The Kebbi State House of Assembly has approved the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), a fiscal planning instrument designed to guide government spending, improve budget implementation and promote responsible management of public funds.
The legislation, forwarded to the Assembly by Governor Nasir Idris, was passed on Tuesday after lawmakers considered a report submitted by the joint committees on Finance and Appropriation, and Budget Monitoring, Economic Planning and Due Process.
The plenary session was presided over by the Speaker, Rt. Hon. Salihu Maikasuwa Dangoje.
The approval is expected to provide a structured basis for preparing annual budgets and determining expenditure priorities in line with the state’s development objectives. It also establishes a framework through which the government can assess available resources before making financial commitments.
Presenting the committees’ report, Adamu Mohammed Birnin Yauri explained that the MTEF and FSP would help align yearly budget proposals with the state’s broader economic and development plans.
He said the framework was designed to encourage the government to make better use of existing economic opportunities while directing available resources towards programmes and projects capable of improving residents’ welfare.
According to him, effective fiscal planning requires more than the preparation of annual budgets. It also involves setting realistic revenue expectations, identifying priority areas and ensuring that public expenditure remains within the limits of available resources.
The framework is therefore expected to serve as a reference point for determining government spending priorities and assessing whether proposed projects are financially sustainable.
Framework to strengthen financial discipline
A key consideration behind the approval is the need to promote discipline in the management of public finances.
By establishing a medium-term approach to budgeting, the framework is intended to reduce the risk of expenditure decisions being made without sufficient consideration of revenue projections and existing financial obligations.
It will also provide a basis for aligning government spending with its development commitments and economic priorities.
The committees noted that the proposed legislation was consistent with relevant laws governing public finance and accountability in Nigeria and Kebbi State.
These include the 1999 Constitution of the Federal Republic of Nigeria, as amended, alongside several state laws regulating financial administration, fiscal responsibility, public procurement and auditing.
Among the legislations identified is the Kebbi State Financial Management Law 2017, which provides for the control and administration of public funds.
The framework also takes account of the Kebbi State Fiscal Responsibility (Revised) Law 2021, which establishes requirements relating to responsible fiscal management.
Other relevant provisions are contained in the Kebbi State Public Procurement Law 2021 and the Kebbi State Audit Law 2020.
Together, these laws provide a legal basis for managing government resources, conducting public procurement and monitoring the use of public funds.
The committee’s report indicated that the MTEF and FSP had been prepared within the context of these existing financial management requirements.
Economic conditions to shape budget projections
Birnin Yauri said the fiscal planning document also considers prevailing economic conditions in Nigeria and the international community.
This approach is intended to ensure that the state’s financial projections reflect economic realities rather than relying on assumptions that may no longer be achievable.
Changes in economic conditions can affect government revenue, the cost of public projects and the resources available to finance essential services.
Consequently, incorporating such factors into fiscal planning is important for developing budgets that can be implemented effectively.
The framework is expected to provide realistic projections for the 2027–2031 medium-term expenditure period, taking into account domestic and global economic developments.
It will also support efforts to strengthen internally generated revenue, which remains an important component of the state’s capacity to finance its development priorities.
Improving revenue generation could help the government meet its financial obligations and fund public programmes.
However, the effectiveness of the strategy will depend on the accuracy of revenue forecasts, the implementation of appropriate policies and the government’s ability to manage expenditure within approved limits.
The emphasis on realistic projections is also expected to help identify potential gaps between anticipated revenue and planned spending before annual budgets are finalised.
Focus on development priorities
Beyond expenditure control, the framework is intended to ensure that available resources are channelled towards programmes that reflect the needs and priorities of the population.
Birnin Yauri said the document emphasised the importance of maximising existing and potential economic opportunities while giving attention to people-oriented projects and programmes.
This means that budget planning is expected to consider both the financial capacity of the state and the development outcomes government spending is intended to achieve.
A medium-term framework allows governments to consider their financial commitments over several years, helping them connect annual spending plans with longer-term development objectives.
The accompanying Fiscal Strategy Paper provides the policy direction for making decisions on revenue generation, expenditure and other fiscal matters.
Together, the two instruments are intended to offer a more coordinated approach to budgeting and financial management in Kebbi State.
Their implementation will be important in determining how effectively the state translates its financial projections into practical development programmes.
Governor’s assent awaited
Following the passage of the bill, the Kebbi State House of Assembly is expected to transmit it to Governor Nasir Idris for assent.
The governor’s assent is the next step in the legislative process before the approved measure can take effect as law.
The development places the state’s medium-term fiscal planning framework on course to guide the preparation of annual budget estimates for the period covered by the document.
Attention will subsequently focus on how the framework informs revenue targets, expenditure priorities and the execution of government programmes.
Its impact will ultimately depend on the extent to which the relevant authorities adhere to the financial projections, comply with applicable laws and maintain effective oversight of public spending.
The Assembly’s approval represents a legislative step towards establishing a coordinated basis for fiscal planning in Kebbi State, with the stated objectives of improving budget discipline, strengthening revenue planning and supporting development priorities.
About The Author
