Arising from the global Covid-19 pandemic with its attendant socio-economic impact on both world and national economies, as well as its effects on human lives, the Ogun State Government has revised its 2020 budget to N280B, to reflect the prevailing economic realities.
The reduction which was by 38 percent, brings the earlier N449.9b budget passed by the State House of Assembly to N280b.
The State Commissioner for Finance, Mr. Dapo Okubadejo stated this while briefing the state lawmakers on the revised budget, at the House of Assembly Complex, Oke-Mosan, Abeokuta.
Giving the breakdown, the Commissioner for Finance said ‘’the initial Internally Generated Revenue (IGR) of N254.945B is now N113.552B, which is a reduction of about 55 percent, while the initial recurrent expenditure of N178.7B has now been cut down to N132.482b, just as the initial capital expenditure of N271.232b has been reviewed downward to N148.426b, a reduction of 45 percent, where total expenditure now stands at N280.908b’’.
He added that, with the revised budget, infrastructure takes 23 percent, Education takes 15 percent, just as 20 percent had been allocated to health among others.
Speaking on efforts put in place by government to ensure critical sectors of the state economy including; Health, infrastructure, Health, Agriculture, Housing and social developments among others do not suffer, Okubadejo, noted that the state was already diversifying its revenue base through the deployment of technology to block revenue leakages.
He stated further that government was creating alternative financing strategy to bankroll its infrastructure, leveraging on Information and Communication Technology to collect all revenues including Land use and Amenities Charges for industrial and private premises, where taxpayers could authenticate their bills with the Quick Response (QR) codes from the comfort of their homes.
The Commissioner also noted that the Prince Dapo Abiodun led administration has initiated a business environment Council to ensure the
State improves on its ease of doing business index, remove multiplicity, attract foreign direct investments, among others.
Min of Budget & Planning