FG Anticipates N5 Billion Savings Over Ministers' Foreign Trip Ban

EKO HOT BLOG reports that the Federal Government stands to save over N5 billion every quarter through a new policy banning Ministries, Departments, and Agencies (MDAs) from public-funded foreign trips for three months.

President Bola Tinubu raised concerns about the escalating costs of international travels for federal civil service officials.

In response, a letter dated March 12, 2024, signed by Chief of Staff to the President, Femi Gbajabiamila, and addressed to Secretary to the Government of the Federation, George Akume, announced the ban, effective April 1, 2024.

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The directive aims to curb expenditure amidst economic challenges, requiring all public-funded international trips to be halted for three months, with exceptions only for trips deemed absolutely necessary and approved by the president at least two weeks in advance.

“This temporary measure is aimed at cost reduction in governance and intended as a cost-saving measure without compromising government functions,” the letter stated.

Tinubu emphasized that officials needing to go on such trips must seek and receive presidential approval in advance.

The move follows criticism of government officials holding a workshop in the UK during economic downturn.

“The directive will affect 43 permanent secretaries,” the breakdown revealed.

The ban is expected to significantly impact travel budgets, with the State House, Vice President’s office, and Ministry of Petroleum Resources alone expected to save millions in three months.

According to an analysis of MDAs notable for travelling, the State House (Presidency) will save about N1.74bn in three months while the Vice President’s office will save N307.3m. The Ministry of Petroleum Resources with a total budget of N1.19bn for international travel will save N299.5m in three months.

Further analysis also stated that the Ministry of Industry, Trade and Investment will save N176.79m if the directive is implemented.

Also, the National Defence College will save N984.6m from its total budget of N3.9bn for overseas travel while the Economic and Financial Crimes Commission will save N434.56m. Similarly, the Nigerian Intelligence Agency will save N860.8m from its total budget of N1.04bn.

The Office of the Secretary General of the Federation will save N47.5m if it adheres to the presidential directive while the auditor general will return N114.9m to government coffers due to the policy.

Furthermore, the Finance Ministry will save N173.2m while the Ministry of Budget and Economic Planning will keep N173m if its workers shelve plan to travel internationally. For the Command and Staff College, a total of N631.48m will be saved in three months.

The Ministry of Justice will preserve N212.32m if the directive is implemented while the Youth Development Ministry will save N70.8m.

Findings show that the cost could be more if foreign trips budgets of other MDAs that are not notable for travelling overseas are also incurred.

Tinubu had implemented a number of initiative aimed at cutting the cost of governance.

On January 8, the President approved “cost-cutting” measures that involve slashing, by 60%, official entourage on local and international travels.

The Special Adviser to the President on Media and Publicity, Ajuri Ngelale, revealed this while briefing State House correspondents at the Presidential Villa, Abuja.

Ngelale said the directive applied to the Offices of the President, Vice President, First Lady, Wife of the Vice President and all Ministries, Departments and Agencies.

He said, “President Bola Tinubu has approved that anywhere he travels within this country he will no longer accept or allow huge security delegations to be following him from Abuja, which attracts massive bills with respect to estacode and duty allowances from now on.

“He has approved a massive cost-cutting exercise that will cut across the entire Federal Government of Nigeria and the Offices of the President himself, the Vice President and the Office of the First Lady. It will be conducted in the following fashion.

“On international trips, the President has directed that no more than 20 individuals be allowed to travel with him. That number will be cut down to five in the case of the First Lady. Additionally, the number in the entourage on official international trips for the Vice President will be cut to five. The number that will be placed as a limit on the wife of the Vice President is also five.”

FG Anticipates N5 Billion Savings Quarterly Over Ministers’ Foreign Trip Ban

Federal Government implements three-month ban on public-funded foreign trip for MDAs.

President Tinubu’s directive aims to save over N5 billion quarterly in government spending.

Only essential trips approved by the president will be allowed during the moratorium period.

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