Sanwo-Olu set to sign N1758trn 2022 budget into law

Lagos State Governor,  Bababjide Sanwo-Olu has concluded plans to sign the state’s 2022 budget of N1.758 trillion into a law.

Sanwo-Olu scheduled to sign the budget tagged: “Consolidation,” into law at the Lagos House, Alausa, Ikeja, today, December 31, 2021.

Recall that Sanwo-Olu had on Wednesday, November 24, 2021, presented Year 2022 Appropriation Bill of over N1.388 trillion before members of the State House of Assembly for consideration and approval.

The 2022 Appropriation Bill, initially had a budget size of ₦1,388,285,459,990.51, comprising a total revenue of ₦1,135,159,092,822.30 and deficit financing of ₦253,126,367,168.21.

Further analyses of the budget size showed: A recurrent expenditure of ₦564,934,331,886.41 (41 per cent) and capital expenditure of ₦823,351,128,104.10 (59 per cent).

The deficit financing, according to the governor would be by way of a combination of external and domestic loans and bonds, which are well within the state’s fiscal sustainability parameters.

The assembly, led by Speaker of the House, Mudashiru Obasa, after a presentation of the report by Gbolahan Yishawu, Chairman of the Committee on Economic Planning and Budget, passed the bill for Governor Sanwo-Olu’s assent into a law.

Yishawu, after the plenary, explained that the total budget size passed has addition of leftover from the previous allocations in the 2021 budget.

He said the leftover was rolled into ‘contingency fund’ in the Year 2022 budget. Yishawu, also put the Capital and Recurrent Expenditure ratio at 66:34.

While the recurrent expenditure is N591,280,803,486bn, the Capital expenditure is N1.166,915,843,358 trillion, taking the budget total size to N1,758,196,44,844 trillion.

According to him the loans, bonds and Irrevocable Standing Payment Order, ISPO funds are captured in the budget that was passed.

Obasa, in his reaction, commended his colleagues for working assiduously to ensure that the appropriation bill was ready for passage without any form of delay.