RSHA Commits Budget To Committee Stage

The Rivers State House of Assembly last Friday committed the 2021 Appropriation bill to committee stage.
The budget had shortly after its presentation last Wednesday passed first reading and was billed for debate.
After debates by various lawmakers, Speaker of the House, Rt Hon. Ikuinyi – Owaji Ibani, committed further debates to the committees to deliberate the estimates and return back its submissions to the House.
With a total of N448,660,773,476 budget for 2021 fiscal year the governor said it was 20 percent higher than that of 2020.
The budget christened, “Budget of Recovery and Consolidation,” has N305, 894, 284.061 as Capital Expenditure,while N142,776,489,415 is earmarked for Recurrent Expenditure.
The governor, while presenting the budget before the Assembly in Port Harcourt, yesterday, said the N448,660,773,476 budget for 2021 fiscal year represents more than 20 per cent increase over the 2020 Revised Budget of N300 billion.
Wike said the capital expenditure, representing 68.18 per cent of the total budget size, constituted as follows: “Administrative sector N87,790, 330,011.37; Economic sector, N105,077, 364,248.81; Law and Justice, N1,742,996,000.00; Social sector, N132, 656,033,322.35; and Deductions/Loan repayments, N38,000,000,000.00.”
He noted that N82,957, 295,248.81 has been provided for infrastructure, including roads, bridges, and completion of flyover projects at Okoro-Nu-Odo, Rumuola, Rumuogba, and Port Harcourt GRA junction.
He said: “We will also deliver the Ogoni-Andoni-Opobo Unity Road, the Eastern bypass dualisation, 6th and 7th flyover projects and the Wakama Road as well as all other ongoing rural roads in our communities and local government areas across the state.”
The governor stated that over N6 billion had been provided in the 2021 budget to stimulate economic growth through investments in commerce, culture and tourism, mineral resource development as well as address environmental challenges to improve the quality of life of all residents.
Similarly, he said, N13,861,407,451.97 had been provided to fund various social and economic investment schemes to support the development of small and medium scale businesses as part of efforts to create jobs and reduce poverty.
The governor noted that economic challenges of COVID-19 pandemic clearly exposed the vulnerability to food insecurity.
Hence, N16,107,080,000.00 will be spent on targeted investments in the agriculture value chain in a bid to create employment and enhance collective food security of the state.”
He said the Recurrent Expenditure of N142,776,489,415 represents 31.82 per cent of the 2021 budget. Of this sum, he said N76,198,906,179 is for personnel costs; N18,863,016,430 is for overhead and N47,704,566,804 will be for grants and transfers to the consolidated revenue charges.

Wike said  “the budget will be funded from Statutory Allocation, 13 per cent Oil Mineral Fund, internally generated revenue, Value Added Tax, refunds for federal projects and excess crude oil deductions, domestic and foreign credit as well as grants from our development partners.”

On his part , Speaker of the Assembly, Rt Hon. Ikuinyi – Owaji Ibani assured the governor that the lawmakers would diligently consider and pass the budget to facilitate the continued development of the state.

Meanwhile, the budget has passed first reading shortly after the presentation.

Leader of the House, Hon. Martins Amaewhule said there is need to give the proposal speedy consideration, as he lauded the governor for his vision and commitment to transform the state.

By: Kevin Nengia