The Senate ad-hoc committee investigating the N30 trillion Ways and Means facility, expended between 2015 and 2023, confirmed that its probe is on track. The committee, chaired by Senator Isah Jibrin (APC Kogi East), refuted reports suggesting the investigation was stalled.
In a statement, Senator Jibrin explained that thoroughness and diligence are crucial for this sensitive national assignment, which is why the committee exceeded its original six-week deadline. “The essence of an investigation is to come up with factual findings, not just to roll out a report within a specified time frame,” he said.
The committee is seeking vital information from the office of the Accountant General for the Federation (AGF) to ensure a comprehensive investigation. A recent letter of reminder was sent to the AGF’s office, requesting details of disbursements under the Ways and Means facility, including names of beneficiaries, amounts, dates, purposes, terms, and adherence to the repayment schedule.
Ways and Means is a loan facility through which the Central Bank of Nigeria (CBN) finances federal budget shortfalls. This financing method often leads to macroeconomic instability, inflation, and high exchange rates due to excess liquidity in the economy. Despite the CBN law limiting advances under Ways and Means to 5% of the previous year’s revenue, this limit has been frequently breached.
As a corrective measure, CBN Governor Olayemi Cardoso announced in February that the bank would no longer grant Ways and Means advances to the government until all outstanding debts are refunded.
Senator Jibrin emphasized that the investigation is progressing. “Some findings have been made, and more are underway,” he stated. The committee’s thorough approach aims to provide a detailed and accurate report on the facility’s usage and its economic impact.
The Senate’s commitment to this investigation highlights the importance of transparency and accountability in managing national finances. The outcome of this probe is anticipated to shed light on the government’s budgetary practices and provide insights for future fiscal policies.