A total of N13,805,814,220 has been proposed for the payment of pensions to former Presidents, Vice-Presidents, Heads of State, Chiefs of General Staff, retired heads of service, permanent secretaries, as well as retired heads of government agencies and parastatals in the 2023 fiscal year.
The beneficiaries include former Presidents Olusegun Obasanjo and Goodluck Jonathan, as well as Vice-Presidents Atiku Abubakar and Namadi Sambo, among others Saturday PUNCH has gathered.
Also expected to benefit from the windfall are ex-military Head of States, General Yakubu Gowon and General Abdusalami Abubakar, as well as former dictator and self-styled military President, General Ibrahim Babangida, and a former Chief of General Staff, Commodore Ebitu Ukiwe (retd.).
It is, however, not clear if the President, Major General Muhammadu Buhari (retd), and his deputy, Prof Yemi Osinbajo, will benefit from the largesse as they will hand over power on May 29, 2023. Buhari served as Head of State between December 31, 1983 and August 27, 1985 before he was booted out of office in a palace coup.
In the 2023 appropriation budget appropriation, which was highlighted under the service wide vote of the Federal Ministry of Finance, Budget and National planning, it was stated that a total of N2.3bn would be for “entitlements of former presidents/heads of states and vice-presidents/chief of general staff.”
An analysis of the proposal revealed that a total of N10.5bn would serve as “benefits of retired heads of service and permanent secretaries.”
The budget also revealed that a total of N1bn would be paid as “severance benefits to retired heads of government agencies and parastatals.”
At state level, governors and their deputies are also entitled to humongous pensions when they leave office and a number of former chief executives of the various states are known to be beneficiaries of the huge pensions, which include monthly payment, purchase of new vehicles, building of mansions and payment of domestic workers.
Mounting debt burden
Saturday PUNCH reports that the budget comes at a time when the government has continued to lament dwindling revenue amidst excess borrowing.
The country’s debt rose by N30.72tn between July 2015 and June 2022, according to data released by the Debt Management Office.
According to the DMO statistics, Nigeria’s total debt as of June 30, 2015 stood at N12.12tn. By June 30, 2022, the figure had risen to N42.84tn, which showed an increase of 253.47 per cent. Despite the high increase in debt over the years, the government still plans to borrow N8.4tn in 2023.
Just like the massive rise in debt, there has been a huge increase in expenditure under Buhari. The Federal Government has increased the projected expenditure in its annual budgets by about 238.45 per cent between 2016 and 2023, according to reports analysed by one of our correspondents.
According to data from the Budget Office of the Federation, the government budgeted to spend N6.06tn for the 2016 fiscal year. However, in the recently proposed 2023 budget, the projected aggregate expenditure was pegged at N20.51tn, more than thrice the amount budgeted in 2016.
Aduba stated, “It will show you the amount of greed and lack of morals most of them have. With all the money most of them have, why will they want a house in Abuja? Is it not criminal? Every four years, you are going to take a huge amount as salary and you will now go to the Senate.
“You know our laws are weak and that’s why some of these things are happening. Some states can’t even pay salaries to civil servants, yet the governors will be enjoying unearned benefits and the past governor will be enjoying pensions.
“Of course, you know the Houses of Assembly are in the pockets of the governors. So, when they propose ridiculous things, the assemblies will just pass them into law.”
Speaking on the matter, human rights lawyer and Chairman of the Nigerian Bar Association Section on Public Interest and Development Law, Dr Monday Ubani, said giving pension to the former leaders would continue to have adverse effects on the economy unless it was repealed.
He said, “Provided it is an enactment of the state House of Assembly, which passes through the rigorous process of law making, it is something that is legitimate until that law is set aside. Unless there is a provision in the constitution that conflicts with it, in the absence of such, it remains a valid law.
“But with the economic situation, if a governor has been in office and made so much money from the system, and you are rewarding him again with such pension despite the fact that the economy is very fragile and many people are living in abject poverty, I don’t see the economic sense of that provision of building houses and paying them pensions.
“Yes, if anyone has served his state meritoriously, there is nothing wrong in making provision for him, but the problem is that most of the governors, while in office, amassed so much wealth and then come again to enact a law that will cripple the economy.”
The Chancellor, International Society for Social Justice and Human Rights, Jackson Omenazu, said though paying benefits to past governors and presidents was not wrong, it should be based on their performance, which should be decided by the people.
Omenazu stated, “I think for those who served well and diligently, that is fine, but it shouldn’t be general, and I believe some of them aren’t worth it. There is no justification for the payment of pension.
“They (former presidents and ex-governors) are supposed to even return the salaries they took while in office, because there is nothing to show for it; rather, they worsened the situation of the country and their states.”
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