Ogun State Governor, Senator Ibikunle Amosun, on Tuesday presented a budget of N210.354bn for the fiscal year 2015 before the Ogun State House of Assembly.
The 2015 budget was N326m above the 2014 approved budget of N210.28bn.
Explaining this to the 26-member legislators, the governor said, “The rationale for this is that the macro-economic outlook driven by global oil prices suggests a contraction in the national economy.”
His words, “I have always maintained that Ogun State is not immune from the wider economy. However, I am confident that we will be able to maintain our budget size by innovatively growing our internally generated revenue.”
Mr. Amosun said the budget would be funded with the state’s Internally Generated Revenue (IGR), which currently fluctuates between N5 Billion and N6 Billion monthly.
Amosun equally seized the opportunity to reel out his achievements in the last three and a half years of his administration in the state, saying “We have striven within the available resources to lay a solid foundation for our future development. We have worked hard to address the huge infrastructure deficit. We have also improved the security situation in the state and have restored our people’s confidence in government”.
“Indeed, we have succeeded in creating a good and befitting image for Ogun State Government and most importantly the good people of Ogun State. International, Multi-lateral and National Agencies who had hitherto written Ogun State off now find in us reliable partners and are willing to assist in our developmental efforts’. We, therefore, need to sustain this tempo and continue to build on this solid foundation.”
The governor said the budget would focus on successful completion of projects, maintenance of completed ones and exploring other initiatives to develop the state.
A breakdown of the proposed budget shows that Capital Expenditure would take N118.26billion (56 per cent); N92.09billion is earmarked for Recurrent Expenditure.
Of the amount allotted to Recurrent Expenditure, N50.15billion would be spent on salaries and allowances of workers; pension and gratuities take N10billion. The balance of N31.94billion goes to overhead cost.
The governor said the government would build housing estate in Sagamu, Agbara, Ijebu and other areas.
Amosun further said the Appropriation Bill was very unique and germane because it spills into another political transition, hence the significance of partnering with stakeholders for the sustenance of the progress made by the administration.
He recalled that few weeks ago, the World Bank, in its 2014 Report, on “doing business in Nigeria,” rated Ogun State as one of the first five most improved states in the country.