Obaseki budgets N320.35bn for 2023 fiscal year

EDO state governor, Godwin Obaseki has proposed a 2023 budget of N320.35billion with economy enablers and roads infrastructure constituting bulk of the fiscal year spend.

Obaseki, while presenting the 2023 Appropriation Bill to the edo state House of Assembly on Wednesday for consideration and approval in Benin City, said the size of the budget, which represented a N69.3 percent increase from the N222billion budgeted for the year 2022, was due to inflation and devaluation of the local currency.

the governor said the budget tagged, “Budget of Resilience and transformation”, has a capital expenditure estimate of N192billion and recurrent expenditure of N127.5billion, adding that it was informed by the need to build a resilient and sustainable foundation for the reform initiatives and programmes embarked on over the last six years.

He noted that the recurrent budget estimates are based on $70 per barrel benchmark for crude oil and an average daily production of N1.69 million barrel per day as well as an increase in the state’s internally Generated Revenue (IGR) to the tune of N60.4billion owing the reforms undertaken in tax collection and land management activities.

According to him, “Our intention is to push for reforms and revenues in the built environment space. We are committed to boosting capital spending this year. to this end, we expect that the capital and recurrent expenditure ratio will be 60.2 per cent to 39.8 percent, respectively. this would reinvigorate the economy, providing the right impetus for the needed growth expected in the year”.

He said: “With changes in global dynamics and its effect on our economy, states, which must survive, will have to transform themselves structurally and change the way they operate. partnerships, therefore, are key to resilience. Government does not have all the resources needed to engender growth and development which is required.

“However, partnerships with private sector players are therefore germane and expedient if we are to make progress. it is on this note that government seeks to enhance economic reforms in our process, stimulate economic prosperity and improve the ease of doing business so that we can continuously attract private capital to engender sustainable development,” Obaseki said.