Governor Rauf Aregbesola of the State of Osun, on Tuesday December 23, 2014, presented the budget estimate of N197, 080,191,560.00 for 2015 fiscal year to the State House of Assembly for consideration and approval. The budget estimate tagged: “Budget of Renewed Hope”, is less than that of the current year by N37billion representing 15.9 percent. The 2014 budget is N234billion. The total recurrent expenditure as presented was N87 billion, while the Capital Expenditure is N110 billion, with the economic sector, covering agriculture and rural development, rural/urban electrification, commerce, industry, finance and transportation taking the largest chunk with N41.6 billion. The total recurrent revenue is N132 billion, while the capital revenue is N65 billion. Laying the budget before the assembly, the governor who was represented by the Permanent Secretary, Office of Budget and Economic Planning, Mr. Segun Olorunsogo said the budget would consolidate the various achievements made in the last four years to transform the state. The governor explained that the budget would also ensure the completion of on-going projects and commencement of new ones that will have positive impact on the socio-economic life of citizens of the state. Explaining the reason for the decrease in the budget to that of 2014, the governor attributed it to the drop in the price of international oil market, dwindling federal allocation and limitation to internal loan facility due to stringent measure and policy put in place by the federal government. Other reasons for the decrease, according to the governor, were recent devaluation of naira which has led to weaker currency and the need to depend less on the federal allocation and concentrate on how to grow Internally Generated Revenue (IGR). The governor, who noted that the budget has already been over-stretched, appealed to the lawmakers not to entertain request that could lead to increase in the proposed figure. He however noted that extra efforts would be made to generate more IGR, especially through collection of existing taxes and rate without necessarily imposing new tax regime on the people of the state. Receiving the budget, the Speaker, Mr. Najeem Salaam said the house would do justice to the budget and make necessary adjustment, either upward or downward, if the need arises before it is passed. He called on the people to exercise patience, noting that the financial challenges being faced now is due to paucity of fund as a result of the drop in the federal allocation.
Posted on: Thu, 25 Dec 2014 12:58:29 +0000
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