ICPC Blocks Diversion of N189 Billion in Unspent Personnel Costs
By Patience Ikpeme
Efforts by various Ministries, Departments, and Agencies (MDAs) of the federal government to divert N189 billion in unspent surplus personnel costs between 2019 and 2020 were thwarted by the Independent Corrupt Practices and Other Related Offences Commission (ICPC).
This was disclosed in a recently published report by Agora Policy titled “Imperative of Strengthening Nigeria’s Transparency and Accountability Measures.” The blocked amount represents 8.25% of the N2.29 trillion aggregate personnel cost budget for 2019.
The Agora Policy report revealed that the ICPC’s intervention was made possible through the monitoring of the Open Treasury Portal, a transparency initiative inaugurated in December 2019 by former President Muhammadu Buhari.
The portal was designed to ensure accountability by requiring MDAs to publish daily financial summaries for transactions exceeding N5 million and submit monthly budget performance reports.
The report highlighted how budget manipulation by government officials often resulted in MDAs receiving allocations beyond their actual needs, leading to unspent surpluses that were targets for diversion. It also noted the consistent year-on-year rise in personnel costs, which stood at N1.6 trillion in 2016 but increased to N2.90 trillion in 2017—a 71.6% hike despite no official upward adjustments in salaries or minimum wage during the period.
Despite its achievements, the Open Treasury Portal faces significant implementation challenges. According to the Agora Policy report, not all MDAs consistently upload or update required information. Factors such as non-compliance by officials, technical limitations, and outright sabotage undermine the portal’s effectiveness.
“For instance, not all MDAs have their daily financial records summary on the portal,” the report noted. These lapses persist despite federal government guidelines mandating MDAs to keep the portal active and accessible.
The report also examined the Whistleblowing Policy, highlighting institutional barriers to its effectiveness. It observed that Nigerians face a paradox of engaging in corrupt practices for survival while lamenting the societal harm caused by corruption.
The report underscored the significant economic impact of corruption, referencing studies to support its findings:
A 2019 National Bureau of Statistics (NBS) study revealed that bribe-payers spend an average of 6% of their annual income on bribes.
A 2009 African Peer Review Mechanism (APRM) report identified corruption as the greatest obstacle to Nigeria’s development.
A 2016 PricewaterhouseCoopers (PwC) report estimated that Nigeria could lose up to 37% of its GDP to corruption by 2030 if left unaddressed.
Agora Policy called for sustained efforts to strengthen Nigeria’s transparency and accountability frameworks. While acknowledging the commendable gains of initiatives like the Open Treasury Portal, it emphasized the need to address implementation challenges and institutionalize compliance to ensure long-term success.
The report serves as a reminder of the ongoing battle against corruption in Nigeria and the importance of robust mechanisms to safeguard public funds.
