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Enugu Govt allocates 59.43 per cent of its budget to capital expenditure

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The Enugu State Government says it will spend #100.77 billion of the #169.56 billion budgeted for the 2020 fiscal year on capital expenditure.

The sum represents representing of the budget, which is above the 2019 figure of N43.93 billion by 129.4%.

Dome Media Services


The proposed capital budget of #100.77 has #15.94 billion representing 15.8% allocated to administrative sector; #66.69 billion representing 66.2% to economic sector;  #1.62 billion representing 1.6% regional sector and #16.16 billion representing 0.4% to regional sector as well as #16.16 billion  representing 16% to social sector.

The 2020 budget christened “Budget of Responsive and Accountable Governance” has #68.8 billion earmarked for recurrent expenditure.


This shows a 59% to 41% capital to recurrent ratio.

Further breakdown of the 2020 budget proposal shows that out of the total sum of # 68.8 billion allocated to recurrent expenditure, the sum of #34.97 billion representing 50.8% is for personnel costs, #27.18 billion representing 39.5% for overhead cost, while #6.64 billon representing 9.6% is for subventions to parastatals and tertiary institutions.



The ministry of Works and infrastructure has the highest allocation as the sector got 47. 4 billion naira against 18.5 billion naira allocated to the sector in 2019, which shows 155 % increase while Finance received 605. 1 million naira as against 464, 980, 00.0 million naira allocated to the sector in 2019.

Speaking at the budget breakdown, the state commissioner for budget and planning David Ugwunta said the 2020 budget seeks to address the security challenges in the states, as well as massive investment and development of basic infrastructure, education and critical areas of major concerns.


He said the objectives and targets for 2020 budget include; achieving budget performance of not less than 85%, achieving debt service charge at below 10% of the total revenue, ensuring a capital expenditure to recurrent ratio of 60:40 as well as ensuring 100% cash backing of all approvals for both recurrent and capital obligations, robust procurement process and certification of payment by due process unit before approval by Executive Council and sectoral budgetary allocation in line with the priority international benchmarks.

The budget shows that agriculture got 2.7 billion naira, Commerce and Industry, 303.4 million naira, Education 5.6 billion naira, Environment 3.2 billion naira, Finance 605.1 million naira, Health, 5.7 billion naira, Law and Justice has 1.6 billion naira, Rural Development, 2.2 billion naira, Youth and sports 886 million naira while water resources 2.9 billion naira as works and infrastructure got 47.4 billion naira.

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