Ikpeazu presents N158 Appropriation Bill to Assembly, promises to complete ongoing projects
From Boniface Okoro, Umuahia
Abia State governor, Dr. Okezie Ikpeazu, has presented a budget estimate of N157.518 billion for the services of the state government for the 2023 fiscal year.
Ikpeazu who laid the 2023 Appropriation Bill before the 7th House of Assembly led by Rt. Hon. Chinedum Orji, on Wednesday, November 30, 2022, said the total projected budget outlay for 2023 fiscal year of N157,517,504,300 was 6.95 per cent higher than the 2022 budget of N147,787,781,300 billion.
While the Appropriation bill christened “Valedictory, Economic Expansion And Stability Budget,” provided the expenditure framework, it failed to disclose the source for generating the revenue.
The breakdown of the 2023 budget estimate shows that N82,472,739,900 has been proposed for Capital expenditure, representing 52.36 per cent of the total budget and 3.38 per cent increase from the 2022 budget; and N75,044,764,400 for Recurrent Expenditure which is 47.64 per cent of the total expenditure and 11.73 per cent increase from the 2022 Budget.
Under sectoral allocation of the Capital expenditure portfolio, Economic Sector has the lion share of N48,782,088, 800; followed by the Social Sector with an estimate of N20,684,133,800 and Administrative Sector has N15,184,970,000 while Law and Justice Sector brought up the rear with N821,547,300 allocation.
On the other hand, the Recurrent Expenditure of N75,044,764,400 has the following components and allocations: Personnel Cost – N33,689,581,700; Overhead Cost – N19,192,659,300 and Consolidated Revenue Fund Charges – N22,162,523,400.
As a government which would be exiting office by May next year, Ikpeazu said the 2023 budget would be devoted to completing ongoing projects.
“The 2023 Budget is designed to focus on the successful completion of on-going programmes and projects that have direct bearing on the people’s wellbeing.
“This will enable the Government to consolidate the gains of the past years in the provision of social amenities for the people. We also see this as an opportunity to pursue recovery by redirecting resources to improve on the production chain in the State and add value to products from our people. It is an opportunity to complement established suppliers and producers with cost-effective, quality products from our people,” the Governor told the state lawmakers.”
He also explained that his administration would prioritise stability, since it would partially implement the 2023 budget, to create confidence and encourage investment as the budget is intended to inspire the private sector to increase investment in the state.
Ikpeazu said: “Furthermore, the 2023 Budget will only be partially implemented by this administration. Therefore, it is imperative that we put the revenue and expenditure structures on a sound footing to help the incoming administration take off effectively.
“Prioritizing stability, in our view, will create confidence, which in turn will encourage investment. We prepare this budget as a complement and a necessary signal for the private sector to increase investment in the production and supply chains of the State’s economy.”
He listed the measures his government intends to take in the 2023 fiscal year to include: “foster the security of lives and property by targeting the roots of communal violence, crime and other potential sources of insecurity; continue to promote good governance founded on competent and responsive public service with zero tolerance for corruption and to build, maintain, and expand infrastructure in water, electricity and road networks to accelerate economic growth and create jobs.”
Others are to “promote agriculture and food security through greater access to inputs and rural access roads; support emphasis on agriculture as a source of wealth creation and capital formation in its own right; continue to engage Ease of Doing Business platforms to support trade and investment, industry and SMEs; remove obstacles to investment and help operators in Abia business environment to find and exploit opportunities, ensure completion and commissioning of Automated Garment Factory and other clusters, as well as remodelling of key markets in Aba like Ariaria International Market and New Market.”
Receiving the bill, the Speaker of Abia State House of Assembly, Rt. Hon. Engr. Chinedum Orji, assured the Governor that the House would give the bill accelerated consideration and passage.
