Lagos State, in 2024, will sustain its investment momentum towards expanding the growth of the economy.
Governor Babajide Sanwo-Olu, on Wednesday, presented an estimate of N2.2 trillion expenditures to the House of Assembly for next year, proposing increased capital spending across key priority areas in the Economic Affairs sector.
There will be renewed focus on Works and Infrastructure next year, Sanwo-Olu said, noting that the proposed intervention would enable the State Government bridge infrastructure deficit in economic viable sectors, including transportation, agriculture, tourism, waterfront infrastructure development, energy and mineral resources.
Improvement expected from the investment, the Governor said, would boost productivity and drive commercial activities across the State. He added that the impact would be felt by the residents.
In the proposed 2024 expenditure christened “Budget of Renewal”, the Governor also prioritised education and technology, earmarking N199 billion to the sector. Public safety got N84 billion, representing a significant increment in security spending.
Environment will be another priority area for the Government next year. Sanwo-Olu said there would be comprehensive drainage-clearing and promised not to leave any stone unturned in his administration’s effort to stop violations of the State’s urban masterplan.
The Governor said the cost of food had raised fresh concerns, stressing that his Government, in 2024, would key into the targeted Food Security initiatives of the Federal Government.
He proposed additional funding to raise capacity in solid waste management, just as the Governor earmarked billions for health, food security and social protection.
He said: “Our 2024 Budget, going by its given title, aligns with the objectives of the Federal Government and is designed to further propel Lagos towards prosperity. It will not only ensure that we contribute significantly to our national economy, but also safeguard the welfare and aspirations of every Lagosian.
“We understand this period is a challenging economic time, but therein lies immense accompanying opportunities. The Year 2024 Appropriation Bill, which will be the first full year budget since the inception of this administration for our second four-year tenure in office, is designed to make Lagos remain attractive to huge investments that will create jobs, improve the economy and transform local communities.”
Of the proposed 2024 budget, N1.224 trillion, representing the capital expenditure, would accrue from Internally Generated Revenues (IGRs) and federal transfers, while deficit financing of N398.283 billion would be sourced from external and domestic loans, and bonds projected to be within the State’s fiscal sustainability parameters.
Sanwo-Olu proposed recurrent expenditure of N1.021 trillion, covering overhead, subventions, dedicated funds, total personnel cost, and debt service. The capital to recurrent expenditure ration is 55:45 per cent.
The Governor disclosed the current year budget had performed at 80 per cent as of the end of September.
Sanwo-Olu commended members of the Assembly and the Speaker, Rt. Hon. Mudashiru Obasa, for their “unwavering commitment” to the collective aspiration for Lagosians, urging continued cooperation and collaboration towards meeting the yearnings of the people.
The Governor said: “To the good people of Lagos, I remain eternally grateful for the opportunity and privilege to serve once again. I assure that we will intensify the pace of our work in the days ahead to add lasting value to your lives. Better times are coming. We have gone through some very difficult times, but while the pain is temporary, the dividends of the necessary investments we are making will be here to stay.”
Obasa promised thorough scrutiny of the proposed budget, stressing that the legislature would perform its constitutional duties and ensure the budget repositioned the State towards infrastructural growth and lifting people out of poverty.
The Speaker called for a shift in implementation of palliatives being given to the people to ameliorate the present economic situation. He said the Government must move away from sharing staple foods towards giving intangible benefits.
He said: “This House holds the responsibility of scrutinising this budget to ensure that it adequately meets the demands and desires of the people. We shall equip ourselves with the principles of transparency, accountability, probity, and fairness.
“We shall monitor the performance, execution, and compliance of the provision of this budget. We will hold officials that would drive the good initiatives of Mr. Governor as stated in this budget accountable in line with their ministerial responsibilities.”