Makinde presents N266.6bn budget for 2021 fiscal year

Makinde presents N266.6bn budget for 2021 fiscal year

Governor Seyi Makinde of Oyo State, Monday, presented a total of two hundred and sixty-six billion, six hundred and forty-four million, two hundred and seventy -three thousand, three hundred and five naira, four kobo (N266,644,273,305.04) for the 2021 fiscal year.

The governor, during the budget presentation, tagged: “Continued Consolidation,” which was held at the Oyo State House of Assembly complex, noted that the contributions of the stakeholders at those town hall meetings held in the state determined some of the contents of the budget.

Makinde, stressed that his administration has been able to peg the budget performance goal at 70%, adding that: “Since we have been able to increase by 12% points in performance over 2019 thus far, despite the economic challenges we faced, an additional 20% points increase should be attainable.”

“For the 2021 Budget, our plan is to increase our annual IGR to one hundred and two billion, eight hundred and twenty-four million, two hundred and seven thousand, two hundred and thirteen Naira forty-six Kobo (102,824,207,213.46.) We hope to achieve this by widening the tax net to bring in more taxpayers into the system.”

“As promised, we prioritised the completion of ongoing infrastructure projects. For example, the 65km Moniya-Ijaiye-Iseyin Road, which was awarded at the time of our budget presentation last year, is already at 65% completion.”

“We have also approved and started reconstructing the 21 km Airport- Ajia-New Ife Express Road with a spur to Amuloko through the Alternative Project Funding Model on Design-Build and Finance basis.”

“Also, the now-famous Idi Ape-Basorun-Akobo- Odogbo Barracks Road, which was mismanaged by the previous contractor, has been re-awarded, and the new contractors have mobilised to the site.”

“Other ongoing road projects are the 12km Apete-Awotan-Akufo Road, the 3km Under G Stadium-LAUTECH-2nd Gate Road, 5km Gedu-Oroki-Sabo-Asipa Road, the 12.5km dualisation of Challenge-Odo Ona Elewe-Apata Road, 10km Saki Township Road dualisation.”

“We have also awarded the 44.7km Saki-Ogbooro-Igboho Road and work will commence shortly.”

“Additionally, we embarked on the remodelling of the Lekan Salami Sports Complex, Adamasingba, Ibadan. The project is ongoing. We are building four bus terminals at Iwo Road, New Ife Road, Challenge, and Ojoo in Ibadan. We are also developing a bike and bus terminal at Agodi Gate, Ibadan. The Akesan Market razed down by an inferno in January 2020, is being rebuilt.”

“But we still need to undertake many more projects. There is a need to further reduce our infrastructure deficit. Therefore, our budget for infrastructure is a total sum of forty-six billion, sixty-seven million, six hundred and ninety-five thousand, six hundred and sixty-one Naira, thirteen Kobo (N46, 067,695,661.13), representing 17.27% of the total budget sum. This is an increase from 33.66 billion Naira for infrastructure in our 2020 budget.”

“On education, let me report that we are on the verge of completing the recruitment of 5,000 teachers for our state-owned secondary schools. We are gradually strengthening our education system.”

“As of June 2020, we had started two hundred and thirty-six projects in this sector, some of which are ongoing. These projects include the construction of schools and classrooms, construction of Early Child Development centres, renovation of schools, installation of boreholes, the supply of furniture and sports equipment and other procurements.”

“We also procured textbooks in core subject areas for the pupils and students in our primary and secondary schools. This budget year, we plan to do even more. We still need more teaching and non-teaching staff as well as the building and equipping of more schools.”

“Mr Speaker Sir, Honourable Members of the House, just three days ago the National Universities Commission announced the Memorandum of Understanding regarding the ownership of the Ladoke Akintola University of Technology (LAUTECH), Ogbomoso which we signed with the Osun State Government. As at now, LAUTECH is wholly owned by the Oyo State Government.”

“For these reasons, the education sector leads in terms of budgetary allocation of fifty-six billion, three hundred and forty-eight million, three hundred and seventy-five thousand, six hundred and thirty-five Naira, fifty-five Kobo (N56,348,375,635.55) representing 21% of the total budget. This is an increase of about 12 billion Naira over last year’s budget.”

The governor recalled that in the past year, he made significant progress in the actualisation of our plans for the state, noting he was able to lower the infrastructural deficit, making improvements in healthcare delivery, improve the quality of education and achieve milestones in the state’s security systems.

“We remained bullish in our approach to developing Oyo State. Let me share one of our biggest wins in the last year. You will recall that in my 2020 budget presentation, I had stated that from January 2020, we will be recording a monthly Internally Generated Revenue (IGR) of three billion Naira.”

“I am happy to report to you that despite the effects of the COVID-19 pandemic on the economy, we were just less than two hundred million Naira shy of our target monthly. As at September 2020, we had recorded an IGR of 25.6 billion Naira. And using the half-year figures, that represented a 26.4% increase in IGR year on year.”

“Oyo State’s IGR is presently about 32% of actual aggregate revenue. We still have not achieved a total dependence on the state income outside of federal allocation to fund the budget. Slowly, but surely, we are getting there.”

“Permit me to share some of our other wins from the 2020 fiscal year. You may recall, Mr Speaker Sir, that one of the issues I highlighted that has been facing our state’s budget is underperformance.”

“By the end of quarter one, (Q1) 2019 budget performance was 38%. We were determined to increase this and had set a mark of 70% performance. Honourable Members of the House, although we have not yet met up with our target, our budget performance as of now is above average at 50.32%. We accomplished this despite the economic shock induced by the pandemic.”

“To underscore the importance of Agriculture to our economy, the sector received an allocation of the sum of nine billion, five hundred and seventy-five million, forty-nine thousand, nine hundred and twenty-three Naira, fourteen Kobo (N9,575,049,923.14), which is 3.6 % of the total budget.”

“Mr Speaker Sir, Distinguished Members of the Oyo State House of Assembly, please permit me, at this point, to present to you the Oyo State 2021 Budget Proposal. The total budgeted sum is Two Hundred and Sixty-Six Billion, Six Hundred and Forty-Four Million, Two Hundred and Seventy-Three Thousand, Three Hundred and Five Naira, Four kobo (₦266,644,273,305.04). This sum represents a 53.16% increase over the 2020 revised budget.”

“Let me emphasise that the tenets of the Federation’s Fiscal Sustainability Plan (FSP) and other development aspirations were used as a guide in the preparation of the 2021 Budget.”

“Recurrent Expenditure is One Hundred and Thirty-Six Billion, Two Hundred and Sixty-Two Million, Nine Hundred and Ninety Thousand, and Nine Naira, Forty-One Kobo (N136,262,990,009.41) while the Capital Expenditure is One Hundred and Thirty Billion, Three Hundred and Eighty-One Million, Two Hundred and Eighty-Three Thousand, Two Hundred and Ninety-Five Naira, Sixty-Three Kobo (130,381,283,295.63).”

“Our aspiration is to have a budget where the capital expenditure is higher than the recurrent expenditure as this will lead to more development. A comparison between these figures and the total expenditure in the 2020 budget shows that we have been able to shave off about two billion Naira in the difference between the recurrent and capital expenditure.”

“If we continue this way, in the next couple of years, we would be talking about the capital expenditure exceeding recurrent expenditure.”

“We turned the COVID-19 pandemic into an instrument of development. As a result, we now have the Infectious Disease Centre in Olodo, as well as the upgraded Saki Specialist Hospital. We also upgraded the facilities at Agbami Chest Center and three Primary Healthcare Centres. In addition, we plan to upgrade one Primary Healthcare Centre in each of the 351 wards in Oyo State.”

“This process is ongoing. To continue facilitating their good work we are doing in this sector, we are proposing a budgetary allocation of thirteen billion, two hundred and ninety-two million, five hundred and twenty-five thousand, four hundred and twenty-nine Naira twenty-eight Kobo (N13, 292,525,429.28) which represents 4.9% of the total budget.”

“On security, last year, we promised to procure new firefighting trucks, ambulances, and communication equipment to enhance the safety of residents of our state.”

“Mr Speaker Sir, Honourable Members of the House, I am happy to report that we have done all these and more.”

“Just last week, the Oyo State Security Network code-named Amotekun became operational in Oyo State. And I firmly believe that very soon, we will begin to feel their impact,” Makinde affirmed.

In his remarks, the speaker, Mr. Adebo Ogundoyin, assured that the assembly would work with executives and other stakeholders to ensure at least 70% budget performance for 2021, which he said, was the focus of the governor as against 50.03% performance of the outgoing fiscal year.

“Let me assure that, as a House, we are always ready to perform our constitutional duty of lawmaking in particular and to also ensure that the Executive arm of Government encounters no legal impediment in the performance of its functions for the overall welfare and wellbeing of the State and its residents,” he stated.

The post Makinde presents N266.6bn budget for 2021 fiscal year appeared first on Within Nigeria.


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