Governor Seyi Makinde of Oyo State has presented a budget estimate of N678,086,767,332.18bn for the 2025 financial year before the State House of Assembly.
The governor, who titled the budget the ‘Budget of Stabilisation’, said the effort is to build on the 2024 ‘Budget of Economic Recovery’.
Makinde said the figure is about 35% higher than the 2024 budget, noting that the plan is to spend a little over 50% of the proposed budget on capital expenditure, while about 49% goes into recurrent expenditure.
While the capital expenditure stands at N343, 028, 948, 216. 20bn, which is 50.59% of the budget, the recurrent expenditure is put at N335,057,819,115. 98bn, which is 49.41% of the budget.
In the 2024 estimate, the topmost four sectors include: Infrastructure, with the highest budgetary allocation of (22.46%); Education, second highest allocation (21.44%); Health, 9%; while Agriculture gets 3%.
In the 2025 estimate, the budgetary allocations are: Infrastructure, N152,265,859,738.19bn (22.46%); Education allotted N145,354,783,399.80bn (21.44 %) which is above the UNESCO recommended standard; Health gets N59,411,385,714.68bn (9%); and Agriculture takes N18,760,243,348. 45bn (3%) of the budget.
Justifying the high allocation to infrastructure and the education sector, the governor recalled that the infrastructure deficit in the education sector and the administration’s inability to meet up with her plans in the current year’s budget necessitated an increase in the allocation, saying the government also hopes to renovate a number of schools in the coming year.
He further explained that the budget for agriculture is to encourage investors in the sector, noting that the budget is to stimulate more activities in the agric sector, but the major driver will be private investors.
Makinde said, “I am proud of our investment in our economy, education, healthcare and security sectors. We are proposing a budget of N678,086,767,332.18bn.
“We kept in mind the fact that we want an implementable budget. As of October, our last budget is at about 65% implementation which is 5% short of our projection. We believe that our revenue options will support over 70% implementation in 2025.
“This is a departure from the past before this administration came in in 2019 when budget performance stood at about 30 to 35%. So we’ve been able to actually bridge the trust gap between the government and the people. So infrastructure gets the highest share of the budget,” the governor explained.
Sustainable Development
He expressed optimism that the budget proposal will support the state Roadmap for Sustainable Development 2023 to 2027, saying the plan is to bring more smiles to the faces of investors, smallholder farmers, micro and small entrepreneurs, teachers and other public servants, parents, children, youths, and all residents of the state.
Makinde solicited the support of the lawmakers to give the budget proposal expeditious hearing so that the bill will be passed into law in order to continue the culture of running the budget from January 1st.
Responding, the Speaker, Rt. Hon. Adebo Ogundoyin, said the progress made by Governor Seyi Makinde’s administration in rebuilding Oyo State is undeniable, and the successful implementation of the Roadmap for Sustainable Development 2023-2027 is a testament to his commitment.
The speaker said the 2024 budget proposal achieved an impressive 64% success rate, thanking the collaborative efforts of government branches and stakeholders.
Ogundoyin expressed optimism that building on the momentum, the 2025 budget proposal will surpass the performance of the current year, pledging the readiness of lawmakers to immediately ensure swift passage of the 2025 Appropriation Bill.
He said: “The 2025 budget proposal presents a promising outlook for Oyo State’s development with infrastructure (22.46%) and education (21.4%) receiving the highest sectoral allocations. This is to stimulate economic growth, enhance competitiveness and increase productivity while also increasing the standard of education.
“The allocation also indicates a balanced approach, considering essential sectors like Health (8.76%), Agriculture (2.77%) and others (44.58%). Overall, the 2025 budget proposal sets a solid foundation for Oyo State’s progress and prosperity.”
Ogundoyin expressed the commitment of the Assembly to work closely with the governor for the successful implementation of the 2025 budget, pledging the conduct of a thorough oversight of all government arms in order to guarantee transparency, accountability and responsible allocation of resources.
“Let me assure that, we will set the ball rolling immediately to ensure swift passage of the 2025 Appropriation Bill. This, as usual, will translate to prompt implementation and execution of policies, as well as timely completion of all projects in the coming year,” the speaker promised.
Hauwa Abu
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