Recession: Buhari Seeks ‘Emergency Power’ From NASS To Tackle Economy

The president is set to send a bill titled “Emergency Economic Stabilisation Bill 2016”, to the National Assembly within the next few days that will give the president emergency powers to roll out an economic recovery package within the next one year.

The objectives of the action-plan on the economy, include raising the value of the naira, creation of more jobs, boosting of foreign reserves, reviving the manufacturing sector and improving power.

The bill, if passed into law, would give the economy the much needed boost, a senior member of Buhari’s government told LEADERSHIP on Sunday.

The bill is based on recommendations from the economic team headed by Vice President Yemi Osinbajo. The team reviewed the various policies so far introduced and how they have affected the economy.

The economic team, it was learnt, gauged the mood of the polity and decided that unless there is an urgency which some of the extant laws will not permit, “the recession may be longer than expected and Nigerians will not get the desired respite, which is the goal of this government”.
Buhari will be seeking powers to:

. Abridge the procurement process to support stimulus spending on critical sectors of the economy;

. Make orders to favour local contractors/suppliers in contract awards;

. Abridge the process of sale or lease of government assets to generate revenue;

. Allow virement of budgetary allocation to projects that are urgent, without going back to the National Assembly.

. Amend certain laws, such as the Universal Basic Education Commission (UBEC) Act, so that states that cannot access their cash trapped in the accounts of the commission because they cannot meet the counterpart funding, can do so; and

. To embark on radical reforms in visa issuance at Nigeria’s consular offices and on arrival in the country and to compel some agencies of government like the Corporate Affairs Commission (CAC), the National Agency for Foods Administration and Control (NAFDAC) and others to improve on their turn around operation time for the benefit of business.

It was learnt that under the proposed new rule, physical entry into the country by foreign investors is to be made easier as Custom, Immigration, Department of State Services and all other government agencies at the airport would have their functions streamlined and carried out by a single official.

Also, the new legislation intends to amend is the Universal Basic Education Act (UBEC Act). Under the Act, state governments are to provide 50 per cent counterpart fund before they can access the fund for basic education.

The new legislation further seeks to reduce state’s counterpart fund to 10 per cent. Many states currently facing challenges paying staff salaries, have not been able to provide the 50 per cent counterpart fund, a situation that has made over N58 billion idle at UBEC over the years.

Another aspect of the new bill to be presented to the National Assembly is that it seeks to raise the mobilisation fee paid to contractors from 15 per cent to 50 per cent to enable them move to site immediately and carry out such contracts.

The Senate and the House of Representatives are currently on vacation, but are meant to resume on September 12.

However, it was gathered that President Buhari will engage the leadership of the National Assembly before their resumption to hasten the passage of the bill.