Budget Office Explains Why PFIPC Was Denied Financial Clearance Amid Ongoing Controversy
By The Analyst Online Media
The Budget Office of the Federation has clarified why it withheld financial clearance for the Presidential Foreign Investment Promotion Council (PFIPC), stating that the council failed to meet all the statutory requirements necessary for recruitment and expenditure.
In a statement issued on Friday by the Director-General of the Budget Office, Tanimu Yakubu, the agency explained that although the PFIPC appeared in the 2026 Appropriation Act, its budgetary allocation alone did not authorize recruitment, payroll enrolment, or release of public funds.
According to the Budget Office, financial clearance serves as the official confirmation that all fiscal and regulatory conditions for recruitment have been fulfilled. Since those conditions remained incomplete, the council was not granted the clearance required to begin operations.
The agency noted that the PFIPC was allocated N1.303 billion in the 2026 budget, comprising N802.98 million for personnel costs, N200 million for overheads, and N300 million for capital expenditure. However, it stressed that these provisions remained budgetary figures that could not be accessed without the necessary approvals.
The Budget Office further disclosed that the PFIPC initially requested N3.85 billion for personnel costs, but the office rejected the proposal and independently calculated the approved personnel allocation using the authorised establishment, approved recruitment waiver, applicable salary structure, and standard personnel-cost methodology.
It explained that while the council had received an administrative budget code from the Office of the Accountant-General of the Federation and an authorised establishment with a recruitment waiver from the Office of the Head of the Civil Service of the Federation, another critical requirement remained outstanding.
According to the statement, the National Salaries, Incomes and Wages Commission had not confirmed that the proposed staffing structure and remuneration complied with the approved public service compensation framework.
The Budget Office therefore maintained that it could not lawfully issue financial clearance or authorise recruitment until all regulatory conditions had been satisfied.
The clarification comes amid the controversy surrounding the PFIPC, whose existence was publicly denied in June by the Presidency through the Chief of Staff to the President, Femi Gbajabiamila.
The council's Director-General, Adeniyi Adeyemi, had challenged the Presidency's position and later accused the Chief of Staff of demanding money in connection with his appointment—an allegation that was denied.
Adeyemi is currently in the custody of security agencies over allegations linked to the PFIPC scandal, including alleged forgery.
The Central Bank of Nigeria (CBN) has also confirmed that it opened two domiciliary accounts for the PFIPC on the directive of the Office of the Accountant-General of the Federation. However, the apex bank stated that the accounts, denominated in United States dollars and British pounds sterling, were never funded or operated.
The Budget Office concluded that the established financial control mechanisms worked as intended in the PFIPC case, preventing public funds from being disbursed because the necessary legal and regulatory requirements were not fully met.
The agency added that no lawful recruitment, payroll enrolment, salary payment, procurement process, or cash release was carried out under the council despite its inclusion in the 2026 federal budget.