ABSTRACT

This research work was carried out to investigate the problems and prospects of budget and budgetary control on the performance of government ministries and parastatals in Nigeria with particular reference to Abia State ministries of finance, various literature containing information and studies in the area of budget and budgetary control on the performance of government ministries and parastatals was reviewed with reference to the fact that the researcher used questionnaire, interview and observation, and also relevant lecture notes, text books, etc. simple percentage was used in analyzing research questions and chi -square in testing hypothesis. The research put together the problems of budget and budgetary control on the performance of government ministries and parastatals into two hypothesis which are tested using the data obtained from response from budget 's officials of the Board (Abia State Ministries offinance), personal interviews were conducted, questionnaires were also distributed and returned with answers. The population for this study embodies the entire staff of ministries offinance (MOF) Abia State. As at the time of this study, the population was two hundred (200). The sample size purposely used for this study is determined by the Taro Yamanis formula which was 133. Due to some limitation in this study the sample was stratfled to50. it was found that efficient budget and budgetary control on the performance of government ministries and parastatals in Nigeria enhances government corrective measure taken. It was finally concluded that the system of budget and budgetary control on the performance of government ministries and parastatals in is inefficient. Recommendation made included that budget committee should be formed and all heads of departments should be members. Recommendation made also included reviews that firms should use budgets and budgetary control to cheek unnecessary capital expenditure and expansion. Finally, the organization should employ the service of a budget expert in order to ensure effective production and cost control.