mr President is also conscious of the fact that irrespective of reforms in the other sectors if that of the public sector is not sustainable and internalized, governance would remain far from delivering effective and efficient services to the people,” he said.

Chairman of the Committee on Review of New Parastatals, Agencies and Commissions (PACs), Ms Amal Pepple, said the major consideration for the assignment was the imperative for the Federal Government to address the drivers of the high cost of governance.

Accordingly, her committee urged the Federal Government to place a moratorium on the creation of new Federal Parastatals, Agencies and Commissions as well as direct the National Salaries, Income and Wages Commission to adhere strictly to the Act establishing it and henceforth desist from approving salaries.

The committee also recommended the government should ensure strict adherence by political office holders to the Terms of their engagement especially in relation to the appointment of aides.

“As we approach another election year, we do appreciate the concerns of government in adopting and implementing the recommendations proffered.

“However, Nigeria faces a fierce urgency of yesterday in reducing the cost of governance to ensure that we improve the living standards of the populace and not use Government as a source of avoidable wasteful spending,” Pepple said.