Abia State Governor, Dr. Okezie Ikpeazu has presented a One hundred and Thirty-Six Billion, Six Hundred and Seventeen Million, Three hundred and Sixteen Naira (N136,617,847,316)
naira 2020 budget to the Abia State House of Assembly.
The 2020-2022 Medium Term Draft Estimate is slightly less than the One hundred and Forty Billion, Nine hundred and Forty-four Million,eight hundred and eighty-five Thousand, Seven hundred and seventy Naira (N140,944,885,770) of 2019.
Presenting the the budget christened “Budget of Economic Repositioning” at the floor of the State House of Assembly, Governor Ikpeazu noted that the moderate decrease is occasioned by his administration’s resolve to formulate a realistic budget, while working hard to improve revenue generation and
expenditure management approach.
Governor Ikpeazu explained that the draft budget is made up of a total sum of Sixty Six Billion, Eight Hundred and Two
Million, Two Hundred and Forty Seven Thousand, Three Hundred and Sixteen Naira
(N66,802,247,316) only as Recurrent Expenditure and Capital Expenditure of Sixty Nine Billion, Eight Hundred and Fifteen Million, Six Hundred Thousand(N69,815,600,000) only.
The Recurrent Expenditure represents 48.90 percent of the total Budget while the capital expenditure represents 51.10 percent of the Budget.
According to the governor,the expected total inflow in the recurrent revenue of the 2020 fiscal year, is One Hundred and Six Billion,
Nine Hundred and Thirty Eight Million, Five hundred and Forty Seven Thousand, Three Hundred
and Sixteen Naira(N106,938,547,316) only. This is made up of Sixty-Seven Billion, Two
Hundred and Forty-Nine Million, Three Hundred Thousand, Naira (N67,249,300,000) only, from
the statutory allocation of the Federation Account Allocation Committee (FAAC) representing
62.89 percent of the Recurrent Revenue, while the Independent Revenue is projected to be
Thirty Nine Billion, Six Hundred and Eighty Nine Million, Two Hundred and Forty Seven Thousand
,Three Hundred and Sixteen Naira (N39,689,247,316)only representing 37.11 percent.
He further explained that his administration will in 2020,work to ensure completion of ongoing projects while re-envisioning new ones
that will open new frontiers as well as eliminate waste and unjustified expenditures that are not directly linked to the policy objectives espoused in budget.
Ikpeazu said that despite the economic down turn in the country, the state government is determined
to reposition Abia State on a new foundation for growth and has therefore been very methodical
in putting together a budget that can help the State receive fresh footing to be able to skip to the
top.
Governor Ikpeazu stated that in preparing the budget, Abia State keyed into the State
Fiscal Transparency, Accountability and Sustainability as well as the Open government
Partnership Initiatives with the aim of enhancing efficiency in the financial processes.
The budget which focuses on some fiscal objectives is expected to careful identify and harmonize revenue generating windows for effective
revenue generation and mobilization towards attaining set goals for 2020 which is Economic Repositioning as well as and ensuring that only projects and programmes provided for in the Budget are funded.
Responding, the Speaker,State House of Assembly, Rt Hon Chinedum Orji while commending Governor Ikpeazu for the early presentation of the budget estimate expressed hope that subsequent draft estimates will follow suit.
He promised to give the bill prompt legislative action and assured of unalloyed support of the 7th House of Assembly to Governor Ikpeazu’s administration.
