Emmanuel Proposes N582.12bn for 2022 Fiscal Year

Emmanuel Proposes N582.12bn for 2022 Fiscal Year

By Okon Bassey

Akwa Ibom State Governor, Mr. Udom Emmanuel, has proposed a budget of N582.12 billion for the 2022 financial year.

The governor presented the fiscal estimate to the state House of Assembly last Monday for consideration and approval, which is N16 billion less than the revised estimate of N598 billion for the 2021 fiscal year.

The budget christened: ‘Budget of Redefining Standards’, is made up of N260.15 billion for recurrent expenditure and N321.96 billion for capital expenditure.

This is against the N254 billion for recurrent expenditure and N354 billion for capital expenditure for 2021.

The recurrent expenditure of the 2022 budget is made up of N70.58 billion for personnel cost; N117.67 billion as overhead cost; N20.50 billion for social contribution and benefit; N1.20 billion for grant, contribution and subsidies, and N50.20 billion for public debt service.

The total projected capital receipts showed that N13.703 billion would be transferred from the Consolidated Revenue Fund, while the balance of N308.261 billion is to be realised from opening balance from 2021 account of N26.000 billion and Direct Credit Substitute/Receivable Discounting facility amounting to N60billion.

Others include External Bank Loan of N3.990 billion; Grants amounting to N24.168 billion; N25 billion from Ecological Fund; N15 billion from reimbursement from federal government on roads, an Investment Income of N0.200 billion; N15 billion from Exceptional Income; N1 billion from Stabilization Account, and Refunds from the federal government/Federation Account amounting to N137.90 billion.

The sectoral allocation showed that General Administration would gulp N132.57 billion, while N 347.35 billion is for the economic sector; N10.38 billion for law and justice, while regional and social sectors would gulp N1.99 billion and N89.83 billion respectively.

The governor explained that the budget was predicted on an oil benchmark of $57 per barrel at a production rate of 1.88 million barrels per day with an estimated exchange rate of N410.15 for $1 in line with the national budget benchmark projections.

According to Emmanuel, “The policy objectives of the 2022 budget are to stimulate the state economy with a view to creating more opportunities for gainful employment of the citizens through industrialisation and agriculture.

“It is to also ensure economic growth and job-generating infrastructural investments in roads, bridges, renewable energy and communication technologies.

“It also includes promotion of Small and Medium Scale Enterprises (SMEs) as well as the enhancement of local capacities in manufacturing and use of ‘made-in-Akwa Ibom’ goods and services to create jobs and achieve self-sufficiency in critical sectors of the state economy, among others.”

The governor said the policy thrust of the 2022 budget would focus on the eight-point Completion Agenda which includes industrialisation, education, aviation development, rural and riverine area development, agriculture, small and medium scale enterprises, infrastructure expansion and consolidation, security and human capacity development.

“This comprehensive Economic Agenda cuts across all aspects of Sustainable Development Goals (SDGs). We intend to achieve a sizeable number of the SDGs targets as we implement the 2022 budget,” he stated.

He commended the state Assembly members for their passion, commitment and tireless efforts in approving the 2022-2024 Medium Term Expenditure Framework (MTEF) the Fiscal Strategy Paper (FSP) and the passage of the 2021 Revised (Supplementary) Appropriation Bill in response to exigencies

While receiving the budget proposal, the Speaker of the Assembly, Aniekan Bassey, assured the governor of a speedy examination and passage of the budget in line with their commitment towards sustaining a robust economy for the state.

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