LIVE UPDATES
The Federal Government has required that all Ministries, Departments, and Agencies provide the Global Positioning System coordinates for all capital projects valued at N150 million and above in their expenditure submissions for 2025.
This directive, outlined in the official implementation guidelines for the 2025 Appropriation Act, seeks to enhance transparency and accountability in the execution of capital projects across the nation.
According to the new guideline from the Budget Office of the Federation, this requirement will be applicable to all MDAs as they submit their monthly expenditure plans to both the Budget Office and the Office of the Accountant-General of the Federation.
These plans are to be submitted by July 31, 2025, and will serve as the foundation for cash planning throughout the year.
The document states, “All MDAs are asked to submit their monthly Expenditure Plans for the entire year to the Budget Office of the Federation and the Office of the Accountant-General of the Federation by July 31, 2025, which will inform cash planning.
The Expenditure Plans of the MDAs must include the GPS coordinates for all capital projects worth N150 million and above.”
Additionally, the Director-General of the Budget Office must approve each MDA’s expenditure plan to ensure that it aligns with the provisions of the 2025 Appropriation Act and the Federal Government's immediate priorities.
This initiative is intended to reinforce the Bottom-Up Cash Management strategy currently in operation and minimize instances of duplicated, abandoned, or untraceable projects.
It is also designed to improve project verification processes and facilitate digital monitoring tools by allowing for the independent tracking of project locations.
Alongside this new GPS requirement, the guideline emphasized that procurement planning must begin immediately and be strictly aligned with approved budget provisions, warning that capital budget implementation will not extend past December 2025.
Furthermore, the Federal Government indicated that monthly cash releases to MDAs will depend on the expenditure plans submitted and guided by a comprehensive cash plan for the fiscal year 2025.
The cash plan will be prepared by the OAGF in accordance with the Fiscal Responsibility Act of 2007, and the consolidated cash plan must be approved by the Minister of Finance and Coordinating Minister of the Economy.
This latest directive underscores a renewed focus on traceability and fiscal discipline in capital expenditure, particularly amid rising concerns regarding the impact and oversight of large public projects.
