Lagos State Governor, Babajide Sanwo-Olu, has presented N1.692 trillion as budget estimates for the year 2023 to the House of Assembly.
The ‘Budget of Continuity’ comprises revenue of N1.342 billion and deficit financing of N350,000 billion.
This further comprises total Internally Generated Revenue (IGR) of N1.108 billion and federal transfers of N234 billion.
The estimate also proposes a recurrent expenditure of N759.958 billion and a Capital expenditure of N932.712 billion.
The budget has a capital-to-recurrent ratio of 55:45 per cent.
Sanwo-Olu said: “I am pleased to present to you the Y2023 Budget of Continuity, as proposed, with a total budget size of N1,692,670,759,894.
“Year 2023 is a year in which we will aggressively focus on completing ongoing projects, while also expanding our social intervention programs and support for citizens, and for micro and small businesses.
“The deficit financing shall consist of external and internal loans and bonds which are well within our fiscal sustainability parameters.
“The 2022 budget has been implemented under a tight and challenging economic scenario. We however will continue to do all we can to stabilise and further grow our economy. As our antecedents have shown, we have been able to maintain a steady pace of economic growth and development, despite the headwinds from the COVID-19 Pandemic and the Russian- Ukraine war which has further disrupted global supply chains and triggered runaway inflation across the world.
“Despite these challenges, we will continue to intensify our efforts in building a resilient economy; and it is gratifying to note that Lagos State does not lack the courage, character, conviction and creativity needed to retain its position as an economic powerhouse.
“We will keep challenging ourselves to innovate for growth. The road may be rough, but we will keep moving.”
Speaker Mudashiru Obasa, who received the Governor, promised that the House will do its due diligence on it.
He, however, said the budget should focus on improving the welfare of residents of the State.
Breakdown of the budget shows:
A. Recurrent expenditure -N759.958 billion
(a) Total overhead cost – N403.6 billion
i. Overhead – N221.9 billion
ii. Subvention – N93 billion
iii. Dedicated – N88 billion
b. Total Personnel – N247 billion
c. Recurrent Debt Service – N109 billion.
B. Capital Expenditure – N932.712 billion
a. Capital expenditure – N670 billion
b. Repayment – N262.578 billion
