Politics
2021: Obiano Presents N143.7 bn Budget Proposal
Governor Willie Obiano of Anambra State presented a budget proposal of N143.7 billion to the State House of Assembly for approval yesterday.
Obiano, who tagged the appropriation bill “ Budget of Economic Recovery and Consolidation,” said that it would help sustain past performance and ensure the state maintained its status as a business hub and investment destination.
According to Obiano, a total of N86.9 billion will be spent on capital expenditure, translating to 60.5 per cent of the budget , while N56.8 billion will go to recurrent expenditure, translating to 39.5 per cent of the budget.
He said the estimate was premised on the crude oil price benchmark of $35 per barrel.
Obiano said that expected revenue from Value Added Tax was N20.8 billion, while other capital receipts would be N20.9 billion.
The governor said that N36.6 billion would be raised from Internally Generated Revenue (IGR).
On personnel expenditure, Obiano said that N17.6 billion would be spent as salaries and wages, N16.2 billion would be spent on group life insurance, loan, pensions and gratuities of retirees, while N22.9 billion would be spent on overheads.
He said that N11.0 billion was provided for domestic debt financing, comprising of single digit concessionary programme lending for interventions in healthcare, social investments, agriculture, manufacturing and youth entrepreneurship.
The budget breakdown revealed that construction of roads, bridge works and infrastructure had the highest allocation of N32 billion followed by healthcare which had N6.8 billion.
Education and agriculture were allocated N5.0 billion and N2.5 billion respectively, while community social development projects got N1.1 billion.
Water resources and public utilities got N3.77 billion while environment got N3.4 billion and mall and medium enterprises development N2 billion.
Obiano said “we have set aside the sum of N200 million for payment as compensations to our people who have proven cases of gross human rights violations, torture and death from the activities of the defunct SARS in the state.
“Over 70 per cent of my appointees are youths, therefore, we have allocated the sum of N5.4 billion to youth entrepreneurship and empowerment programmes.
“We have also allocated N1.1 billion to empower youths through vocational, agricultural and artisan training programmes as well as N120 million for the establishment of creative centres, innovation hubs and ICT related projects.
“Meanwhile, N5.8 billion has been earmarked for the completion of the proposed Anambra International Airport, N500 million for the completion of the International Conference Centre, Awka.
“This budget seeks to entrench a new watershed in the development aspirations of the state. We hope, therefore, that it will be given a speedy consideration and passage to ensure a sustained and steady advancement of our state.’’
Receiving the budget, the Speaker, State House of Assembly, Mr Uche Okafor, said the presentation was necessary to obtain legislative consent for the amount of money to be spent in the coming financial year.
He promised that the Assembly would continue to work in synergy with the executive for the good of the people and the development of the state.
The News Agency of Nigeria (NAN) reports that Obiano presented a budget estimate of N101.4 billion for 2016, N115.5 billion for 2017, N166.9bn for 2018, N157.1bn for the 2019 and N137.1 billion for 2020 fiscal year, but which was later revised to N114.9 billion.
The budget revision became necessary following the COVID-19 pandemic which brought about a fall in revenue and the national and state-wide lockdown of businesses.
The Tide source reports that Prof. Akinoso was elected alongside 38 other executive members of the party at the congress held on Saturday.
Other executive members are Dr Abiola Olaonipekun, who emerged as Secretary, Alhaja Latifah Latifu, Women Leader and Mr A. Adeleke, elected as Youth Leader.
It was learnt that the congress, which took place at the Obafemi Awolowo Stadium, Oke Ado in Ibadan, was attended by representatives of the Independent National Electoral Commission (INEC), the Police, other security agencies and prominent members of the party.
The election was supervised by electoral committee members, among whom were Prince Diran Odeyemi, who served as Chairman, Hon. Awoniyi Tolulope, Mr Babatunde Gbadamosi, Queen Stepheine Oyechere, Alhaji Yusuf Abidakun, Mr Olumide Aguda and Dr Phillips Adeniyi, who served as Secretary.
Prof. Akinoso, in his inaugural address, urged members of the party to set aside intra-party differences.
He advised them to concentrate their resources on the promotion of the party, saying, “The primary responsibilities of party executive members are to coordinate party activities, ensure harmony among members, and ensure party victory during general elections.
“Our immediate assignments are to key into INEC released 2027 general election time-tables. As directed by the National Caretaker Committee of PDP, our party e-membership registration starts next week. We must be fully involved and do a membership drive.
“A political party is only relevant and benefits its members if it wins the election. This is our goal. We should set aside intra-party differences; concentrate our resources towards the promotion of the party. We will make necessary consultations and dialogue to actualise this”.
President Tinubu disclosed this during an interfaith breaking of fast with senior journalists and media executives at the Presidential Villa in Abuja on Saturday.
He also disclosed that his administration had opened up on the principles of true federalism to the extent that local governments now get direct allocation from the Federal Government.
“There’s no morning that I ever leave my house without going through the newspapers. It’s an addiction. I read all of you.
“It might not be in full detail, but headline, the one that would hit me and the ones that won’t.
“At the beginning of this administration, I was just a little bit stubborn, looking at opportunities to correct things and make life more easier for the downtrodden.
“We’ve opened up the principle of federalism to the extent that local governments are now getting their money, but how they use it is in your hands. So, don’t bombard me alone,” President Tinubu said.
The ruling party said the ADC had turned criticism of the APC-led administration into its operating manifesto instead of presenting concrete solutions to Nigeria’s economic challenges.
In a statement issued on Saturday by the APC National Publicity Secretary, Mr Felix Morka, the party dismissed the ADC’s interpretation of a report presented at a policy dialogue organised by Agora Policy which suggested that the country’s poverty rate had risen from 49 per cent to 63 per cent.
Mr Morka said the opposition party’s reaction to the report as a “damning verdict” on the government’s economic policies reflected either ignorance of economic realities or deliberate political mischief.
“The African Democratic Congress’ attempt to spin a recent report presented at the Agora Policy dialogue indicating a rise of poverty rate of 63 per cent from 49 per cent as a damning verdict on this administration’s economic policies speaks either to its shocking ignorance of economic policy or its wilful blindness to the justification for, and transformative impacts of, ongoing economic reforms,” he said.
The APC spokesman noted that the report itself recognised the necessity of reforms aimed at correcting long-standing structural distortions in the economy.
According to him, the ADC had failed to present any credible alternative policy direction for Nigerians.
“Clearly, the ADC does not recognise itself as a political party. The ADC has not articulated a single alternative policy position or prescription of benefit to Nigerians. Condemning the APC and its policies has become its operating manifesto,” Mr Morka said.
He explained that major economic decisions taken by President Bola Tinubu, including the removal of fuel subsidy and the unification of multiple foreign exchange windows, were necessary steps to rescue the country’s economy from collapse.
Mr Morka said the subsidy regime had for years placed a heavy burden on public finances, consuming trillions of naira annually while encouraging corruption, fuel smuggling and inefficiencies in the system.
He added that the reforms had helped redirect national resources to key sectors such as infrastructure, healthcare, education and social development.
The APC spokesman acknowledged that economic reforms often come with short-term hardship but stressed that the measures were essential to build a stronger and more resilient economy.
“Economic reform is never cost-free anywhere in the world. The transient hardship experienced by Nigerians was an inevitable cost of reforms meant to build and guarantee a better future for all Nigerians,” he said.
Mr Morka maintained that the country’s economic outlook was already improving, citing recent growth figures and stronger external reserves.
“Our economy has rebounded and is expanding steadily. The country’s Gross Domestic Product grew by 4.4 per cent last year and is projected to expand by 5.5 per cent this fiscal year, with foreign reserves now exceeding $50 billion,” he stated.
He also pointed to government initiatives designed to cushion the effects of economic adjustments on citizens, including cash transfer programmes, student loan schemes and the rollout of compressed natural gas (CNG) initiatives to reduce transportation costs.
Mr Morka reaffirmed that the APC-led administration would remain focused on rebuilding the economy and expanding social investments to support vulnerable Nigerians.