…As Lagos set to earn first 13% oil derivation in December
Governor Akinwunmi Ambode of Lagos State has presented a 2017 budget proposal of N812.99 billion to the Lagos State House of Assembly for approval.
Since the budget estimates fall within the year when Lagos will be marking its 50 years anniversary, the Governor, Ambode tagged the 2017 budget as the:”Golden Jubilee Budget,” which he said would “promote massive investment in security, transport, road construction physical and social infrastructural development.”
According to the governor, the 2017 budget is higher than the 2016 budget estimates of N662.58 billion to the tune of N150.4 billion, which translates to 18.5 per cent increase.
When reeling out more details about the 2017 budget estimates, Ambode disclosed that it had a capital expenditure of N512.46 billion and a recurrent expenditure of N300 billion with the capital and recurrent ratio of the budget standing at 63:37.
“The ‘People’s Budget’ of 2016 has positively impacted the lives of Lagosians. I am confident that the Year 2017 budget will consolidate on our modest achievements and propel our state to enviable heights,” said Ambode.
“The Year 2017 budget will be at an auspicious time when our state will be celebrating its Golden Jubilee Anniversary. The proposed budget is with the size of N812.998 billion.
“This will continue the massive renewal of our infrastructures and enhancement of Lagos as one of the foremost tourism and investments destination in Africa.
“While we focus on physical infrastructures, we shall continue to pay due attention to social infrastructures, especially health, education, youths and social development in 2017,” the governor further said.
The governor also took moments to give an insight into the performance of the 2016 budget estimates which he said performed optimally at 77.5 per cent.
According to him, total revenue for the funding of the 2016 budget stood at N350 billion which is 77.5 per cent of the budget, while capital expenditure stood at N200 billion which is the 62 per cent of the budget.
Ambode said that the recurrent expenditure performed at N180 billion which is 82 per cent of the budget.
He said that the state had maintained the conservative approach in estimating federal allocation due to fallen oil prices, and would seek to fund the 2017 budget with heightened and better tax collection programme, including automation of tax payment system and efficient revenue administration.
The governor, further noted that the state would be expecting an increase in federal allocation through the 13 per cent derivation from oil and gas in 2017 budget, a development he said would be expected to start from December, 2016.
Ambode added that the state would ensure more collaboration with local and international investors, especially in the areas of road network expansions, transports, housing and environments.
He recognised the efforts of members of the Lagos State House of Assembly in the governance of the state.
In his remarks, the Speaker, Lagos State House of Assembly, Rt. Hon. Mudashiru Obasa, lauded the governor for his developmental efforts in taking the state forward.
The Speaker specifically recognised the efforts of the Ambode-led government in infrastructural developments such as road construction and rehabilitation, transportation, the “Light up Lagos” project and provision of bridges, among others.
“Almost all projections in the 2016 budget have been carried out, despite the economic situation. I commend the governor for a number of life-changing projects introduced,” Obasa said.
He said that the House would ensure that the 2017 budget delivers on inclusive growth and prioritises the welfare of the residents, calling on heads of ministry, department and agencies to cooperate with the House while on oversight visits.
“With the feat achieved by Governor Ambode in the last one year, there is no doubting the responsiveness and readiness of this noble House to pass pro-people and pro-development legislations. The supportive role played by this honourable House has contributed in no small measure to the creditable performance of Mr. Governor in the outgoing year, much to the admiration of Lagosians,” he said.
The Speaker, who stated that the House was committed to laws that would improve socio-economic development of the state, added that the Assembly had passed lots of laws to better the life of residents.
“Since the inception of the 8th Legislative Assembly, your House of Assembly has made immense contributions through legislations and resolutions that are geared towards legal backing for policies, programmes and other activities of the Government as well as to aid development in all the 57 councils of the state,” he said.