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    Wednesday, October 12, 2016

    Nasir El-Rufai Proposes N215.92bn 2017 Budget


    Governor Nasir el-Rufai of Kaduna State, on Wednesday became the first of his colleagues to present the spending plan for the 2017 fiscal year, with a proposal of N215.921 billion, broken down into N130.349 billion, or 60.36 per cent in capital expenditure and N85.572 billion or 39.63 per cent recurrent expenditure.

    Presenting the Appropriation Bill which is larger than the N189.9 billion initially planned, to the State House of Assembly, he expressed gratitude to the state “legislature for (its) enduring partnership all for the larger interest of the people” over the past 17 months.

    He praised the lawmakers for their thoroughness, because of which the 2016 budget was signed into law by 22 December, 2015, assuring that the state has since institutionalised a system that aligns the fiscal year with the calendar year.

    The current administration, he continued, will continue to play its role as a catalyst of development, and an enabler of private enterprise, assuring that in the 2017 fiscal year, Kaduna will spend more on the social sector and expansion of economic openings, as part of “mounting a concerted assault on the causes of poverty by providing the poor a substantive ladder to a better life.”

    He also spoke of plans to “eliminate wastages and other unjustifiable expenditure that are not clearly linked to policy objectives,” in this challenging period when many states are unable to pay workers’ salaries.
    “Kaduna has been spared the worst of this fiscal crisis due to our early efforts to curtail waste and fraud using the TSA (Treasury Single Account).”

    Also, he said Kaduna is working hard to grow its Internally Generated Revenue to become less dependent on federal allocations, with the state, for the first time in its history raking in N1.6 billion in June 2016.
    As a follow up to this resolve, the governor said “in 2017, all MDAs (Ministries, Departments and Agencies) overheads will be linked to their revenue performance.”

    On the school feeding programme of the Federal Government, he said Kaduna agreed to serve as one of the states for the pilot programme, just as it has so far spent N6 billion on renovation of over 400 schools to improve the educational system of the state, expressing commitment to renovate all of its 4,265 schools
    In the area of health, el-Rufai said contract papers have been signed with General Electric for the modernisation of 255 primary health centres (one in each ward), in addition to making anti-malarial drugs free for all citizens starting from Monday, in response to the recent malaria epidemic. There are plans also for the Ministry of Health to fumigate parts of the state where the epidemic appears most prevalent to improve preventive care, he assured.

    He said dualisation of roads in some areas of the state were delayed to conclude payment of compensation before commencing work, including the ongoing Kawo- Lugard Hall Road project which was inherited.
    “We renegotiated the contract and saved N1.1 billion on the cost. We have so far settled many outstanding inherited liabilities to contractors so as to save them from strangulation. We are committed to repaying over N3billion in inherited liabilities before the end of the year 2016,” he assured.

    The 2016 Budget, he continued, “has been a learning experience for us. Its implementation was impacted by some challenges, including low revenues.

    “Also, the economic recession and procurement delays from some of our ministries, departments and agencies are lessons for us.

    “The capital budget utilisation has been the highest in the state for years, but we expected to hit higher figures,” he said, adding that the 2017 budget will leverage on N800 billion in Public-Private sector Partnership (PPP) funding between 2016 and 2020; just as it would expand the state’s revenue base by exploring untapped sources to improve economic growth through investment in infrastructure.

    The governor lamented a situation where “Kaduna State has about five per cent of the country’s population, but it contributes only about 2.3 per cent of its GDP.”

    He restated his commitment to doing everything to create jobs, bring development and ensure equity, just as he urged residents of Kaduna State to renew their commitment to peace and harmony, because “we cannot create opportunities for citizens and develop the state in an atmosphere without concord and trust.


    “We will be strong with law enforcement and unrelenting support for our security agencies to make every part of Kaduna safe. We are comfortable that this honorable house will record another 1st by expeditiously passing d draft appropriation bill into law.”

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