December 5, 2022

The Ogun State Government plans to spend N129, 371,366,122.38 on infrastructure next year, Governor Dapo Abiodun indicated in the N472.25 billion Appropriation Bill he laid before the House of Assembly on Thursday.

Prince Abiodun said his administration will spend N270.41 billion on capital expenditure to sustain economic growth and development of the Gateway State.

Presenting the 2023 Budget to the State House of Assembly, the governor said it has become imperative to strengthen the state’s macroeconomic environment in the coming year and address existing challenges with investment in infrastructure given the challenging global and domestic economic environment.

In the outgoing year, Abiodun allocated N170 billion to capital expenditure, ostensibly to chart economic recovery growth through investment in physical projects that would create an enabling environment for investment, create employment and trigger redistribution of resources.

The governor who reads the 2023 Appropriation Bill christened “Budget of continued development and prosperity,” before the state lawmakers led by Speaker Kunle Oluomo at the Assembly Chamber, said the proposed expenditure comprises of N201.84 billion as recurrent and N270.41 billion as capital.

He said: “A total expenditure of N472.25 billion is proposed for the State government in 2023. The proposed expenditure comprises of N201.84 billion as recurrent and N270.41 billion as capital with the following highlights: personnel costs (N79.47 billion); social contribution and social benefits (N21.12 billion); public debt charge (N39.90 billion); overhead cost (N61.35 billion); capital expenditure (N270.41 billion).”

The governor said his administration will continue with the Medium-Term Revenue Strategy (MTRS) to drive its Medium-Term Expenditure Framework (MTEF), adding that Ogun State Internal Revenue Service (OGIRS) estimates of N90.00 billion and other Ministries, Departments and Agencies (MDAs) estimates at N120.25 billion and totalling N210.25 billion as Internally Generated Revenue (IGR) will form sources of revenue for the 2023 Budget.

According to him, statutory allocation from the Federal Government (i.e. FAAC and VAT) which is expected to be N92.00billion, Capital receipts estimated at N128.37bn comprising of internal and external loans as well as grants and aids will also form part of the expected sources of revenue for funding the proposed budget.

He said the proposed expenditure comprises of N201.84 billion as recurrent and N270.41 billion as capital with personnel gulping N79.47 billion; social contribution and social benefits N21.12 billion, public debt charge of N39.90 billion; overhead cost of N61.35 billion and capital expenditure of N270.41 billion.

A further breakdown shows education sector got N66,793,498,512.13, health, N51,480,292,190.88k, housing and community development N29,102,408,070.75, agriculture and industry N16,482,708,788.43, infrastructure N129,371,366,122.38 while recreation, culture and religion has N6,906,009,489.35 allocation, IsL source, the Nation Newspaper gathered.

0 0 votes
Article Rating
Notify of
Inline Feedbacks
View all comments
Would love your thoughts, please comment.x