Ikpeazu Present N147b Economic Recovery Budget, Gives Details, Lauds Abia Assembly

[caption id="attachment_120808" align="alignnone" width="960"] Governor Okezie Ikpeazu Presents 2022 Budget[/caption]

The governor while presenting the budget he termed " Economic Recovery through Industrialization and Inclusive Growth "stated that the theme is borne out of our understanding that sustainable growth and development is hinged on industrialization. He adduced that as the whole world battles to recover from the recession occasioned by the outbreak of the COVID-19 and the associated challenges that have plagued the global economic system over the last 2 years, his administration recognize an opportunity to take advantage of the industrial acumen of the average Abian, an opportunity to continue to drill a space to ingrain the Abia signature in the global value chain, through the unique products that are produced by the people.

He stated that an opportunity to pursue recovery by redirecting resources to improve on the production chain in the State and improve the overall quality of products coming from Abians. He argued that it is an opportunity to displace established suppliers and producers with cost-effective, quality products from Abians.

[caption id="attachment_120807" align="alignnone" width="960"] Rt. Hon. Chinedum Enyinnaya Orji Presiding Over The Sitting.[/caption]

The Break Down of The 2022 Budget outlay shows that out of the N147,787,781,300 , 45% covers recurrent expenditures and 55% as capital expenditures. The Recurrent expenditure of N66,830,193,200 (Sixty Six, Billion, Eight Hundred and Thirty Million, One Hundred and Nine-Three Thousand, Two Hundred Naira) which is 45% of the total expenditure is 6.29 % increase from the 2021 Budget.

The recurrent expenditure is further broken down into:

Personnel Cost: - N31,479,160,500 (Thirty-one Billion, Four Hundred and Seventy-Nine Million, One Hundred and Sixty Thousand, Five Hundred Naira)

Overhead Cost: - N17,700,456,400 (Seventeen Billion, Seven Hundred Million, Four Hundred

and Fifty-Six Thousand, Four Hundred Naira)

Consolidated Revenue Fund Charges: - N17,650,576,300 (Seventeen Billion, Six Hundred and

Fifty Million, Five Hundred and Seventy Thousand, Three Hundred Naira.

While the Capital expenditure of N80,957,588,100 (Eighty Billion, Nine Hundred and Fifty-Seven Million, Five Hundred and Eighty-Eight Thousand, One Hundred Naira only) represents 55% of the total projected expenditure and 15% increase from the 2021 Budget. The sectoral allocation of the capital expenditure is as follows:

Administrative Sector- N11,696,303,300 (Eleven Billion, Six Hundred and Ninety-Six Million, Three Hundred and Three Thousand, Three Hundred Naira only)

Economic Sector: N52,155,504,200 (Fifty-Two Billion, One Hundred and Fifty-Five Million,

Five Hundred and Four Thousand, Two Hundred Naira only)

Law & Justice Sector: N1,039,157,100 (One Billion, Thirty-Nine Million, One Hundred and Fifty-Seven Thousand, One Hundred Naira Only)
Social Sector: N16,066,623,500 (Sixteen Billion, Sixty-Six Million, Six Hundred and Twenty-Three Thousand, Five Hundred Naira Only)

The state government adopted, the State adopted 2022-2024 Medium Term Expenditure Framework and Fiscal Strategy of the Federal Government which set the parameters for the 2022 budget as follows:

Benchmark oil price of $57
Daily Oil Production of 1.88
Exchange rate of N410.15 per US Dollar; and
GDP growth projected at 4.2 percent and inflation at 13%.

The governor commended the speaker and members of the 7th Abia House of Assembly for their firm commitment towards ensuring a very harmonious and productive relationship with the Executive. He added that the challenges ahead in the coming year require that all must work together to deliver on the government promises and commitments to the people. He therefore prayed on the legislators to kindly consider and pass the budget estimate.

In his response on behalf of the members of the Abia legislature, the Speaker, Rt Hon Chinedum Enyinnaya Orji, thanked the Governor and his team for the efforts put in to make the draft Budget available and promised that the House would work conscientiously to ensure the Budget is passed in good time and for the benefit of the people. He enjoined the Governor to ignore naysayers and remain focused on his vision and ensure that he finishes strong. He reiterated the commitment of the House to support him in achieving his goals for the State and urged the him to ignore those who are working very hard to sow seeds of discord between the Executive and the Legislature. After the budget presentation, the governor had an open conversation with the legislators and was later taken on a tour of the new assembly complex.

[caption id="attachment_120805" align="alignnone" width="960"] Abia Deputy Governor, Rt. Hon. Ude Oko Chukwu Present During The Presentation[/caption]