According to Senator Bagudu, the loan facility will improve financing availability and effectiveness for basic education and primary healthcare in all states of the federation. The project also seeks to enhance transparency, accountability, and performance management in these critical sectors.
Bagudu elaborated: “The fund will help improve recruitment, deployment, and performance management of teachers, thereby ensuring a stronger foundation for education. Similarly, it will bolster primary healthcare services, addressing gaps in service delivery and accountability.”
While commending the World Bank for its support, Bagudu emphasized the legal framework underpinning Nigeria’s budgeting process. He noted that Chapter 5, Part 2, Section 122 of the Nigerian Constitution allows federal and state governments to make expenditures for up to six months into a new fiscal year, pending the passage of a new budget.
He also highlighted the ongoing economic reforms initiated by the administration of President Bola Ahmed Tinubu. According to Bagudu, these reforms aim to develop and implement economic and tax policies that will ensure a more functional Public Financial Management (PFM) system.