ARMSTRONG ALLAHMAGANI, Bauchi
Governor Bala Mohammed of Bauchi State has presented a budget proposal of N213,914,559,427.00 to the State House of Assembly for the 2021 Fiscal Year for consideration and passage.
Presenting the budget on Tuesday tagged: “Budget of Consolidation” the governor said that it is made up of Capital Expenditure of N120,717,251,458.00 and a Recurrent Expenditure is made up of N93,197,307,970.00.
He said that the Capital Expenditure represents 56 percent of the total amount budgeted while the Recurrent Expenditure represents 44 percent.
According to him, the 2021 budget has a Recurrent Revenue of N68,371,234,673, Internally Generated Revenue of N24,085,588,861 while the Value Added Tax was put at N16,340,267,581.
Mohammed said that the Recurrent Expenditure estimates are made up of N31,763,906,163 ad Personnel Cost and Overhead Cost of N31,507,680,440.
He further said that it is projected that the state will realize Capital Receipts in the sum of N105,117,468,313 with an opening balance of N25,332,749,652.
According to him, the state will receive internal and external loans of N33,224,137,760, Aids and Grants of N20,899,230,540 and other Capital Receipts of N25,661,350,361.
The governor said that the under the Capital Expenditure, the Economic Sector takes the highest share of N64,372,948,761, the Social Sector with N34,455,877,668, Regional Sector with N12,430,224,392 while the Administrative and Law and Justice sectors has N7,207,000,637 and N2,251,200,000 respectively.
He said that the year 2021 budget was prepared on the Medium-Term Expenditure Framework (MTEF) pointing out that the state government will continue to use it because of its flexibility and compliance with Bauchi State Fiscal Responsibility Law (2009).
He also said that the budget was prepared in compliance with the National Format and chart of Accounts, to aid the implementation of the International Public-Sector Accounting Standards (IPSAS) on Cash Basis.
The governor said that the 2021 budget is higher because it was prepared in such a way that projects and programmes captured will most likely be implemented.
“We have focused our attention on projects that are strategic for the development of the state.
“In an effort to ensure that the budget is participatory, inclusive, grassroots oriented and in line with International best practices, Budget Public Hearings were conducted in the three Senatorial Districts where inputs from stakeholders were elicited and included into the Budget.”
“Government had, in the course of the preparation of the 2021 budget, took into consideration, reducing to the barest minimum, the number of ghost workers through effective payroll management, to generate more funds in order to pave way for new employment, continued reduction in non-essential overheads and achieving COVID-19 complaint budget.”
He added that the government also reviewed revenue projections to reflect current realities, maintenance of critical spending on vote goverment services, executions of capital expenditures both COVID-19 related and those considered critical by the government.
The Speaker of the Assembly, Abubakar Suleiman, in his speech, expressed optimism that the budget presented by the governor will go a long way in further improving the living standard of the people of the State.
He said that the speedy scrutiny and passage of the revised 2020 budget to cushion the effects of COVID-19 on the 2020 budget passed last year, as well as the subsequent passage of 2020 Supplementary Budget in order to make available additional funds to enable the State Government continue with its developmental projects in the State, are testimonies of how the Assembly is committed to the progress and development of Bauchi State.
Suleiman assured the governor that the Lawmakers will expedite action of the proposed budget and pass it into law without much delay
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