Kwara State Governor, Abdulfatah Ahmed, on Thursday presented a budget estimate of N157.405 billion for the 2019 fiscal year to the state House of Assembly.
The governor said the 2019 appropriation bill would be partially implemented by his administration.
Termed: “Budget of Consolidation and Prosperity”, Ahmed said the budget would reflect his government’s determination to strengthen the state finances on a sustainable basis, while delivering the benefits of the associated revenue reforms to the people.
According to him, the 2019 budget is premised on oil price of US$60 per barrel, oil production estimate of 2.3 million barrels per day, exchange rate of ₦305/US$ and inflation rate of 9.98 per cent.
He said that the 2019 budget of N157.4 billion showed a marginal increase of N1, 461, 612, 762 or one per cent over the 2018 Revised Budget.
He said: “Out of this Total Budget size, the sum of Seventy-Seven Billion, Seven Hundred and Twenty Million, Four Hundred and Seventy-Four Thousand, Seventy-Seven Naira only or 49% is for Recurrent Expenditure.
“The sum of Seventy-Nine Billion, Seven Hundred and Eighty-Four Million, Four Hundred and Seventy-Eight Thousand, Four Hundred and Eighty-Four Naira only or 51% is for Capital Expenditure.”
Governor Ahmed said that the 2019 budget would be expected to be financed through statutory allocation estimated at N49.9billion or 31 per cent of the revenue.
He also said the budget would also be financed through estimated Value Added Tax receipt of N11.8 billion or 7.2 per cent as well as sundry revenue from the Federation Account estimated at N2.8 billion or 1.3 per cent of the revenue.
The governor said that economic sector had the highest allocation of 34.6 per cent of the total budget, followed by the general public service sector with 22.6 per cent.
He added that education and health sectors had 18 per cent and 17.5 per cent of the budget, respectively.
Ahmed said: “This is an indication of our commitment to the priority sectors of this administration.
“Mr Speaker, distinguished Honourable Members, Ladies and Gentlemen, the 2019 Budget estimates are modest considering the prevailing economic situation in the country.
“In the last seven and a half years, our administration’s “Programme of Shared Prosperity” has been vigorously pursued to deliver various people-focussed programmes and projects.
“The impact of these programmes is felt through infrastructural development, urban and rural roads construction and rehabilitation, water supply, electrification infrastructure, improved access to education and health care, human capital development as well as strengthening of the private sector economy.”