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Artigo sobre os subsídios a investimento em concessoes e PPPs, escrito em coautoria entre Mauricio Portugal Ribeiro e Gabriel Galipolo, versão para discussão publicada em 23/04/2012.
The analysis focuses on State Governments’ allocations from year 2005 to year 2014; with detail extractions from the 2014 budgets. Does more money really translate into better life? Let’s find out.
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2. This analysis takes a look at the 2014
Budgetary allocation to the Education
Sector. Allocations to the Departments and
Agencies are also reviewed in order to
identified the most funded Agency.
A comparative analysis is also carried on
this and past budgets with the view of
observing if there are effort to measure up
to some of UNESCO’s recommendations.
3. Government Budget to the Education Sector is
usually shared among the following:
Agencies / Parastatals
Main
Ministry of
Education
Universities
Polytechnics
Colleges of
Education
Government
Colleges
Technical
Schools
4. Total 2014 National Budget:
N4,642,960,000,000
Total Allocation to Education:
N493,458,130,268
% Allocation
to Education:
10.63%
5. Components of Allocation to Education:
STATUTORY
TRANSFERS
Universal
Basic
Education
(UBEC)
RECURRENT
(NON-DEBT)
EXPENDITURE
CAPITAL
EXPENDITURE
MINISTRY/
DEPARMENT/
AGENCY
STATUTORY = 70,470,000,000
RECURRENT = 373,452,095,037
CAPITAL = 49,536,035,231
TOTAL RECURRENT TOTAL CAPITAL TOTAL ALLOCATION
443,922,095,037
49,536,035,231
493,458,130,268
6. Recurrent Expenditure : Spending by the Ministries,
Departments and Agencies (MDA) of Government on
Salaries, Pensions & Overheads.
Capital Expenditure is used to provide infrastructure such
as roads, water and power; fund educational services such
as schools, colleges and universities; and provide
healthcare facilities and services among others.
UNDP
Recommends
United Nations Development
Programme recommendation
“Allocate 70% of Budget to
Capital Expenditure and 30%
to Recurrent Expenditure.”
7. TOTAL RECURRENT TOTAL CAPITAL TOTAL ALLOCATION
N443,922,095,037 N49,536,035,231
89.96%
N493,458,130,268
10.04%
About 90% of total allocation to Education would be spent on
Salaries, Pensions & Overheads while 10% goes to Infrastructure,
Educational services and Healthcare facilities.
Year
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Recurrent %
77.02%
81.44%
81.71%
78.15%
80.91%
86.67%
71.38%
91.09%
88.25%
85.87%
Capital %
22.98%
18.56%
18.29%
21.85%
19.09%
13.33%
28.62%
8.91%
11.75%
14.13%
Year 2004, 2007 and
2010 allocated 22.98%,
21.85% and 23.62%
respectively to Capital
Expenditure
8. From the foregoing; more money are spent in servicing
Salaries, Pensions & Overheads, which implies there are
many Staff on the payroll of the Education Ministries. By
implication also, it means there should be enough Teachers
/ Educators in all arms of our Education systems – Basic,
Secondary and Tertiary.
However, this is not so! Nigeria is in dire need of Teachers.
10,500,000
of these School-age
Children are from
Nigeria
9. How Many Teachers Are Needed?
Of the countries reported with Teacher shortage, 3 would need
to recruit more than 200,000 teachers in total by the year 2015.
In Nigeria, more than one-half of the demand (212,083) is
associated with the need to expand teaching workforces by
creating new posts.
Total UPE Teachers needed by 2015 in Nigeria is 786,161
Teachers needed in 2015:
Teacher in
Stock (2010):
Total
Recruitment
Needed:
574,078 375,479
786,161
New Posts:
212,083
Replacement for
Attrition:
163,396
10. Most of our Universities have less than 10% of their
budgetS allocated to Capital Expenditure, except some of
the new Federal Universities, Kebbi, Gashua and Gusau
that have over 30% for Capital Expenditure.
Similarly, most Polytechnics allocated less than 10% to
Capital Expenditure.
The Federal Ministry Headquarters allocated 65.29% to
Capital Expenditure, Federal Government Girls College,
Tambuwal (75.7%), National Library of Nigeria (66.61%),
Federal Science Technical College, Dayi (56.58%) and
FSTC, Michika (50.79%).
National Education Research Development Council
(NERDC) allocated 25.71% to Capital Expenditure.
Joint Admissions Matriculation Board (JAMB) allocated
0.98% to Capital Expenditure.
11. "We are very worried that over 70% of
the budget is actually going for recurrent
expenditure and less than 30% on capital
expenditure. No country develops under
such provisions because what grows a
country or builds the economy is the
amount of investments you are making
on infrastructure and other structural
issues that you required to strengthen
your economy”.
Actionaid Country Director, Hussaini Abdu
14. Observations:
2014 budget is lower than 2013, however due to the reduction
in total budget from N4.987tn to N4.642tn, 2014 Education
budget got 10.63% compared with 10.21% of 2013.
The percentage increase is almost negligible. At thus rate
Nigeria would be rated poorly and elongating the catch-up time
frame with rest of the world that are allocating over 20% of their
budget to Education.
Nigeria need to increase her budget by 2% yearly in order to
eventually allocate 20% by 2018 and 30% by 2023.
The Statutory allocation to UBEC dropped from 76.2Bn in 2013
to 70.5B in 2014.
Putting inflation into consideration, with a Deflator of 3.71 in
2014, the Real value of the 2014 Education budget is N133Bn
compare to N141Bn in 2013.
While more funds are required the issue of Governance need to
be address in order to avoid incessant strikes by academic
unions.
15. The Federal Government has decided
to inject N1.1tn into public universities
in the next 5years – N220Bn yearly
starting from 2014.
While this is commendable, the
University System is just one arm of the
entire Education System of Nigeria,
what is the extra funding plan for the
Polytechnics, Colleges of Education,
Technical Schools, Basic Education?
16. Summary of 2014 Budget Components
Recurrent Expenditure
(Salaries,
Pensions &
Overhead
costs)
Capital Expenditure
(Infrastructure,
Educational
Services &
Health)
Statutory Transfer
(UBEC)
75.68%
10.04% 14.28%