Fred Itua, and Ndubuisi Orji, Abuja

The Senate, yesterday constituted a joint-committee to engage the Executive on measures to stave off the negative effect of crude oil price crash on the Nigerian economy.

The panel is also expected to work with the Executive in the event that it wants to review the 2020 budget downward, in view of the unstable global oil market.

The action by the Senate was sequel to a point of order raised by the Senate Leader, Yahaya Abdullahi, at  plenary on rising concerns over the spread of the dreaded Coronavirus (COVID – 19) disease, which has led to the crash global oil prices across the world.

Abdullahi had earlier prevailed on the Senate in view of the price crash of crude “to hope for the best, but prepare for the worst.”

According to him, “Our Committees should be prepared, so that whatever happens, we hope this crisis does not last for long, but if it does, we have to be prepared.” He urged the joint committee to come up with workable strategies that will be harmonised with those of the Executive to stem the impact of the oil price crash on the economy.

President of the Senate, thereafter, constituted the four joint committees to include Finance, National Planning, Appropriation, and Petroleum (Upstream).

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Lawan, in his remarks, said: “The issue of the current situation affecting the entire world, and the second we are suffering from today is the crash in the price of crude.

“We passed the Fiscal Strategy Paper and MTEF, and subsequently the budget, on the benchmark price of $57 per barrel. Today, that price has crashed to $31 USD or there about, and we don’t know where this will stop and of course, the economy of our country depends largely on the export of crude oil. “Now, this is a real situation that is starring us in the face. As a parliament, we need to be proactive and up-to-date with the situation, so that we are also able to take a decision when it matters for us to do so.

“Therefore, I will suggest here that in order for this Senate to be proactive and to protect whatever will be the situation for Nigeria to implement the budget in a way and manner that will positively affect the lives of our citizens, we  have formed a joint committee.

“This Joint Committee will continue to engage with people in government, as well as people outside of government, so as to be abreast with all necessary information. The committee will engage with the Ministry of Finance and National Planning, and any other Ministries that you feel you need to have engagement with for you to have information.”

Meanwhile, the House of Representatives yesterday, expressed concern over the dwindling price of crude oil at the international market, following the Coronavirus, outbreak now affecting several countries.

The House, which argued the development was likely to affect the 2020 Appropriation Bill adversely, resolved to set up an ad-hoc ommittee to examine the issue.The committee is expected  to examine the effects of the COVID -19 on the prices of crude oil, especially how it affects the  oil benchmark for the 2020 budget . This followed the adoption of a motion by the chairman, House Committee on Finance, Abiodun Faleke, at Tuesday’s plenary. He prayed the House to set up a joint committee comprising of finance, petroleum,  budget and planning to inter face with stateholders  and report back to the House within 2weeks.