Budget: 24 states to spend N6.82 trillion in 2022 fiscal year

Posted by News Express | 3 January 2022 | 414 times

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Twenty four states of the federation have projected a cumulative budget spending of N6.82 trillion for the 2022 fiscal year. In the ranking, Lagos State comes top with a total budget estimate of N1.758 trillion for the fiscal year, according to collation of states’ budget.

 The states made provision for current and capital expenditures in the presentation of their 2022 budget outlays presented by the governors to the various lawmakers. Akwa Ibom comes next to Lagos State in terms of budget size with a total of N586.9 billion.

 In his estimation, Governor Samuel Ortom of Benue State presented a budget proposal of N155.611 billion to the state’s House of Assembly. While capital expenditure is N56.819 billion, representing 36 per cent of the budget, recurrent expenditure was pegged at N N98.792 billion, representing 63 per cent of the budget. Of the amount, personnel cost is projected at N47.569 billion or 30 per cent of the state’s budget.

Cross River State projected a total budget estimate of N276 billion. Of the sum, recurrent is N106 billion and capital expenditure N170 billion. The state House of Assembly is yet to pass the budget.

 In 2022 fiscal year, Adamawa State Governor, Ahmadu Umaru Fintiri, presented a budget estimate of N163.6 billion to the House of Assembly. The recurrent expenditure estimate is N98.8 billion (60 per %), capital expenditure, N64.7 billion (40%).

On its part, Kano State proposed to spend N196.3 billion in 2022. The governor, Umar Abdullahi Ganduje, in the budget presentation to the state’s House of Assembly, pegged capital expenditure at N107.5 billion and recurrent expenditure at N88.2 billion. In the budget, revenue projection was N49.508 compared to 2021 figure of N40.5 billion; education is taking 26 per cent of the total budget with N51.6 billion allocation.

The Ministry of Works received N33.8 billion as consolidation to complete all the ongoing projects, which the governor said was aimed at turning the state to a mega city. It has recurrent revenue of N146.8 billion, out of which N33.8 billion is expected to come from internally generated revenue, federal allocations, N68.299 billion and VAT, N37.556 billion.

 In 2022, Ekiti State proposed to spend N100.75 billion. The Governor, Dr Kayode Fayemi, recently signed the 2022 Appropriation into law. Christened “Budget of Legacy and Consolidation,” the governor promised to complete all ongoing legacy projects and consolidate on other achievements recorded in the past three years.

 The budget, with a percentage ratio of 60:40 recurrent to capital expenditure, according to Fayemi, is designed to complete the Ekiti Cargo Airport, the Ado-Iworoko section of the Ado-Ifaki Road, renovation of township roads, and the commencement of the construction of farm roads across the state.

“The budget has been designed to help us achieve our goal of finishing well, by consolidating the gains of the last three years, and handing over an enduring legacy to our successor government. It has been designed to ensure we complete most, if not all, of our capital projects, while also ensuring the day-to-day operations of government continue to run smoothly,” Fayemi said.

Governor Babajide Sanwo- Olu in an Appropriation Bill to the Lagos State House of Assembly for the approval, tagged the bill budget of consolidation. The governor said the budget would be the final full year budget implementation before 2023 general election. He said the budget estimate would afford the state an excellent opportunity to consolidate on what had been done so far and ensure that every effort, every investment, every partnership, every policy, is translating maximally into noticeable positive impact in the lives of our people.”

In Osun State, Governor Adegboyega Oyetola recently signed the appropriation bill into law. He reiterated his administration’s commitment to delivery of prosperity to the people, provision of jobs and opportunities for the youth, delivery of more infrastructure and putting Osun on a surer footing. In Delta state, Governor Ifeanyi Okowa presented a budget of N469.5 billion for 2022 to the state’s House of Assembly. The House upscaled it to N479 billion, which the Governor signed into law two weeks ago.  The budget was christened ‘Budget of Inclusive Growth and Accelerated Development.’

 The Bill was made up of N284.14 billion for Capital Expenditure and N185.36 billion for Recurrent Expenditure. Capital expenditure constituted 60.5 per cent of the Budget while 39.5 per cent represented recurrent expenditure. The Budget is N85.5 billion higher than the N383.95 billion revised approved budget of 2020. Zamfara State Governor, Bello Matawalle, has also signed the N159.5 billion appropriation bill for the year 2022 into law.

 The budget is higher than the revised 2021 by 36 per cent, which he said was meant to address the huge socio-economic problems facing the state, such as insecurity, poverty, unemployment, and the desired capital projects. In Kwara, the state government proposed N189.4 billion for 2022. This is with an increase of 12.15 per cent over the 2021 revised budget.

However, the budget is yet to be passed by the state House of Assembly. Recurrent expenditure is estimated at N84.7 billion. It includes the following componentspersonnel cost of N13.7 billion to cater for personnel of ministries, departments and agencies, while salaries and allowances of Parastatals/ Tertiary Institutions is N9.2 billion.

 Overhead cost, which includes subvention to parastatals and tertiary institutions’ overhead as well as operational cost for the ministries, departments and agencies is estimated at N25.2 billion. In Ogun State, Governor Dapo Abiodun presented N351 billion for 2022 to the state’s House of Assembly. Christened “Budget of Restoration,” the budget is an increment of N11 billion compared to the 2021 budget of N339 billion.

The budget, according to the governor, will be largely funded with expected revenue from Federal Accounts Allocation Committee (FAAC) and Value Added Tax (VAT) of N73.01 billion while expected IGR is put at N56.3 billion. Capital expenditure, which takes the lion’s share of the budget, stood at N170 billion, representing 81 per cent of the total budget while recurrent expenditure is put at N75 billion. Personnel cost stood at N75 billion.

 The governor said “Capital expenditure in 2022 remains focused on the completion of as many ongoing projects as possible as well as the commencement of new ones.” Borno State proposed the sum of N267 billion as budget estimate for 2022 fiscal year.  Governor Babagana Zulum presented the estimate to the state House Assembly with education sector getting highest share of N38 billion, representing 20.22 per cent of the budget size.

 Capital projects take 64 per cent, while education gets 20 per cent in Borno’s N267 billion making a total N172.535 billion for capital expenditure, and N95.385 billion for recurrent expenditure. Other sectoral allocations are health and human services, N24.2 billion, Ministry of Finance received N30.4 billion to sustain prompt payment of salaries and gratuities, Housing and Energy was allocated N8.7 billion for completion of a housing estate and other projects.

 Governor Hope Uzodimma of Imo State presented N381billion for 2022 to the state House of Assembly for approval. Presenting the budget tagged “Budget of Wealth Consolidation and Recovery,” Uzodimma said that it was made up of N96 billion recurrent expenditure, representing 23.36 per cent and N284 billion capital expenditure, representing 74.64 per cent. Governor Dave Umahi of Ebonyi State proposed N145.410 billion for fiscal spending in 2022.

The amount covers capital and recurrent expenditure for the financial year 2022. Tagged “Budget of Latter Rain,” capital expenditure is N89.763 billion or 61.73 per cent of the total budget, recurrent expenditure is proposed at N55.646 billion or 38.27 per cent of the total budget. In Niger state, Governor, Abubakar Sani Bello signed into law N211billion passed by the state’s House of Assembly.

 The capital size of the budget signed is N131 billion, representing 62 per cent while recurrent budget size is now N80 billion, representing 38 per cent. Bello had in November, 2021, presented a budget size of over N198 billion with capital expenditure of N124 billion and the recurrent expenditure of N74 billion.

 The bill was, however, passed by the State House of Assembly on December 22, 2021 with an increase of N13 billion, making it N211billion. In Edo State, Godwin Obaseki signed into law the N222.6 billion for 2022 fiscal year. The governor tagged it “Budget of Renewal, Hope and Growth.” Edo State House of Assembly passed the budget with an increase of about N8.4billion as against the N214.2 billion initially presented to the lawmakers by the governor.

 Analyzing the budget, Obaseki said it comprised N118.3 billion for capital expenditure and N95.9 billion for recurrent expenditure. He disclosed that the projection was made up of N186 billion, consisting of N65 billion statutory allocation; Value Added Tax (VAT) of N23 billion; IGR, N50.3billion, and N11.6billion from grants, among others.

 In a similar vein, Governor Yahaya Bello of Kogi presented N145.8 billion to the state’s House of Assembly for approval. Presenting the budget tagged, ‘’Budget of Accelerated Result,” he said the budget was divided into recurrent expenditure of N90.1 billion, representing N61.79 per cent and capital expenditure of N55.7 billion, representing N38.1 per cent.

The governor noted that the total estimated recurrent revenue of the budget was N96.7 billion, consisting of N23.2 billion, which will be realised from internal sources, while N49.5 billion will come from the federation account.

 According to the governor, a total of N19.6 billion revenue is expected from Value- Added Tax (VAT) as N100 million from excess crude and N1billion from exchange difference. “Recurrent revenue for the year 2020 stands at N96.792 billion.

 Out of the above figure, the estimated personnel cost for the period is N45.119 billion, whereas N45.031 billion is overhead costs, thereby giving N90.151 billion as a total recurrent expenditure for the year 2022. “From the foregoing, we have a total estimated Transfer Surplus of N6.640 billion as Capital Development Fund.

 The estimated Capital Receipt is N49.104 billion comprising capital receipts analysis by economic, aids and grants. The Governor of Enugu State, Hon. Ifeanyi Ugwuanyi, presented a budget estimate of N186.635 billion to the Enugu State House of Assembly. Tagged; “Sustained Growth and Consolidation,” the budget is 9.9 per cent higher than that of 2021.

 The recurrent expenditure, according to the budget, will take N71.447 billion, which represents 38.00 per cent while the capital expenditure gets N115.158 billion, which represents 62 per cent. In Akwa- Ibom, Governor Mr. Udom Emmanuel signed into law the state’s 2022 appropriation bill with a total outlay of N586.9 billion.

 The budget, christened, “Redefining Standards,” was passed by the State House of Assembly on Thursday, December 2, 2021. It has an increase of N4.766 billion, representing 0.8 per cent from the initial estimate of N582.115 billion presented by the governor on October 25, 2021.

 The Appropriation Act’s size covers N261.963 billion of recurrent and N324.918 billion of capital expenditures. Emmanuel, while speaking during an expanded Executive Council meeting, during which he assented the 2022 Appropriation Bill, commended the State House of Assembly, Ministry of Finance, Budget Office, Accountant General and other government agencies involved in the budgetary process for its timely passage.

 Governor Okezie Ikpeazu of Abia State presented N147.787 billion for passage into law by the State House of Assembly. The 2022 budget represents an increase of 10.81 per cent over that of 2021.

 Presenting the appropriation bill, christened “Budget of Economic Recovery Through Industrialization and Inclusive Growth,” at the legislative chambers of the State House of Assembly, the governor disclosed that recurrent expenditure was N66.830 billion, representing 45 per cent of the total expenditure and 6.29 per cent increase from the 2021 budget while N80.957 billion, representing 55 per cent is capital expenditure.

 The figure represents 15 per cent increase over the 2021 budget. The Governor said that the budget would provide opportunities to pursue recovery by redirecting resources to improve on the production chain in the state and improve the overall quality of products coming from Abia people. He added that the government also intended to recover on a stronger footing by supporting industrialisation and inclusive growth.

 Kaduna State Governor, Nasir El-Rufai, has also signed the state’s 2022 Budget, assuring residents that the N278.58 billion would be faithfully implemented. The signed budget allocates N184.53 billion to capital expenditure and N94.05 billion to recurrent. Others states and their budget for 2022 are Ondo, N199.282 billion and Sokoto, N188.4 billion.

 (New Telegraph)

Source: News Express

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