By Saminu Ibrahim
The Nigerian Senate on Tuesday constituted a joint committee to collaborate with the executive on how to tackle the effect of the COVID-19 on the Nigerian economy.
The upper legislative chamber specifically directed the committee to laise with the executive on appropriate cut of the N10.33 trillion 2020 budget in view of the sharp drop of oil price in the international market which stands at $31 on Tuesday as against $57 per barrel projected for in the 2020 budget .
This followed a motion moved by the Senate Leader, Yahaya Abdullahi.
Citing order 43 of the Senate standing rules, the Senate leader drew the attention of Senators to rising concerns on the spread of the dreaded Coronavirus (COVID – 19) disease which has led to the crash of several markets across the world.
He said Nigerians should hope for the best but prepare for the worst” in view of the fact that oil still remains the mainstay of the nation’s economy.
He therefore stressed the need for the Senate and National Assembly in general to be proactive in addressing the situation.
Consequently, the upper legislative chamber constituted a joint committee to engage the Executive arm of government on measures to be taken to insulate the Nigerian economy.
The joint committee, as announced by the Senate President, Dr. Ahmad Lawan during plenary, are those of the Senate Committees on Finance; National Planning; Appropriations, and Petroleum (Upstream).
“Our Committees should be prepared, so that whatever happens, we hope this crisis does not last for long, but if it does, we have to be prepared,” he said .
He added that the joint committee should come up with workable strategies that will be harmonized with those of the Executive arm of government with a view to stemming the impact of the oil price crash on the economy.
He said, “The issue of the current situation affecting the entire world, and the second we are suffering from today is the crash in the price of crude.
“We passed the Fiscal Strategy Paper and MTEF, and subsequently the budget, on the benchmark price of $57 per barrel. Today, that price has crashed to $31 USD there about, and we don’t know where this will stop.
“And of course, the economy of our country depends rightly on the export of crude.
“Now, this is a real situation that is starring us in the face. As a parliament, we need to be proactive and up-to-date with the situation, so that we are also able to take a decision when it matter for us to do so.”
“Therefore, I will suggest here, that in order for this Senate to be proactive and to protect whatever will be the situation for Nigeria to implement the budget in a way and manner that will positively affect the lives of our citizens, we form a joint committee.
“This Joint Committee will continue to engage with people in government, as well as people outside of government, so as to be abreast with all necessary information.
“The committee will engage with the Ministry of Finance and National Planning, and any other Ministries that you feel you need to have engagement with for you to have information”.
