Governor Udom Emmanuel of Akwa Ibom State yesterday, presented a budget estimate of N435.65 to the state’s House of Assembly for the 2021 financial year.
The budget, which is N69.65 billion more than the N366 billion revised budget of 2020, is made up of N158.40 recurrent expenditure, N226.96 capital expenditure and a consolidated revenue charge of N50.26 billion.
Total projected recurrent revenue for 2021 is estimated at N255.003 billion as against the approved revised provision of N203.556 billion for 2020.
A breakadown of the revenue showed that N36.30bn would come from Internally Generated Revenue (IGR), N36bn from statutory allocation, N140bn from derivation fund, N25bn from excess crude, exchange gain augmentation and others, while N1.71bn would be obtained from parastatals and N16bn would come from Value Added Tax (VAT) recurrent expenditure, which is proposed at N208.688 billion, is made up of N56.54bn for personnel cost, N101.86bn for overhead costs including social benefits – pension and gratuity and N50.29bn for consolidated Revenue Fund Charges (RFC).
The total capital receipts and expenditure for the year 2021 is estimated at N226.964billion, as against the approved revised provision of N188.942 billion for 2020.
A total projected capital receipt showed that N46.315 billion will be transferred from the consolidated revenue fund, while the balance of N180.649 billion is to be realised from opening balance from 2020 account of N27 billion and Internal Bank Loan of N40.04 billion.
It would also include Grants of N 34 billion, Ecological Fund made up of N2 billion, re-imbursement from federal government on Road and other Infrastructure made up of N 15 billion, Investment Income of N 500 million and Other exceptional Income N61.5 billion and Stabilization Account of N1billion
The sectoral allocation of the total budget showed that General Administration would gulp N100.02 billion, the economic sector to take N267.56 billion, Law and Justice to take N9.42 billion, regional would take N1.24 billion while the social sector would gulp N57.42 billion.
The governor said that the budget christened budget of completion agenda is predicated on an oil benchmark of $40 per barrel at a production rate of 1.86 million barrels per day, with an estimated exchange rate of N379/US$, in line with the National Budget benchmark projections.