The Nigerian Communications Commission (NCC) has clarified the issue of N17.3billion in its 2021 budget, saying the sum of N17.3bn was a “Surplus/(Deficit) retained for the period) and not that the Commission incurred the sum of N17.3bn.
The NCC’s clarification is a reaction to an online publication with a headline titled: “NCC Incurs a Deficit of N17bn, Spending N35.2bn on Personnel and Consultancy Fees”.
According to a statement signed by Reuben Mouka, Director of Public Affairs at NCC, the online publication is far from the truth, expressing concern with the inability of the online publication to accurately interpret the contents of its 2021 Annual Reports which have been made public.
“Though the Statement of the Financial Performance of the Commission for the period ended December 2021, clearly indicates that the sum of N17.3bn was a “Surplus/(Deficit) retained for the period)”, this does not imply that the Commission incurred a cash deficit as the expenditure in its financials were both in cash and accruals applicable to the year,” it explained.
The statement added that if the publication had inquired of the constituents of the Commission’s expenditure, it would have learned that the expenditures for the year 2021 included accruals for items undergoing procurement at the end of the year, like the State Accelerated Broadband Initiative, SABI, being implemented by the Commission, which was standing in the sum of about N24bn in the financial report.
“The Commission also remitted an Operating Surplus/Spectrum Fees of estimated N197.7bn to the Federal Government, under the same Financial Performance Reporting period, and had a bank balance of about N46.97bn, erasing any doubt that there was any deficit spending.
“The Commission, therefore, disclaims the wrong impression created by the above headline, and subsequent misinterpretation of our financial report in the publication may have had in the minds of the public, and stakeholders.
“The Commission reiterates its commitment to effective and transparent processes in all its regulatory, management and financial activities,” it said.