Budgeting for development Lessons from 2013 capital

Adopting the descriptive approach, this study examined the performance of 2013 capital budget in

Nigeria in line with attainment of the transformation agenda in the country. The findings suggest that the

level of capital budget implementation is insufficient to foster the desired development. This poor

performance is attributable to inadequacy in the budget implementation plans, non-release or late

release of budgeted funds and lack of budget performance monitoring. The study recommends a

paradigm shift in budgeting by developing a realistic and credible budget guided by relevant fiscal rules

in tandem with the needs and financial capability of the country in order to take care of uncertainties in

revenue. This entails creating a realistic projection of reliable income, a healthy mix of diverse revenue

streams and consistency with the nation’s goals. In this regard, both the executive and the legislature

should collaborate in making sure that funds are released on time, and the financing of the budget could

be through long-term commercial bonds, export credit finance, private equity, infrastructure bonds and

foreign aids.