Kogi Budgets N75 Billion For 2016

Governor Idris Wada of Kogi State has presented the 2016 budget of N75 billion to 10 out of the 25 member State House of Assembly, presided over by the impeached speaker, Alhaji Momoh Jimoh Lawal. The budget was christened: “Budget of Consolidation.”
The governor said that the budget is 15.3 per cent or N13.6 billion lower than that of 2015.
“The total budget package for year 2016 is N74,996,241,381 as against N88,617,070,854 billion approved for year 2015, which is a decrease of N13.6 billion or 15.37 per cent compared to the 2015 Revised Budget,” he said.
Wada said the budget had Recurrent Expenditure of 45.3 billion, representing 60.4 per cent, and Capital Expenditure of N29.6 billion, representing 39.5 per cent.
According to him, the budget is drafted in line with international best practices.
Wada said the specific objective of the budget was to allow for effective allocation of scarce resources.
“Also, to identify critical programmes and projects including completion of ongoing projects and new ones in the critical areas of need.”
Other objectives, according to the governor, include to expand the revenue base in the area of Internally Generated Revenue and to produce a conducive environment for investors and donor agencies to operate and as well to reduce the level of domestic debt profile of the state.”
Wada commended the state Ministry of Budget and Planning for complying with the directive to the 21 local government areas to align their Accounting and Budget formats with Chart of Account of International Public Sector Accounting Standard.
He said that with the format, the accounting/budget of the state and the local government would be consolidated in the near future.
The governor said that the state expected recurrent revenue of N49.4 billion, consisting of N7.8 billion from internal sources, N33.7billion Federal Allocation to the state and N7.9 billion revenue from Value Added Tax.
Wada said that he did not make allowance for Sure-P and Excess Crude because those revenue components were not being expected to feature in 2016 fiscal year in view of the dwindling price of crude oil.
Earlier, the speaker, Lawal commended the governor for the way he had judiciously managed the resources of the state, assuring that the House would speedily pass the budget even as he expressed happiness over the robust working relationship between the legislature and the executive. [myad]