Abia State, Nigeria, August 19th, 2024 – The Foundation for Environmental Rights, Advocacy, and Development (FENRAD) has issued a strong call for an urgent review of the earnings of federal lawmakers in Nigeria. This follows recent revelations that suggest the current compensation structure is not only unsustainable but also indicative of gross fiscal irresponsibility in a nation grappling with mounting economic challenges.
Unsustainable Earnings Amid Economic Struggles
Recent reports indicate that a Nigerian senator earns approximately ₦21 million per month, including allowances and running costs. This figure, coupled with Nigeria’s persistent budget deficits and debt servicing obligations that consume nearly all national revenue, has sparked outrage among citizens and civil society organizations alike. FENRAD highlights that such financial practices are incompatible with Nigeria’s current fiscal environment, where the majority of the population is experiencing severe economic hardship.
The Foundation references the testimonies of former federal lawmakers, such as Sen. Sani Shehu, who disclosed that during his tenure, a senator earned slightly over ₦13 million monthly. Similarly, former House of Representatives member Sergius Ogun revealed that he earned ₦8 million monthly. The discrepancies in these figures further fuel concerns about the transparency and justification of the current earnings structure.
Calls for Cost-Cutting and Transparency
In light of these revelations, FENRAD has urged the government to reassess the financial packages allocated to federal lawmakers, advocating for adjustments that reflect the current state of the nation’s economy. The call aligns with broader public demands for a reduction in the cost of governance, which many see as a crucial step towards achieving fiscal stability and economic recovery.
Former President Olusegun Obasanjo recently contributed to the discourse, alleging that federal lawmakers set their own salaries. While this claim was met with a response from the Senate’s spokesperson, the issue remains contentious. FENRAD acknowledges that the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), as stipulated in the 1999 Constitution (as amended), is responsible for determining the basic salaries of parliament members. However, the Foundation raises concerns about the additional allowances and running costs that, when consolidated, inflate the total earnings of lawmakers to unsustainable levels.
The Disconnect Between Lawmakers’ Earnings and National Realities
FENRAD’s statement draws attention to the stark contrast between the earnings of federal lawmakers and the dire circumstances faced by millions of Nigerians. With over 133 million citizens living in multidimensional poverty, 20 million children out of school, and widespread deaths from preventable diseases like cholera and monkeypox, the Foundation questions the justification for such exorbitant compensation packages.
The Foundation also criticizes specific allowances, such as hardship allowances and severance pay, which amount to 300% of a lawmaker’s basic salary. These payments, FENRAD argues, are unwarranted in the context of Nigeria’s current challenges. The organization also highlights the incongruity of lawmakers receiving recess allowances despite the fact that the National Assembly is required to meet for a minimum of 181 days annually. In 2021, the Senate met only 66 times, yet lawmakers still received their full salaries and allowances.
FENRAD emphasizes the irony of this situation, noting that while lawmakers appear to be working part-time, they continue to receive full-time pay. This, the Foundation argues, is a blatant insult to the average Nigerian worker, who often works six days a week for a meager minimum wage of ₦30,000—an amount that has not been adjusted since its implementation in 2019.
The Need for Transparency in National Assembly Spending
One of FENRAD’s primary concerns is the lack of transparency surrounding the National Assembly’s budget. Despite the Assembly’s role in overseeing government spending, its own budget remains opaque, with no public records detailing how funds are allocated and spent. This lack of accountability is particularly troubling given the significant sums involved. For instance, the National Assembly’s budget for 2024 was ₦197 billion, surpassing the ₦102.5 billion allocated to the National Agricultural Development Fund (NADF) in the same year.
In January 2024, this budget was inexplicably increased by over 70% to ₦344.85 billion, prompting FENRAD to question the rationale behind such a substantial increase. The Foundation stresses the importance of financial transparency and calls for the National Assembly’s spending to be made fully public and accessible to all Nigerians.
A Call for Fiscal Responsibility and Reforms
In addition to calling for transparency, FENRAD advocates for the imposition of a spending cap on the National Assembly. With inflation on the rise, food crises showing no signs of abating, and widespread food insecurity, the Foundation warns that the current trajectory is unsustainable and risks plunging Nigeria into a state of economic and social instability.
FENRAD also criticizes the inclusion of constituency development funds in the National Assembly’s budget, arguing that project execution should be the responsibility of the executive branch of government, not the legislature. The Foundation, along with its partners, has monitored these projects and found them to be insufficient, further underscoring the need for legislative reforms.
Conclusion: A Call for Action
As Nigeria continues to face significant economic challenges, FENRAD’s call for a review of federal lawmakers’ earnings is a timely and necessary intervention. The Foundation urges the government and relevant authorities to take immediate steps to address the issues of fiscal irresponsibility, lack of transparency, and inequitable compensation structures. By doing so, Nigeria can begin to move towards a more sustainable and equitable future, where the interests of all citizens are prioritized, and the cost of governance is aligned with the nation’s economic realities.
Signed:
Comrade Nelson Nnanna Nwafor
Executive Director, FENRAD
