Lagos State Governor Babajide Sanwo-Olu has presented a robust N2.246 trillion budget proposal to the Lagos State House of Assembly.
Dubbed the “Budget of Renewal,” the financial plan for the year 2024 aims to balance recurrent and capital expenditures, with a focus on sustainable development.
The proposed budget consists of N1.02 trillion (45%) allocated for recurrent expenses and N1.2 trillion (55%) earmarked for capital projects.
Governor Sanwo-Olu outlined that the budget would be funded through N1.848 trillion in revenue and N398.3 billion in deficit financing.
This deficit will be managed through a mix of external and internal loans and bonds, all falling within the state’s fiscal sustainability guidelines.
Lagos State projects an internally generated revenue of N1.251 trillion, supplemented by federal government allocations totaling N596.629 billion.
The recurrent expenditure of N1.021 trillion will cover overhead costs, personnel expenses, and debt servicing.
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The breakdown includes N527.782 billion for total overhead costs, N319.23 billion for personnel costs, and N174.94 billion for debt servicing.
On the capital expenditure front, the governor proposed N1.224 trillion, which includes N856.387 billion for capital projects and N367.893 billion for loan repayments.
Sectoral allocations highlight the government’s priorities, with N535 billion dedicated to economic affairs, N94 billion for environmental initiatives, and N156 billion for healthcare improvements.
Education receives a significant boost with N199 billion, while social protection and public order, and safety are allocated N50 billion and N84 billion, respectively.
Governor Sanwo-Olu assured the assembly of brighter days ahead, emphasizing the temporary nature of current hardships and the long-term benefits of the state’s strategic investments.
He also reiterated the state’s collaboration with the Federal Government to introduce relief measures, particularly addressing the challenges of fuel subsidy removal and high inflation rates.
In 2024, Lagos State plans to participate in the Federal Government’s targeted food security initiatives and adopt the Compressed Natural Gas (CNG)-powered buses program to enhance public transportation and reduce costs for residents.