Oziegbe Okoeki
LAGOS State Governor Babajide Sanwo-Olu on Tuesday proposed an Appropriation Bill of N1.2 trillion to the State House of Assembly for consideration and approval for next year.
Tagged: “Budget of Rekindled Hope”, the estimate has a Recurrent Expenditure of N451, 750 billion and Capital Expenditure of N703, 272 billion.
In sectoral allocations, Economic Affairs got the highest vote of N381.85 billion. Trailing it are Works and Infrastructure (N172.24 billion); Education (N143.65 billion) and General Public Service (N136.28 billion).
The governor said the “Budget of Rekindled Hope” appellation was arrived at because of recent events of global and national proportions, especially the Coronavirus pandemic and the #EndSARS protests.
Sanwo-Olu said: “The socio-economic yearnings of Lagosians for good governance, and the stringent calls in all societal spheres for a more representative democracy that speaks to the issues of sovereign wealth, economic growth, consistent progress and equitable quality of life.
“The 2021 Appropriation Bill encompasses the message of rekindled hope, the same message we have been disseminating to Lagosians since March when we experienced the first COVID-19 case and since October 11 when the ENDSARS protests first erupted in Lagos State.”
Restating commitment to communal cohesiveness and inter-ethnic unity, the governor said his administration will resist every attempt to cause division among the numerous ethnic nationalities who call Lagos State home.
He spoke of a plan to cut the cost of governance and to demonstrate selflessness in public service, saying he would be sending a bill to the Assembly to repeal the Public Office Holder (Payment of Pension Law 2007), to stop the payment of pensions and other entitlements to former governors and deputy governors.
Sanwo-Olu said: “It is our firm belief that with dwindling revenues and the appurtenant inflationary growth rates, that we need to come up with innovative ways of keeping the costs of governance at a minimum while engendering a spirit of selflessness in public service.
“The budget presentation reflects our desire to rebuild the trust of our people in this government even as we commit significant human and financial resources to the rebuilding of Lagos while doing all we can to move on from the looting, arson, destruction, and vandalism which we witnessed in this state barely three weeks ago.
“Let me reiterate that this is the time for all of us to unite for a more prosperous Lagos State: this is the time to collectively optimize emerging opportunities in a rapidly changing globalised world.
“We have audacious governance goals, which we cannot achieve without the concerted efforts of all our people- we should not allow the events of the past few months to obliterate our consistent cycles of socio-economic progress.
“Let us begin to rebuild our state with determination and optimism, even as we advance the interests of the electorate and restore their confidence in this government.”
The governor said the challenges posed by COVID-19 and EndSARS protests notwithstanding, his administration will do its utmost.
“The budget is taking into full account the challenges; we will outline a path to full fiscal and economic recovery. It is a document built on the resilience and energy of our people, and also one that seeks to build on the foundation of the many important lessons we have learnt this year,” he said.
Speaking on the performance of this year’s Appropriation Act, Sanwo-Olu said as at September, the revenue performed at 98 per cent while the total capital expenditure and total recurrent expenditure performed at 71 per cent and 83 per cent respectively.
He said: “At the end of the first quarter of 2020, the overall budget performance was 56 per cent; and 57 per cent at the end of the second quarter and rose to 77 per cent by the end of the third quarter.
“The trend of our budget performance has been progressively better; we are optimistic about closing the year with a performance level of at least 86 per cent irrespective of the challenges.”
He said the state made remarkable progress in all crucial sectors, including Finance, Health, Education, Transportation, Agriculture, and the Environment.
“As we go into the Year 2021, the Budget of Rekindled Hope reflects the continued execution of the THEMES agenda, which is just as relevant as it has always been. The Coronavirus pandemic and ENDSARS protests have only heightened the need to urgently implement the various programs under the THEMES agenda,” the governor said.
He went on: “It has become expedient to leverage our developmental efforts by focusing on sectors with job-creating potential like Agriculture, Construction, Technology and Security.
Read Also: #EndSARS: Sanwo-Olu begins rebuilding
“We are set to improve the economic conditions and social safety needed for our youths and all hardworking Lagosians to flourish. We are committing resources to sectors that need to grow for our people to become self-reliant and economically empowered.”
He promised to increase financial commitment to youth mentoring, mental health support, and substance abuse rehabilitation, adding that, very soon he will unveil a comprehensive action plan to address the issue.
“On our part, our progressive vision for 2021 remains clear – providing honest, innovative, creative, sacrificial, courageous and audacious leadership needed to actualise the clean, beautiful, secure and prosperous Lagos of our dreams,” he said.
Speaker Mudashiru Obasa assured the governor that the House would expedite action on the proposal.
“I assure you that we will meticulously perform our constitutional duty, Obasa said, noting that COVID-19 and EndSARS have deepened the projected economic contraction this year, causing disruptions in supply-chain and a faster rise in inflation, challenges which the 2021 budget would address.”
Obasa reiterated the commitment of the Assembly in working together with the Executive to bring succour to all the individuals affected in the aftermath of the END SARS protest.
“I assure you that the state is on the right course at achieving this,” he said.
Calling for infrastructural renewal in the state, the Speaker said: “It is over 20 years already that a solid foundation was erected by the administration of Asiwaju Bola Ahmed Tinubu. It is high time that we established a new pedestal of infrastructural developments and revenue generation in the state.”
He reiterated that the #EndSARS protests devastated the economy of the state beyond imagination.
Obasa said: “The anarchy, burning, and looting of businesses have hit the economy with a blow beneath the belt.”
“At the backdrop of the destruction of public and private properties and businesses in the wake of the #EndSARS protests, businesses have been counting their losses while economy experts have listed the immediate challenges the crises will throw-up against Nigeria’s struggling economy.
“Also, the replacement cost to Lagos State Government, which is the worst hit by the crises, is put at N1 trillion. More so, the overall cost to the private businesses has been put at several billions of U.S. dollars.”
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