1. 1
A COMPARISON OF1
2009 AND 2010 BUDGET2
OF THE3
FEDERAL REPUBLIC OF NIGERIA4
5
6
BASED ON THE SEVEN-POINT AGENDA OF7
THE PRESENT ADMINISTRATION8
COMPILED BY:9
ABINA ROTIMI B.10
For Nitoks Consultants Limited11

2. 2
12
13
14
This analysis was based on the key areas of concentration of Mr. President Seven-Point Agenda, this covers the following;15
- Power/Energy16
- Food Security and Agriculture17
- Mass Transportation18
- Wealth Creation and Employment19
- Land Reforms20
- Qualitative Education21
- Security22
Other two areas are:23
- Niger/Delta24
- Disadvantaged Groups25
26
Following the aforementioned areas of concentration of the present administration, the following MDA’s are27
selected to key into the Seven-Point Agenda and will be categorized under such, for the purpose of this work. They28
include;29
30
1. Ministry of Youth Development31
2. Ministry of Women Affairs32
3. Ministry of Defence33
4. Ministry of Education34
5. Ministry of Health35

3. 3
6. Ministry of Commerce and Industry36
7. Ministry of Labour and Productivity37
8. Ministry of Science and Technology38
9. Ministry of Transportation39
10. Ministry of Power40
11. Ministry of Mines and Steel Development41
12. National Salaries, Incomes and Wages Commission42
13. Ministry of Works, Housing and Urban Development43
14. Ministry of Police Affairs44
15. National Intelligence Group45
16. Ministry of Petroleum Resources46
17. Ministry of Aviation47
18. Ministry of Niger Delta48
19. Ministry of Agriculture and Water Resources49
20. Ministry of Finance50
21. Ministry of Information and communication51
52
The table below shows the total expenditure of each MDA’s in 2009 and 2010, the percentage increase/decrease, and the53
category where each MDA’s fall under the Seven-Point Agenda.54
55
56
57
58
59

4. 4
MDA’s Category under
7-point Agenda
2009
Appropriation
bill(N’billion)
2010 Proposal
(N’billion)
Difference %
Increase/
Decrease
Analysis Economic
Effect
Ministry of
Youth
Development
Wealth Creation
and Employment
48,270,697,129 45,687,479,760 -2,583,217,369
-5.7
The Ministry
of Youth
Developmen
t have a
reduction of
5.7% in 2010
compared to
2009, this
reduction
may be due
to
underperfor
mance of this
Ministry in
the previous
year.
This have an
adverse effect
on the
economy, as it
may lead to
under-
employment
and youth
restiveness
Ministry of
women Affairs
Disadvantage
Group
3,671,754,185 2,432,758,588 -1,238,995,597
-50.9
This Ministry
also
experiences a
cut of 50.9%
in the
There is the
need for
gender
equality in the
country.

5. 5
proposed
budget for
2010. This is
due to the
rate of
gender
inequality
especially in
Northern
part of the
country
Therefore, the
sharp cut in
the proposed
budget for
2010, will not
promote
gender
equality
Ministry of
Defence
Security 223,021,861,244 232,044,871,801 9,023,010,557
3.9
The Ministry
of Defence
has a slight
increase of
3.9% in her
proposed
budget for
2010. This
will not be
suitable for
the Seven-
Point
Agenda of
the present
The effect of
this slight
increase in the
proposed
budget will not
be noticeable,
because more
allocation is
required to
protect both
human and
material
resources of
the country

6. 6
administratio
n, as more
allocation is
required to
boost the
security
network of
the country
Ministry of
Education
Qualitative
Education
224,676,889,661 249,086,254,059 24,409,364,398
9.8
The
educational
sector of the
economy
also have an
increase of
9.8%
compared to
her 2009
appropriatio
n budget, but
this is quite
too low for a
developing
nation like
Nigeria
As a result of
this little
increase, there
is every
tendency that
the illiteracy
rate will
increase or a
stagnation in
the level of
literacy may be
experienced

7. 7
Ministry of
Health
Wealth Creation
and Security
154,567,493,159 161,845,511,090 7,278,017,931
4.5
For every
developing
nation of the
world, there
is the need to
provide
adequate
healthcare
facility for
the citizenry,
the 4.5%
increase in
allocation
will not be
enough to
cater the
whole nation
The economic
effect of this is
that there may
be an increase
in mortality
rate, increase
in the spread
of diseases and
other forms of
disability
caused by
inadequate
healthcare
Ministry of
Commerce &
Industry
Wealth Creation 11,646,262,416 11,488,336,964 -157,925,452
-1.4
The Ministry
of Commerce
& Industry
that is
supposed to
be one of the
priority
sectors will
This deduction
is likely to
reduce the
production
capacity of this
sector of the
economy,
thereby

8. 8
experience a
shortfall of
1.4% of her
previous
allocation.
This Ministry
has the
capacity of
increasing
the exports
of the
country
through an
increase in
the
production
of locally
made goods
resulting in
under-
utilization of
resources
Ministry of
Labour &
productivity
Wealth Creation 6,737,011,718 6,865,408,654 128,396,936
1.9
There is an
increase of
1.9% in the
allocation of
this sector.
This slight
increase may
not have any
effect on the
economy, as
such increase
may not yield

9. 9
any increase in
productive
capacity.
Ministry of
Science &
Technology
Wealth Creation 22,619,439,683 25,625,009,126 3,005,569,443
11.7
The increase
of 11.7% in
allocation to
this sector of
the economy
is a little beat
commendabl
e, but not
suitable for a
developing
economy like
ours.
If this fund is
effectively
managed and
utilized, there
will a quite
advancement
in the level of
technological
know-how of
the country.
Ministry of
Transportation
Mass
Transportation
42,872,035,203 146,736,754,518 103,864,719,31
5
70.8
The Ministry
of Transport
will receive
an increase
of 70.8% in
her
allocation if
it is finally
appropriated
This huge
increase is
highly
commendable
as it is in line
with Mr.
President’s
motion of
improving

10. 10
, it is of
relative
importance,
because
there is the
need for
improvemen
t in Nigeria’s
transportatio
n system
mass
transportation.
If this fund is
well managed,
there is the
probability
that the
transportation
system of the
country will
definitely
improve.
Ministry of
Power
Power and
Energy
99,590,157,727 156,787,893,849 57,197,736,122
36.5
Also the
Ministry of
Power will
get an
increase of
36.5% of her
previous
allocation,
this will
enable the
government
to meet her
target of
The effect of
this on the
economy is
that more
employment
will be
generated,
while there
will be
reduction in
the cost of
fuelling power
generating

11. 11
providing
electricity in
all nooks and
crannies of
the country
plants, and it
will further
attract foreign
investors.
Ministry of
Mines & Steel
Development
Wealth Creation 9,914,845,743 13,254,872,700 3,340,026,957
25.2
The 25.2%
increase in
the allocation
of this sector
is
applaudable,
as the
mining
sector will be
encouraged
to perform
better, as a
result of
availability
of fund to
exploit the
opportunitie
s in this
sector
More
employment
opportunity
will be
generated, and
more wealth
will also be
generated
thereby
increasing the
Gross
Domestic
Product (GDP)
of the country
and promote
exportation.

12. 12
National
Salaries,
Incomes &
Wages
Commission
Disadvantage
Group
639,181,571 890,637,276 251,455,705
28.2
In general
terms the
28.2%
increase in
the allocation
of this sector
is a welcome
idea, but in
relative
terms the
share of this
sector in the
overall
expenditure
is not much.
If this fund is
well utilized
the
government
will be
encouraged to
increase the
allocation of
this
commission for
the betterment
of the whole
country.
Ministry of
Petroleum
Resources
Power and
Energy
53,507,603,549 66,004,378,200 12,496,774,651
18.9
The ministry
of Petroleum
Resources
will also get
18.9%
increase in
her
allocation
compared to
that of 2009.
This increase
will create
avenue for
more
exploration of
oil, which will
in-turn lead to
an increase in
the production
of crude oil,

13. 13
thereby
resulting in an
increase in oil
revenue.
Ministry of
Aviation
Mass
Transportation
36,881,025,949 55,282,544,568 18,401,518,619
33.3
Apparently,
this increase
of 33.3% in
allocation to
the aviation
sub-sector is
to
consolidate
the effort of
government
in building
confidence in
the aviation
industry and
ensuring
safety.
The economic
effect of this
increase is that,
the citizenry
will have
confidence in
the aviation
sector and
safety will be
ensured.
Ministry of
Niger Delta
Niger Delta 51,000,000,000 64,419,415,401 13,419,415,401
20.8
The creation
of the
Ministry of
Niger Delta
This increase
in the
allocation of
this Ministry

14. 14
generated a
lot of
controversies
, but since its
inception, it
has been
shown that
the Ministry
has a
positive
impact.
Especially
the amnesty
that was
granted to
the militants
in the area.
The 20.8%
increase is a
welcome
idea
will result in
generation of
employment
opportunity,
youth
empowerment,
reduce youth
restiveness and
provision of
social
amenities in
the Niger Delta
region.
Ministry of
Agriculture &
Water
Resources
Food Security
and Agriculture
166,924,361,057 148,715,672,952 -
18,208,688,105
-12.2
From the
figure shown
in this table,
there will be
The economic
effect of such
act will reduce
the

15. 15
a deduction
of 12.2% in
the allocation
that will be
available to
the
agricultural
sector; this
may be due
to the under-
utilization of
previous
funds, and
different
agricultural
project that
were not
completed in
2009.
performance of
the sector,
thereby
jeopardizing
the aim of the
Seven-Point
Agenda in the
area of
improving the
output of this
sector, and
hampering
food security
in the country.
Ministry of
Finance
Disadvantage
Group
12,490,548,037 13,296,774,087 806,226,050
6.1
This Ministry
will receive a
6.1% increase
in her
allocation
compared to
If the fund is
adequately
utilized, this
will have
positive impact
on the

16. 16
that 2009.
Although
this increase
may not
necessarily
increase the
performance
of the
Ministry.
economy.
Ministry of
Information &
Communication
Wealth Creation
and Qualitative
Education
20,116,016,504 23,533,740,953 3,417,724,449
14.5
Moreover,
the Ministry
of
Information
&
Communicat
ion will get
an increase
of 14.5%, but
this increase
will not be
enough to
cater for the
required
level of
information
The economic
effect of this
slight increase
will be
worthwhile as
the country has
a committed
leader in this
ministry. Even
with the little
increase more
information
will be
acquired by
the masses.

17. 17
and
communicati
on for the
ever
increasing
populace.
Ministry of
Works,
Housing &
Urban
Development
Mass
Transportation
and Land
Reforms
240,460,292,544 249,425,015,681 8,964,723,137
3.6
The Ministry
will have a
slight in
increase of
3.6%
allocation
compared to
that of 2009,
although the
percentage
increase
might be
small, but
considering
the huge
amount
invested in
this sector
much is
The effect of
this huge
capital
investment in
this sector will
result in a
corresponding
increase in the
construction of
roads, more
building will
be made
available at
lower cost, and
there will be
rapid
development
in urban
centres.

18. 18
expected
from this
Ministry.
Ministry of
Police Affairs
Security 2,021,947,112 2,940,981,749 919,034,637
31.2
The 31.2%
increase in
the allocation
to this sector
is
remarkable,
but the
monetary
value is not
much. More
money can
be injected to
boost the
security
outfit of the
country.
If the little
fund available
is optimally
utilized, this
will encourage
the
government to
do better in the
future.
National
Intelligence
Group
Security 42,311,163,157 75,047,973,048 32,736,809,891
43.6
Huge
amount of
money has
been
invested in
If the fund is
appropriately
managed, the
security level
of the country

19. 19
this group,
and the
43.6%
increase in
the allocation
will also help
in boosting
the security
level of the
country.
will increase,
this will
encourage
foreign
investors to
invest there
money in the
country.
60
61
62
63
SUMMARY64
The allocation of revenue to all MDA’s in 2010 compared to 2009 is commendable, but the fact remains that there65
are some key areas which has been neglected, and if care is not taken this neglect will jeopardize the Seven-Point66
Agenda of the present administration. The areas that has suffered neglect includes;67
68
- Agricultural sector shortfall of 12.2% allocation69
- Ministry of Labour and Productivity a slight increase of 1.9% allocation70
- Commerce and Industry a deduction of 1.4% allocation71
- Ministry of Health an increase of 4.5% allocation72
- Educational sector an undesirable increase of 9.8% allocation73
- Women Affairs a huge deduction of 50.9% allocation74

20. 20
- Youth Development a downturn of 5.7% allocation75
76
RECOMMENDATION77
In order to achieve the aims of the Seven-Point Agenda and attain vision 2020, efforts need to be made in improving78
the areas that has suffered neglect. These efforts should be in both human and material resources mobilization.79
Therefore the followings are recommended for the attainment of the Seven-Point Agenda;80
81
- Increase in the allocation of the agricultural sector to about 50%, in order to ensure food security and promote82
exportation of agricultural produce.83
- More funds should be made available to the Ministry of Labour and Productivity in order to create job opportunity84
and increase productivity.85
- There is the need for a more industrialized nation, if allocation to the Ministry Commerce and Industry can be86
increased, definitely more industries will be established, this will in-turn generate job opportunities and result in a87
low level of unemployment and also an increase in GDP will be attained.88
- The allocation to the Ministry of Health is too low to cater for the growing populace, the mortality rate in the89
country is quite high, and to reduce this there must be an increase in the allocation to this nose-diving sector.90
- There is an international standard in measuring the literacy rate. Fund allocated to the educational sector inclusive,91
compared to the developed world, the allocation to the educational sector is quite ridiculous, if Nigeria wants to92
achieve the United Nation’s standard.93
- To promote gender equality in the country the 50% deduction in allocation to the Ministry of Women Affairs will94
do the country no good. Therefore, an increase in the allocation to this sector will result in promoting gender95
equality.96
- For a country like ours, where the youth are believed to be the leaders of tomorrow the shortfall in the allocation to97
the Ministry of Youth will hamper the future of the country. For this reason, more has to be done in ensuring a98
brighter future of the country through youth development.99
100

21. 21
CONCLUSION101
If the above recommendations are adequately met, there is every tendency that the country will move gradually102
from her under-developed stage to a developing stage, and if capable hands are employed to manage the affairs of103
the country without self-interest the aims of the Seven-Point Agenda and Vision 2020 will definitely be achieved.104
105
-------------------------------106
MDA’s = Ministries, Departments and Agencies.107
GDP = Gross Domestic Product.108
109
110
COMPILED BY:111
ABINA ROTIMI B.112
For Nitoks Consultants Limited113