The Ondo State governor, Rotimi Akeredolu, has submitted to the Ondo State House of Assembly, a total budget of N171.268 billion for the 2018 financial year.
The amount represents an increase of N421 million over last year’s budget of N170.847 billion.
The breakdown of the budget shows that capital expenditure received N68.096 billion, representing 39.76 per cent of the budget, while recurrent expenditure has N81.521 billion or 47.6 per cent.
While presenting the budget to the house, Governor Akeredolu said the 2018 budget was designed to strengthen the state’s economy, provide the foundation for employment generation and drive the move towards economic prosperity of the citizens.
“This has accounted for the sectoral allocation above where 45.35 per cent of total expenditure will be dedicated to the economic sector,” he said.
The governor said his administration was mindful of the challenges posed by inadequate revenue in the quest to accomplish the budget objectives.
“In this wise, we recently commissioned some revenue consultants to complement the existing efforts on revenue generation and collection,” he said.
“We are indeed pleased with the improvement recorded since their engagement and hopeful that more would be achieved in the months ahead while in 2018 the current level of IGR will double.
“It is our determination to ensure that, henceforth, our Independent Revenue contributes significantly to the total revenue of the State.”
The governor however said the expected increase in the contribution of Independent Revenue to total revenue would not be achieved in a day and as such would be gradual.
“Hence, revenue inflow from the Federation Account will still contribute the larger portion of the total collectible revenue for the State in the short run,” he said.
“Consequently, the projection of revenue in 2018 would largely be informed by some major macro-economic assumptions contained in the Medium Term Expenditure Framework, MTEF and Fiscal Strategy Paper, FSP of the Federal Government.”
On infrastructure, the governor lamented the state of dilapidation of schools in the state, noting that over N7 billion been earmarked for the renovation of primary schools in the state in 2018.
“In addition, 18 secondary schools, six in each senatorial district, will be renovated in 2018. Aside from this, six other secondary schools, two in each senatorial district, will be completely overhauled in the next fiscal year,” Mr. Akeredolu said.