- The Ministry of Health spent ₦18 million instead of 4 million budgeted for the training;
- This act depicts a lack of value for money and the diversion of public funds;
- Not to mention it contravenes the Financial Regulations- hence, the funds must be refunded;
- Expert demands deliberate health delivery and financial transparency as the solution to the denigrated health system.
When the head is faulty, how can the body function? Questions Dataphyte poses as the 2018 audit reports highlight financial irresponsibility from the Federal Ministry of Health Abuja.
Again, the 2018 audit report red-flagged the Ministry for spending ₦18 million (exactly ₦18,770,000.00) instead of the budgeted 4.8 million (exactly ₦4,860,000.00); a move reminiscent of funds diversion and fiscal imprudence. What is more? The Ministry spent the additional ₦13 million (exactly ₦13,910,000) on a 2- day training and dialogue. The latter being a bilateral discussion with chief executives (Chief Medical Directors and Chairmen of the Medical Advisory Council) and the ministry of budget and finance.
Even more woeful are that these extrabudgetary expenses from government parastatals are not novel. Actions that have deprived the economy much needed growth. Not to mention robbing an already struggling health system. Recall, Dataphyte reported several health challenges Nigeria battled last year to that effect; challenges exacerbated by a scarcity in funds.
Financial Regulations infringed on, again
In all, this inherent infraction insinuates that the ministry of health does not portray the expected value for public money, a possible explanation for this discrepancy. Not to mention the Ministry neglected to respond to the Auditor-General’s allegation. A silence which suggests an ascent to these financial irregularities. Overall, their actions betray the ethical standard of saving lives and valuation of resources which would better serve to provide amenities to meet current health challenges.
In the same vein, the Federal Ministry of Health Abuja also contravened the Financial Regulation (FR) 415, by spending above the stipulated budget. FR (415) provides that “The federal government requires all officers responsible for expenditure to exercise due economy. Money must not be merely spent because it has not been voted.”
As a consequence, per FR 3115, erring accounting officers get the boot and refund the sum. Therefore, the Ministry is mandated to refund the extra budgeted money spent, else the accounting officer in charge of the disbursement faces the law for their negligence.
Cost of financial impropriety amid Nigeria’s health challenges
As it stands, the Nigerian health system has its work cut out for it. A fact Dataphyte continues to preface. Yet, amid these infrastructural deficits, health challenges abound, cutting across every sphere. It ranges from orthodox HIV/AIDs which, according to UNICEF, sees 90,950 Nigerians infected annually, to the novel coronavirus, and everything in between.
However, at the background of these challenges lie a funding problem. For instance, Nigeria allocated just ₦427 billion to the health sector in 2020. A move in clear violation to the 15% of a nation’s budget the African Union benchmark stipulates promoting health delivery across the continent. Even in 2021, this trend continued with the ₦547 billion allocations to the health sector, a dismal 4% of the ₦13.6 trillion.
Why is this important? When talking about fiscal responsibility, it is important to preface the funding challenge Nigeria’s healthcare faces. Given all these inadequacies, it becomes outrageous for the very Ministry that should champion financial astuteness to be wanting.
“Nigeria needs to focus its attention on health service delivery”- Expert
Responding to Dataphyte, Policy Analyst, Atiku Samuel highlighted a few discrepancies in Nigeria’s health service delivery. First, the government should emphasis health service over budget performance, noting areas of improvement. Therefore, it is expedient for the health ministry to put transparency as their watchword in all their financial dealings with health stability in the country.
“Looking at the Nigeria health sector, they lack basic infrastructure. Equipment, health services and general service delivery are horrible; because we do not have a good performance index for our financial expenditures. The problem in Nigeria is that you can spend 100% of your budget on nothing, yet they will appreciate you. Nigeria needs to focus its attention on health service…”Atiku Samuel, Policy Analyst