By Eshiorameh Sebastian in Abuja
The Federal Government has announced the approval and release of special intervention funds designed to cushion the severe financial and operational constraints being experienced by Nigerian Diplomatic and Consular Missions across the globe.
The move, detailed in a comprehensive press release from the Ministry of Foreign Affairs on Monday, came in direct response to widespread reports of Missions struggling to meet basic obligations, including the payment of salaries for locally recruited staff, rent, and allowances for diplomats.
The statement, signed by the Ministry’s spokesperson, Kimiebi Imomotimi Ebienfa, acknowledged that the financial situation stems from budgetary limitations over the years, resulting in significant shortfalls in allocations.
It confirmed that these shortfalls have “significantly impacted the optimal functioning of many of our Missions abroad, and the ability to deliver on their core diplomatic and consular mandates effectively.” The Ministry was keen to stress that the Missions are “not immune to the economic situation at home and its attendant challenges to government operations.”
In a decisive effort to tackle the crisis, the administration of President Bola Ahmed Tinubu has given its approval for remedial measures.
“The government is taking decisive and concrete steps to address the issues of fund allocation to all its Missions abroad. One such remedial measure was the approval and release of special intervention funds to cushion the effects of the hardship faced by some of the Missions,” the statement read.
To ensure transparency and prudent management of the disbursed funds, the Ministry established a special committee to meticulously assess and confirm the debt profiles of the affected Missions. This was done “with a view to ensuring that payments are justifiable and carried out based on equity and fairness to all those affected.”
This verification process has yielded swift results. The Ministry reported that “based on responses from Missions and documentary evidence provided, more than 80 per cent of the available funds have been cleared for payments, with priority given to service providers, salaries of locally recruited staff and arrears of claims due to officers, respectively.”
This prioritisation is expected to bring immediate relief to the most pressing issues, ensuring local employees receive their long-awaited salaries and critical services can be restored.
Furthermore, the Ministry revealed it has successfully secured approval to address a major root cause of the recent trouble: foreign exchange differentials. The Ministry had “engaged the Office of the Accountant-General of the Federation in obtaining refunds for the shortfall in Missions’ allocations in the 2024 fiscal year due to foreign exchange differentials associated with the new monetary policy and the harmonisation of exchange rates.”
The government has “graciously approved the settlement of the shortfall,” with the first tranche of this allocation already remitted to all Missions. The statement confirmed that “some having confirmed receipt.” In a parallel development, the Second Semester Allocations for the Missions have also been approved, signalling a sustained commitment to regular funding.
Looking ahead, the Ministry is already working to prevent a recurrence of the crisis. Officials are currently “engaging with the Federal Ministry of Finance and the Central Bank of Nigeria to facilitate the prompt release of Personnel and Overhead Cost Allocations to all Missions, starting this week, to clear outstanding Allowances and further alleviate the financial situation of the Missions.” The statement noted that with these concerted efforts, “Missions have begun to stabilize.”
A longer-term strategy is also being developed, as the Ministry is “working diligently to develop a sustainable financial model for funding our missions abroad, which includes exploring innovative solutions and efficiency measures to ensure long-term operational stability.” These reforms are described as being “integral to the broader public sector financial reforms being implemented by the Federal Government, aimed at enhancing fiscal governance and ensuring the effective allocation of resources.”
The statement concluded by recognising “the resilience and dedication of its diplomatic staff who continue to discharge their duties with commendable patriotism under these difficult circumstances,” and thanked “host governments, service providers and our international partners for their understanding and continued cooperation.”
The Nigerian government reassured all that it “remains unwavering in its commitment to providing the necessary support to all its Missions abroad with a view to enabling them to function at their full capacity,” expressing confidence that “the current challenges are temporary and will be overcome through the concerted efforts of this administration.”
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