Niger to Fund 50.6% of Budget with Loans

Laleye Dipo in Minna

The Niger State Government would finance more than 50 per cent of its 2022 budget of N198.2 billion with external and internal loans and grants.

These projected loans and other facilities would push the state’s public debt above N187.4 billion.

Giving the budget breakdown in his office on yesterday, the Commissioner for Finance and Budget, Mr. Zakari Abubakar, said the balance would be sourced from the Federation Account and other sources.

Abubakar did not say why the state would be acquiring such huge debt but assured that government would strengthen its Internally Generated Revenue (IGR) mechanism for it to bring in not less than N17bn disclosing also that over N6.46 billion has been earmarked for debt servicing in the new financial year.

He disclosed that the sum of N1.3 billion has been set aside in the budget for the payment of leave grants to civil servants because government discovered that some civil servants in some Ministries, Departments and Agencies (MDAs) were not captured in the 2021 leave grants hence the need to ensure that such categories are adequately captured for the 2022 budget.

The commissioner further disclosed that agriculture would be accorded top priority in the year 2022 as the state gradually battle her way out of the devastating economic meltdown of COVID 19.

He pointed out that a deliberate and sustained agricultural policy aimed at encouraging the development of the agricultural value chain would be pursued with over N5 billion allocated to the sub sector.

“There is no doubt that this government is determined to carry the agricultural sector to another level as we look forward to diversify the economy of the state,” Zakari said.