The Governor of Akwa Ibom state Mr. Udom Emmanuel has proposed a total budgetary estimate of N582.115 billion for the 2022 fiscal year.
Presenting the estimates before the House of Assembly in Uyo, Governor Emmanuel explained that the 2022 Budget is prepared in accordance with International Public Accounting standard (IPSAS) Accrual template, and is intended to roll out a manageable budget size that will help in closing the gap between the budgeted figures and the actual figures.
He noted that the N582.115 billion 2022 budget is made up of a Recurrent Expenditure of N260.151 billion, Capital Expenditure of ₦321.964 billion and Recurrent Expenditure of ₦260.151 billion.
The 2022 Budget which is predicated on an oil benchmark of $57 per barrel at a production rate of 1.88 million barrels per day with an estimated exchange rate of ₦410.15/US$.
This, the governor said was in line with the National Budget benchmark projections.
He stated further that the focal point would be on the implementation of his 8-Point Completion Agenda of Industrialization, Education, Aviation Development, Rural and Riverine Area Development, Agriculture, Small and Medium Scale Enterprises, Infrastructural Expansion and Consolidation, Security and Human Capacity Development.
“The 2022 Budget is christened the “Budget of Re-defining Standards”. Our intention here is to take stock of our achievements in the past six and half years and consolidate the gains of our achievements thus far, for sustainable expansion and growth,” he stated.
Gov. Emmanuel who listed achievements of his administration such as the establishment of more than 20 viable industries in the State, Completion and successful commissioning of the 21-Storey Dakkada Tower, inauguration of Ikot Oku Ikono one-kilometer flyover, completion and successful commissioning of the Uyo-Ikot Ekpene Road, among others.
He re-emphasized that the Policy Objectives of the 2022 Budget includes; stimulation of the state’s economy with a view to creating more opportunities for gainful employment of our citizens through Industrialization and Agriculture, Economic growth and job-generating.
The Governor also said that the budget shall focus on infrastructural investments in roads, bridges, Renewable Energy and communication technologies, Promotion of Small and Medium Scale Enterprises (SMEs) as well as enhancement of local capacities in manufacturing and use of “made in Akwa Ibom” goods and services to create jobs and achieve self-sufficiency in critical sectors of the State’s economy, among others.
“Other specific objectives include; to employ ICT, Science and Technology as a tool for employment generation and wealth creation, to increase the Internally Generated Revenue (IGR) of the State by expanding and diversifying the State’s resource base, to aggressively pursue the development of other internal revenue generating sources in the State, in Maritime, Coastal and Inland Water Ways, harnessing revenue on landed properties and others, to commence the construction of Ibom Deep Seaport and development of the Ibom Industrial City to complement Government efforts in the creation of enduring structures for employment generation, among others.
The State Chief Executive explained that the 2022 Budget which is prepared in accordance with International Public Accounting standard (IPSAS) Accrual template seeks to roll out a manageable budget size that will help in closing the gap between the budgeted figures and the actual figures.
The Governor explained that the Budget was christened the “Budget of Re-defining Standards” as it aims at taking stock of achievements in the past six and half years and consolidate the gains of achievements, for sustainable expansion and growth of the state.
Governor Emmanuel during his speech said that in the course of preparing the year 2022 budget efficient costing tools such as Cost Benefit analysis, Cost effectiveness analysis and elasticity methods including moving averages were deployed.
“Government has proposed a total budgetary outlay of N582.115 billion for the 2022 Financial Year as against the approved revised provision of N598.975 of 2021 representing a decrease from the 2021 revised budget.
“The total projected Recurrent Revenue for 2022 estimated at ₦273.854 billion as against the approved revised provision of ₦260.003 billion representing 5% increase in revenue projection for the year 2022.
“The total Capital Receipts and Expenditure for the year 2022 is estimated at N321.964 billion as against the approved revised provision of N344.873 billion for 2021. A total projected Capital Receipts shows that N13.703 billion will be transferred from the Consolidated Revenue Fund, while the balance of N308.261 billion.
“A sectoral allocation of the total budget outlay of N582.115 billion for the year 2022 shows that, administration gets N132.565Bn( 22.8%), Economic sector is to get N347.349BN (59.7%), Law and Justice- N10.378BN,(1.8%), Regional Sector to N1.991BN (0.3%), Social Sector for N89.832BN(15.4%).
The Governor noted that the main policy thrust of the budget is to create more job opportunities with a focus on the 8-Point Completion Agenda and these include, industrialization, Education, Aviation Development, Rural and Riverine Area Development, Agriculture, Small and Medium Scale Enterprises, Infrastructure Expansion and Consolidation, Security and Human Capacity Development.
He lauded the lawmakers, Rt Hon. Aniekan Bassey for his commitment and tireless efforts in approving the 2022-2024 Medium Term Expenditure Framework (MTEF) the Fiscal Strategy Paper (FSP) and the passage of the 2021 Revised (Supplementary) Appropriation Bill in response to the exigencies arising from commitment to further change the narratives and trajectories of our growth and development.
“You have proven yourselves as dependable partners in the Boardroom of the Akwa Ibom Enterprise.
“You have also worked collaboratively with the Executive Arm and infact, the Judiciary too, putting aside personal or group interest for the common good of our people.
“We have enjoyed robust working relationships, while respecting the Constitutional boundaries as enshrined in the Principle of Separation of Power. “
“We, in the Executive Arm can always count on you to rise gallantly in defense of the larger Akwa Ibom interest and do all that is proper and necessary to advance our growth and development. I want to thank you for this show of amity and concord.” He added
The Governor noted that despite the gloomy economic outlook, his administration has been able to achieve a lot across sectors in line with the completion agenda.