The Nigerian Government has extended the execution of the N1.58tn capital component of the 2016 budget to the end of March 2017.

This is contained in a circular with reference number OAGF/CAD/026/V.111/108, issued by the Accountant-General of the Federation, Alhaji Ahmed Idris, The Punch reports.

The circular, which was issued on Friday in Abuja, was addressed to top government officials such as the Chief of Staff to the President, Secretary to the Government of the Federation, ministers, National Security Adviser, Governor of the Central Bank of Nigeria and all service chiefs.

Others are the Chairman of the Federal Inland Revenue Service, all permanent secretaries (federal), Clerk of the National Assembly, Auditor General of the Federation, all vice chancellors of federal universities, all directors of finance and internal audit and all directors-general.

The circular, titled “Guidelines for financial activities for end of year 2016”, stated that while the implementation of the recurrent budget was expected to end on December 31, 2016, the capital component would be allowed to go on until March ending.

The AGF also explained that the need to issue the circular became imperative in order to promote probity, transparency and good governance.

The circular read in part, “It has become imperative to provide guidelines to all Ministries, Departments and Agencies and other arms of government on financial activities for the fiscal year ending December 31, 2016.

“The objective of the guidelines is to promote probity, transparency, accountability and good governance in line with the policy of trust of the present administration.

“All ‘unspent’ balances in the recurrent expenditure cash books at the end of 2016 financial year will be closed.

“The Government Integrated Financial Management Information System platform will be closed by midnight of December 31, 2016 and the MDA balances will be mopped into the Consolidated Revenue/Treasury Single Account accordingly.

“The unexpended recurrent votes of the MDAs on the TSA-sub accounts under the CBN/Remita gateway for the 2016 financial year shall similarly lapse at midnight of December 31, 2016.”

“Capital allocation and statutory transfer for the financial year ended December 31, 2016 will not be closed but extended to March 31, 2017.

“Accordingly, all MDAs will have access to their capital funds and statutory transfers up until March 31, 2017 as may be applied by the National Assembly.”