New Telegraph

Ondo Govt Presents N384.5bn Budget For 2024 Fiscal Year

The Ondo State Government has presented a budget of 384.5bn to the House of Assembly for the 2024 fiscal year.

The Acting Governor, Hon Lucky Aiyedatiwa who presented this budget to members of the State House of Assembly late on Thursday said the sum of N211 billion would be spent on capital expenditure, while the rest of N172.5 billion would be spent on recurrent expenditures in the 2024 financial year.

On the sources of the fund, Aiyedatiwa said N45,367,453,580 would come from a statutory allocation of N33,039,332,950 from Independent Revenue, N30,301,829,040 from Value Added Tax (VAT) N30,524,211,875 Mineral Derivations, N100,439,986,003 billion from excess crude and other federal allocation, N43,700,000,000 as grants and N25,100,000,000 from other grants

Aiyedatiwa said the projected revenue for the Year 2024 is largely a function of some major macroeconomic fundamentals contained in the 2024-2026 Medium-Term Expenditure Framework (MTEF) and the Fiscal Strategy Paper (FSP).

The bulk of our revenue, the Acting Governor said would come from the Federation Accounts. However, he said if the current drive by all our revenue-generating agencies, spearheaded by the State Internal Revenue Service, is sustained, the state would be able to attain the desired level of internal revenue generation.

The recurrent expenditure would be spent on salaries and wages which would gulp N59 billion, overheads N42 billion, while Debt Servicing would take N16.316 billion

Aiyedatiwa explained that Infrastructural development would take the highest chunk with N95,482,176,340.36, representing 24.8 percent followed by Public Finance which has N82,413,990,850.80, representing 21.4 percent.

His words “The current national and global economic realities point to reason why we must consciously and programmatically re-arrange our fiscal priorities to target the growth drivers of our economy to quickly fix and reflate the economy, to keep it afloat. We are aware of the negative impacts of fuel subsidy removal and floating exchange rates on the people.

“All these are put into consideration while projecting for expenditure in this Budget. We have made a reasonable increase in the Personnel Estimates to cover the imminent wage increase for workers. We will also continue to roll out palliative measures to cushion the effects of the fuel subsidy removal.

“The impact of climate change is another issue we have resolved to tackle headlong in the coming year. As we all noticed, the duration and intensity of rainfall relatively increased this year and produced huge run-offs and flooding in many Local Government Areas. All of these and more have been addressed in our expenditure projection for the year 2024”.

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