Bill Sponsor: Sen. Musa, Mohammed Sani (Niger East)
Bill Progress: First Reading
The Performance and Priority Based National Budgeting System Bill, 2025 (SB. 827) has been introduced in the Nigerian Senate, marking a significant step toward reforming the national budgeting process which seeks to transform how public funds are allocated and managed in Nigeria.
The primary objective of SB. 827 is to implement a Performance and Priority-Based Budgeting System that emphasizes results-oriented spending. Traditional budgeting methods often focus on merely distributing funds to various government departments based on their historical allocations or input requirements. However, this proposed legislation aims to shift the focus toward performance, linking budgetary allocations directly to specific, measurable goals and outcomes.
Under a performance-based budgeting framework, the government would allocate resources not just on the basis of departmental needs but rather on the expected results of government programs and initiatives. This approach is intended to ensure that public funds are used efficiently and effectively, fostering accountability in public financial management.
Furthermore, the bill introduces a priority-based budgeting system that aligns budgetary allocations with Nigeria’s key national priorities and development objectives. This alignment is crucial, given the pressing issues facing the country, such as security, infrastructure development, education, and healthcare. By focusing on priority areas, the government can maximize the impact of its financial resources, ensuring that the most critical needs of its citizens are met.
The introduction of SB. 827 comes at a time when financial sustainability, transparency, and accountability are paramount in Nigeria’s budget planning and implementation processes. By establishing a budgeting system that fosters performance measurement and prioritization, the bill aims to enhance the overall effectiveness of public finance management.
If enacted, this legislation could signify a paradigm shift in how Nigeria approaches its national budget, potentially leading to improved public service delivery and greater trust in government institutions. The proposed Performance and Priority Based National Budgeting System is viewed as an essential step toward achieving a more responsible and results-driven approach to governance in Nigeria.
