The Adamawa State governor, Murtala Nyako, has presented a budget of N67.46 billion for the 2010 fiscal year to the state House of Assembly.
Daniel Kiri, the state commissioner of finance, giving the breakdown of the budget christened "Budget of Actualisation" said, "the state government has proposed the sum of N67.46 billion to be expended on both recurrent and capital services of the state. The budget is 24 per cent slightly above the 2009 budget of N54.26 billion."
The budget breakdown reveals that N33.46 billion has been earmarked for recurrent expenditures while the balance of N34 billion is being earmarked to service capital development projects and programmes in the state. The ratio between allocations for recurrent and capital expenditure is 50 to 50.
In the proposed 2010 budget, the state internally generated revenue has been slightly increased from N5.41 billion, the approved figure of 2009 to the sum of N6.09 billion in 2010 which represents an 11.15 per cent increase. The revenue profile of the proposed budget shows that statutory allocation constitutes 40 per cent of accruals,
others are Value Added Tax 10 per cent, excess crude oil 11 per cent and capital receipts constitute 30 per cent.
Expenditure equals revenue
Mr. Kiri said that the 2010 expenditure "equaled" the proposed 2010 revenue estimate as a matter of the balance budgeting system being practised in the country.
The government in its ministerial allocations to ministries and department has accorded top priority to agriculture, education, health, road constructions, water supply as well as the provision of electricity in the state as captured in the 2010 budget. Mr.
Daniel Kiri added that the administration will earnestly see that the 2010 budget is properly implemented "with the economic meltdown still prevailing in our economy, off-budget spending will be highly discouraged during the 2010 fiscal year."
The Adamawa State government has also adopted some fiscal control policy measures as well as an innovation in the 2010 budget that includes an integration of e-revenue collection. Hence,
all state revenues will be collected through designated commercial banks in the state. The state is also planning e-payment of salaries in the coming fiscal year, commencing with the education sector as a pilot scheme.
Earlier, the governor stated that the budget tagged the budget of actualisation represented his administrations modest and pragmatic approach to empower the people by "completion and expansion of ongoing projects which are of strategic importance."
Reflecting on the performance of the government in the implementation of the 2009 budget, the governor noted "It has been a year of tightening of belt." However, he stated that in spite of all that, the government has achieved modestly in the areas of infrastructure development.
Adamawa State budgets N67.46 billion for 2010.