Making Lagos’ N2.267 trillion budget work for Lagosians

HE N2.267 Budget of Lagos State Government signed into law for this year 2024 is certainly hefty, at least when compared with the budgets of virtually all other states in the country. What will however make a difference is the use to which Governor Babajide Sanwo- Olu and his cabinet put the estimate, vis- à- vis its impact on the people of the state. Lagos State may be a leading component of Nigeria in terms of development generally, but it cannot be over- emphasised that the state is also home to the ugliest, just as it is home to the good and the bad. Beyond the euphoria of being labelled the centre of excellence, Lagos needs fixing first to make it a humane geographical entity conducive to human habitation, but also to demonstrate its desire as a megacity appropriately so- called. As projected estimates of income and expenditure for a fiscal year, a well planned and executed budget will lead to economic growth and infrastructural development of a state and the surest indicator of a successful budget is how well it impacts the citizenry. For Lagos State, Governor Sanwo- Olu has signed the N2.267 trillion Appropriation Bill into law, establishing the state’s projected fiscal outlay for 2024. According to the governor, N1.31 trillion ( 58%) would go for capital while N952 billion ( 42%) would be for recurrent, with a promise to ensure that the goals and objectives of the budget are maximally realised for the benefit of all Lagosians. Earlier, the Lagos State House of Assembly had unanimously approved the budget, also with the promise to ensure a functional budget that would lift the people out of poverty and reposition the state for infrastructural growth and renewal. During the presentation ceremony by the governor, Speaker of the House, Mudashiru Obasa admonished that this year’s fiscal policy should deliver quality service to the people. He charged: “Palliatives should move from just giving people garri, rice, beans or even money. We should have a direction that is focused, impactful and deeply backed up by effective policy implementation. For instance, in the name of palliative care, let there be provision of drugs at all public hospitals in the state at subsidised rates. At the same time, focus should be on a downward review of treatment costs in these hospitals.” The Speaker is certainly on point. State governments are the ones directly impacting citizens at close quarters, more than the Federal Government. The level and quality of impact must begin with the philosophy behind fiscal policies and delivery mechanisms. More often than not, governance in states never translates to improved living standards for citizens. One major reason is that policies lack depth and accountability, coupled with the fact that citizens are not primed to operate as part owners of civil governance. The legislature that is elected to represent and protect the people is seen most times to abdicate that role. On that note, the concern by the Lagos Assembly for a departure from previous perfunctory performance is instructive. Other legislative houses should demand quality service for their constituents in their 2024 budgets. Quite unfortunately, most Assemblies abdicate their oversight roles and are willing to rubber- stamp governors’ self- seeking and anti- citizens expenditures. That is a deviation from the constitutional responsibility reposed on lawmakers to direct states’ appropriation acts. Legislatures have control over public finances and they hold that responsibility on behalf of the people. They need to exercise it well. Lagos is Nigeria’s second most populous city and the commercial capital. Lagos contributes around 30 per cent to the national GDP and more than 50 per cent of port revenues. It ranks higher than many national economies in Africa. Whatever affects Lagos’ economy reverberates around the country and within the West African Sub Region of the Economic Community of West African States ( ECOWAS). Owing to its prime place, budgets of Lagos State are often scrutinised by accountability bodies, economists and business experts, with a view to monitoring performance. At a round table to review the 2023 budget and project into 2024 fiscal policy of the state, Lagos was commended for attaining 78 per cent performance as at September. Reviewers at the parley organised by the Economic Intelligence Unit Department ( EID) of the Ministry of Economic Planning and Budget, were positive that nearly half of projected spending in 2024 will come from internally generated revenue ( IGR). Dr. Ayo Teriba, CEO of Economic Associates had charged Lagos to optimise its assets for fee- rent- based revenue to enhance this year’s budget. The president of the Nigerian Economic Society ( NES), Prof. Adeola Adenikiju, commended the states’ “relatively strong institutions that help drive the performance and the economy.” Professor of Economics at the University of Lagos ( UNILAG), Femi Sabiu wants Lagos State to set its priorities right and focus on realistic sectors such as agriculture. He said: “Every year we budget on agriculture. We make agriculture our priority and yet the land and resources to do this are not available. We need to strike a balance and decide which one is our focus.” That is the level of interest and intellectual robustness that often characterise the budget- making process of Lagos State. Yet, a large percentage of the population is not often captured and impacted at the end of the day. Despite the revenues, there are issues of inadequate infrastructure, absence of good governance in far- flung suburbs, inadequate public transportation infrastructure and bad roads across the local government and development areas. A number of international ratings have classified Lagos in very uncomplimentary terms, for being unlivable, rowdy and dirty. While Lagos aspires to become a global economic player as indicated by the inaugural visit to the renowned Lord Mayor’s Show in London, the state government should step up its corporate governance processes to become more accountable and transparent. Recent leaked procurement reports where monies were put in frivolous and controversial recurrent expenditures do not do justice to the invitation for foreign investors to come to Lagos. Let the implementation of budgets be fair to all and equitable. Let Lagos money work for the people not for godfathers. Even if touting and the area boys phenomenon reverberates across the country, Lagos, unfortunately leads the pack in the unwholesome business of taxing commercial vehicles in such a way as to make public transportation exorbitant and extortionist to the average Lagosian. The government appears to abdicate its duty of regulating unionism activities under which the tout leaders hide to make so much money for themselves, without appropriate tax to government; and at the huge expense of the citizen. Transportation cost and in effect, inflation on general goods can be drastically reduced in the state if activities of touts and unionists are moderated, and if the roads are passable. While the government concentrates on the major roads, enough attention is not given to the inner ones that could boost the network and relieve the major roads of the enormous pressure they currently face. Government can surely do better in the suburbs of Lagos. Areas such as housing, education, sanitation and general utilities should be upgraded and expanded to serve city dwellers and those in the suburbs. The governor should continually pay attention to security which is the bedrock of governance. Cultism has not been thoroughly addressed, just as kidnappers are reportedly waiting in the wings to take advantage of security lapse. A situation whereby touts routinely harass, extort and even inflict physical injury on motorists who are unfortunate to have their vehicles break down is uncalled for and out of sync with a megacity status. Sanwo- Olu should adopt the principle of prevention being better than cure; and a stitch in time saves nine! Every Lagosian deserves better life!