In a strategic move to achieve a cost-saving measure, the Federal Government has excluded 26 professional bodies and councils from its budgetary allocations for the year 2024. The decision, aimed at achieving a savings target of N27.72 billion, is part of broader efforts to streamline budgetary allocations and enhance financial discipline.
The Director-General of the Budget Office of the Federation, Ben Akabueze, had earlier announced the discontinuation of budgetary allocations to professional bodies and councils, effective December 31, 2023. This decision is now being implemented in the 2024 budget, reflecting the government’s commitment to fiscal responsibility.
The formal communication of this decision was conveyed through a letter dated June 26, 2023, addressed to the Registrar of the Nigerian Council of Food Science and Technology, an agency under the Federal Ministry of Science, Technology, and Innovation. The move is in line with the recommendations of the Presidential Committee on Salaries, emphasizing a shift toward greater financial autonomy for these entities.
The letter explicitly outlines that the affected institutions are now considered self-funded organizations and will be entirely responsible for covering their personnel, overhead, and capital expenditures going forward. The suspension of budgetary allocations affects entities across ministries such as Trade and Investment, Information and Communication, Agriculture and Rural Development, Transport, Mines and Steel, Justice, Works and Housing, as well as Environment.
Entities like the Advertising Regulatory Council of Nigeria, the Council for Registered Engineers of Nigeria, the Nursing and Midwifery Council, and the Optometrist and Dispensing Opticians Board of Nigeria are among those impacted. With government budgetary support suspended, these organizations are expected to pivot towards alternative revenue streams, such as registration fees, licensing fees, renewal fees, examination fees, and membership fees, marking a significant transition toward financial self-sufficiency.
