Ogun State Governor, Mr. Dapo Abiodun, has presented an Appropriation Bill with a provisional value of N449.97 billion to the state’s Legislature for consideration as budget for the 2020 fiscal year.
According to the budget proposal tagged ‘Budget to Build our Future Together’ laid before the State House of Assembly on Tuesday, the governor earmarked N269.132 billion for capital expenditure compared to N180.842 billion or 39.69% proposed for recurrent expenditure in the fiscal year.
Governor Abiodun told the lawmakers that the 2020 budget proposal was based on his government’s determination to deliver its electoral promises optimally.
The governor explained that out of the total estimated budget, the government would generate about N254.946 billion internally while N43. 431billion would accrue from allocations from the federation account.
Throwing more light on the recurrent expenditure provisions, the governor projected that “personnel cost will be N109.183 billion, salaries and allowances is N83. 238 billion while pension and gratuities will be N25.945 billion while overhead costs stands at N71.659billion.”
Similarly, Abiodun explained that in the capital budget, Infrastructure would gulp N107.964 billion to be followed by Social Wellbeing and Welfare, N128.06 billion. Other sectoral allocations as proposed include Education, N91. 609 billion, Youth Empowerment N7. 896 billion; Agriculture, N21. 634 billion; and Other sectors, N92. 804 billion.
He explained further: “Our administration will also put in place a workable Public Financial Management System that eliminates leakages and ensures efficient and judicious use of our common wealth.
“As a matter of fact, we are currently reviewing the State Debt Management Strategy. We equally gave an Executive Order for the establishment of the Fiscal Responsibility Commission for prudent financial management of the state’s resources”, the governor added.
In his remarks, the Speaker of the state’s House of Assembly, Hon. Olakunle Oluomo, recalled that House had passed eight bills and 10 resolutions since its inauguration on June 10 this year and also ensured adequate funding of the 2019 budget.
He assured the governor that the Legilsture would prioritise the 2020 Appropriation Bill in its deliberations with a view to ensure its timely passage.