Gov. Udom proposes N365.251 bn for 2017 fiscal year

Akwa Ibom State Governor, Mr. Udom Gabriel Emmanuel has presented a N365.251 billion budget proposal to the State House of Assembly for 2017.

The budget appropriation bill christened, “Budget of Consolidation” is based on $35 US Dollars per barrel at a production rate of 1.0 million barrels per day.

The short fall, follows the current decline in the global crude oil price and also, the production level below OPEC quota, which could serve a dual purpose of accommodating disruptions in local production and, further inherent decline in global price of crude oil.

The budget is made up of: Recurrent Expenditure N88.425 billion, Capital Expenditure N193.956 billion and Consolidated Revenue Fund Charges N82.870 billion, while the total projected recurrent revenue for 2017 is estimated at N175.000 billion as against N284.666 billion for 2016.

The breakdown shows that, Internally Generated Revenue (IGR) stands at N27.684 billion, Statutory Allocation N15. 000 billion, Derivation Fund N120.000 billion, Retained Revenue from Parastatals N2.316 billion and Value Added Tax (VAT) N10.000 billion, while Recurrent Expenditure is pegged at N171.295 billion showing personnel costs at N50.489 billion, overhead costs N37.936 billion and consolidated revenue charges N82.870 billion including pensions, gratuities and public debts respectively.

The total capital receipts and expenditure for 2017 is estimated at N193.956 billion as against N243.000 billion for 2016. A total projected capital receipt shows that, N3.706 billion will be transferred from the consolidated revenue fund, while the balance of N190.250 billion is to be realized as opening balance from 2016 account at N6.250 billion, internal/external loans N128.000 billion, grants N3.000 billion, ecological funds N2.000 billion, re-imbursement from Federal Government on roads N50.000 billion and dividends from government investment N1.000 billion.

Governor Udom Emmanuel, while presenting the appropriation estimate to the House of Assembly on Thursday said, the policy framework of the 2017 budget was based on the developmental objective and catalyst principle in the State Medium Term Plan Document that would be strictly followed in pursuing the transformation agenda.

Others are; actualizing the economic power base through industrialization and sustainable public-private sector initiative to open up opportunities for growth and improved living standard amongst others.

He assured that, he would adopt strong fiscal regime through the expansion of revenue base and elimination of wastages and leakages in his expenditure profile, build on the current foundation, increase the viability of maritime, air space facilities and expansion of roads.

The Governor also pledged to re-invigorate agriculture and agro-allied industries by making the sector attractive and responsive to national requirements, sustain women and youth empowerment through capacity building, develop tourism potentials of the state to expand revenue base as well as build efficient security network to minimise crime and make the state peaceful to encourage investment.

He asked the House to give the appropriation bill a speedy approval to help in the implementation of government programmes and policies.

The Speaker, Hon. Onofiok Luke assured that, the House would give the budget estimate its due attention by looking into its implementation and actualization as part of their oversight function.