The Securities and Exchange Commission (SEC) said, it recorded a total sum of N2.5 billion surplus, six months into the implementation of 2022 Budget as against the projected deficit of N1.6 billion.
SEC Director General, Mr. Lamido Yuguda disclosed this at the 2023-2025 Medium Term Expenditure Framework/Fiscal Strategy Paper, MTEF/FSP interactive session with the House of Representatives Committee on Finance in Abuja, Tuesday.
Mr. Yuguda stated that 2020 and 2021 were particularly difficult years for the Commission as it was running a deficit, however, disclosed that the current management was able to reposition it on a part of sustainable growth.
“When we came on board, it was very difficult but we assured the National Assembly that we were going to take certain actions to make this deficit a thing of the past and our story this year is that we have actually turned the corner.
“If you look at our 2021 and 2020, compare with the 2022 budget and the 6 months in 2022 you will see that there is an actual improvement in the way we manage the finances of the Commission. It shows our budget for 2022 and the actual out time for the first half of that year. You can see that we projected a deficit of N1.6 billion, but as at the end of the first half, we have a surplus of about N2.5 billion ”, he said.
He stated that the presentation was a summary of the kind of efforts the current Management has made over the past few years to position the Commission on the path of fiscal sustainability.
Yuguda told the Members that the SEC has so far carried out its promise to reduce the top heavy structure in the Commission by offering some top personnel a voluntary exit package.
He said, “Mr. Chairman we were top heavy and we said before this committee that we had a plan to offer a voluntarily early exit to some of our top personnel and I am happy to report that at the end of last year we offered this scheme and quite a number of our staff took the offer and we were able to substantially reduce our work force by almost 30%.
The DG disclosed that although the Commission makes more money when the economy is buoyant, he also stated that due to the current shape of the economy, there was the need to cut cost.
While admitting that the commission has been operating under very difficult circumstances since it is currently superintending over a market that was affected by the negative impact of the coronavirus pandemic, he assured that steps are being taken to ensure that the fortunes of the SEC continues to improve.
He said: “If we go through the Medium-Term Expenditure Framework which we started last year, if we look at 2022 and 2023, you will see that we have worked on our expenditure and the deficit is now turning into a surplus. surplus. We therefore need the support of all to engineer the kind of transition we are thinking of at the SEC.
Speaking, the Chairman of the House of Representatives Committee on Finance, Hon. James Abiodun Faleke commended the commission for the decisive steps taken in ensuring that it attains fiscal sustainability.
“Last year when you came here, we challenged you to look inwards and return the SEC to sustainability and I am happy you have done that and that you are living up to expectations. I want to commend you for your efforts thus far, while also admonishing you to work harder”, he said.