Govt to generate savings, investment through proper procurement process
Minister for Finance, Kemi Adeosun
MINISTER of Finance, Kemi Adeosun has pledged commitment to streamline government procurement processes to generate more savings from elimination of wastages and excess capacity and duplication to boost the economy.
According to Adeosun, there was an urgent need for government to use its large purchasing power to negotiate favorable terms from suppliers and increase transparency through the introduction of price guidelines.
Adeosun, who stated this at the Efficiency Unit, media round table held in Lagos Wednesday, explained that government would save N4.14 billion on travels on a yearly basis” if a price discount of five per cent was secured on average annual expenditure of N83 billion on travels.”.
According to her, government is doing everything within its powers to achieve proper over heading spending profile in order to enhance cost efficiency and maximum value for procurement.
To this effect, she explained that the ministry has concluded arrangement to strengthen internal control and ensure that compliance and enforcement is mandatory in Ministries, Departments and Agencies (MDAs).
Adeosun, who was represented by the Head, Efficiency Unit, Federal Ministry of Finance, Patience Oniha, explained that if procurement processes are streamlined, government would generate savings from elimination of wastages and excess capacity and duplication.
“We have some professionals working with us. We have people that will support, provide data to ensure that they conform to the guidelines, even in operations.”
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2 Comments
Absolutely! You are using the right languages. Sanitised spending, savings, investments, streamlined controls and quality services; you are talking about a healthy GDP at least on which there should be expectations for growth. The economy needs quality results and timely deliveries this time, no more rigmaroles and public relations exercises with nightmarish speculations. ‘Just do it’, like in the Nike commercial.
They have the right idea and now it is a matter of ensuring that the career civil servant are following the procedures and that it is automated. There is also the need to ensure that we are spending the funds to grow local content. There is no reason any MDA should be importing supplies when we can produce it locally. even if they have to set up a company to produce their supply.
We will review and take appropriate action.