The House of Representatives has approved the 2014-2016 Medium Term Expenditure Framework and Fiscal Strategy Paper, but altered the crude oil benchmark to $79.
In a dramatic session that lasted over three hours, the House put aside the $76. 50 agreed with the Senate and the $74 proposed by the executive.
The House however retained the $160 exchange rate for a three year period and agreed that should the projected crude production fall below what was budgeted, funds from the excess crude account should be used to boost the yearly budgets.
It was, however gathered that there was a sharp division in the House over the decision of adopting the benchmark. A closed door session split the House into two with 79 members supporting $79 take while 62 stuck with Jonathan’s proposal of $76.5.
Channels TV’s National Assembly correspondent, Lanre Lasisi reports that though it’s clear the projections that will eventually be passed in the Medium Term Expenditure Framework will not influence the basis for the 2014 budget, making it almost certain that the budget will have to be reworked and most certainly will not be passed this year.
