Governor Godwin Obaseki of Edo State on Wednesday presented a budget estimate of N320.35 billion for the 2023 fiscal year, to the 10-man State House of Assembly for consideration and approval.
The estimate named Budget of Reliance and Transformation, is made up of 60 percent capital (N192 billion) and 40 percent recurrent (N127 billion) expenditure.
It is about 69.2 percent higher than the budget of year 2022 which was N222 billion, and is expected to be financed majorly with revenue from sales of crude oil and increased internally-generated revenue.
According to the Governor, the budget is based on an inflation premises, but will engender growth in the economy of the State.
He said: “The revenue estimate for the budget is based on $70 per barrel crude oil bench mark and an average production of 1.69 million daily production per day as well as an increase in the Internally Generated Revenue of N60. 4 billion due to the reforms undertaken in tax collection and land management activities.
“To this end, we expect that the capital/recurrent ration would be 60 percent capital and 40 percent recurrent.
“The budget estimate consist of 143 billion statutory allocation made up of value added tax of N42.1 billion, capital receipt N41 billion, IGR of N60.4 billion and N4 billion from grant and other sources.
“The balance would be source from development partners, financial institutions among others.”
Obaseki informed the lawmakers that the budget was informed by the need to build a resilient economy and engender growth in the State.
Road and transport sector carries the lion share of the budget (N54.9 billion), followed by education (N32.9 billion).
For other sectors: Healthcare (N30.2 billion), Public Buildings (N20.5 billion), Electricity and Energy (N7.2 billion), were budgeted.
The very critical Agricultural sector, however, received a paltry N5.4 billion.
In his remark, the Speaker of the House, Mr. Marcus Onobun, assured that the budget would be given timely consideration to sustain the economic growth and development of the state.
credit: PM News
