Govt Establishes ‘Efficiency Unit’ To Sieve Wastes In Governance
The office, to be located in the Ministry of Finance, is in line with the current administration’s plan to institute reform policies to ensure effective management of the nation’s economy and reduce cost of governance.
It will also ensure that all government expenditures are necessary and represent the best possible value for money.
The nation’s budgets over the years, even presently, have been characterised by huge recurrent expenditure votes, which put capital expenditure projections off balance, particularly in 2015, by a ratio of 84/16.
An analysis of the document has shown that the recurrent expenditure items are more of non-wage related overhead expenditure – travel costs, entertainment, events, printing, Information Technology consumables, stationeries, among others.
According to a report, as at September 2015, the entire capital expenditure amounted to N194 billion, while overhead expenditure was N272 billion.
The development, assessed as unsustainable, has also been described as being at variance with the current administration’s resolve to reform the economy and reduce the cost of governance.
The Minister of Finance, Mrs. Kemi Adeosun, said the Efficiency Unit will undertake programmed reviews of all government overhead expenditures with a view to reducing wastage, promoting efficiency and ensuring quantifiable savings for the country.
Specifically, the unit will work across all Ministries, Department and Agencies to identify and eliminate wasteful spending, duplication and other inefficiencies, identify best practices in procurement and financial management and share such knowledge to ensure its adoption.
According to her, the findings of the Efficiency Unit will be formally communicated and will be enforced through establishment of expenditure guidelines, undertaking follow-up reviews, spot checks, among other measures that will ultimately checkmate wastages across all areas of Federal Government’s expenditure.