The Federal Government on Thursday said the present economic recession has made it impossible for it to generate the needed funds to pay salaries and pensions of workers in the Ministries, Departments and Agencies under its jurisdiction.
This was revealed by the Minister of Budget and National Planning, Udoma Udoma, while fielding questions from members of the House of Representatives.
Udoma noted that half of the projected revenue in the 2017 budget is for salaries and pensions, but that funds to pay are not available.
Udoma disclosed that the Federal Government was making efforts towards resolving the issues relating to the welfare of workers and retirees.
Noting that a committee has been set up to address the issues, Udoma said the government would have to look for ways for creating funds to pay pension arrears.
Udoma said, “I ask for your understanding. In the 2017 budget, about half of our total projected revenues are for salaries and pensions but the resources are not there.
“Most of these categories are up to date, however there have been issues with reconciliation of the numbers.
“The president is extremely concerned about this. He has directed us to get to the bottom of this as quickly as possible and a committee headed by the minister of finance should meet with all the relevant agencies and reconcile numbers.”