Rivers State Governor, Nyesom Wike, has presented a budget of N550 billion for the 2023 fiscal year, the highest budget proposal by his administration since assuming office in 2015.
Wike, in the budget titled, ‘Budget of Consolidation and Continuity’ announced that the state government will provide the sum of N5 billion for the commencement of a free school feeding program for pupils in primary schools in order to increase enrolments.
Governor Wike, who presented the budget to the Rivers State House of Assembly on Tuesday, said the budget is aimed at consolidating his achievements in the state and delivering additional infrastructure and prosperity for citizens.
Budget highlights: Wike stated,
- “We have also provided the sum of N5,000,000,000.00 under Special Projects to introduce and fund a free feeding program for pupils in our primary schools to increase and sustain enrolments and reduce poverty.’’
The governor also said the 2023 budget proposal is anchored on the assumption that the crude oil price benchmark will be $70 per barrel, with the production level put at 1.5 million barrels per day.
The exchange rate was put at N435 to a dollar and the state economic growth was projected at between 4.5% and 5%.
According to him, the budget will be funded from the Federation Account Allocation Committee (FAAC) receipts, 13% Oil Mineral Derivation Fund, Internally Generated Revenue, bank loans, sales of state assets, and grants from development agencies.
Going further, the governor noted that in the 2023 budget proposal, his administration is planning to spend N175.3 billion on recurrent expenditure, representing about 31% of the total budget for the 2023 fiscal year, while the sum of N350 billion, representing about 63% of the total budget is allocated for capital expenditure in line with the vision to prioritize capital expenditures over recurrent.
He explained that in 2023 the state will spend N73.5bn on salaries of ministries, departments, and parastatals; N 7.8bb on new recruitment; N33.6 on monthly pensions as well as N12bn on gratuities and death benefits.
For catchup: Recall that in December, Governor Wike presented a budget of N483.17 billion for the 2022 fiscal year.
Wike said the policy thrusts for the 2022 Appropriation Bill were in furtherance of the state’s quest for greater economic growth and fiscal consolidation, enhancing jobs and wealth creation, building first-rate economic infrastructure, and achieving equity and social protection through poverty reduction and economic inclusiveness.
