Despite concerns over the increasing recurrent expenditure by states, particularly given their low level of productivity and contribution to Gross Domestic Product (GDP), the federal and state governments have earmarked a total of about N17.04 trillion for recurrent expenditure in 2024.
While the sum of N8.27 trillion is earmarked for salaries, subsidy transfers, and other non-capital spending by the federal government, recurrent expenditure by the states will gulp N8.77 trillion.
ONIFTV gathered that of the combined N44.93 trillion 2024 annual budget of both tiers of governments, the sum of N17.38 trillion is set aside for capital projects.Data collected by the Analysts Data Services and Resources indicated that the states have a combined annual budget of N16.15 trillion, of which recurrent expenditure will gulp N8.77 trillion.
On the other hand, of the federal government’s N28.78 trillion appropriation, the sum of N8.27 trillion is earmarked for recurrent expenditure transfers and other non-capital spending.
The federal government will also spend N1.74 trillion on statutory transfers. The statutory transfers of the budgets are appropriations by certain government institutions enabled by law and backed by the constitution to be made by themselves and cannot be altered or reviewed by the presidency or executive arm of government.
There had been concerns over the increasing recurrent expenditure by states, particularly given their low level of productivity and contribution to GDP.Figures showed that Lagos, Akwa Ibom, Rivers, Delta and Ogun states have the highest budgets of N2.26 trillion, N845.63 billion, N800.39 billion, N724.98 billion, and N703 billion, respectively in 2024.
This was followed by Niger, Imo, Abia, Enugu, and Bayelsa with N613.99 billion, N592.20 billion, N567.20 billion, N521.50 billion, and N480.99 billion respectively.Kaduna, Katsina, Oyo, Kano, and Zamfara have annual budgets of N458.27 billion, N454.31 billion, N438.45 billion, N437.34 billion and N426.50 billion respectively.
Others are Anambra, Ondo, Borno, Edo, and Plateau with N410.13 billion, N395.26 billion, N358.70 billion, N342.80 billion, and N314.80 billion respectively.Other tates’ appropriations include Taraba, Bauchi, Jigawa, Cross River, and Kwara with N313.39 billion, N300.22 billion, N298.14 billion, N296.96 billion, and N296.40 billion respectively.
Others include Osun, Sokoto, Kogi, Kebbi, and Adamawa with N273.91 billion, N270 billion, N248.20 billion, N250.10 billion, and N225.80 billion, respectively.However, Yobe, Gombe, Ebonyi, Nasarawa, Ekiti, and Benue have the lowest annual budget of N216.95 billion, N208.06 billion, N204 billion, N199.88 billion and N159.57 billion, and N225.70 billion, respectively.