By Okechukwu Onuegbu
Anambra State governor, Professor Chukwuma Soludo, Thursday, presented a budget estimate of ₦606,991,849,118 with deficit estimated at N148.3 billion (24% of the budget compared to 30% in the 2024 budget).
Soludo, while presenting the budget at Anambra State House of Assembly in Awka, explained that the deficit is expected to be funded through revenue growth or borrowing from financial institutions.
" So far in both 2023 and 2024, we did not borrow to finance budget deficits. We will only borrow on two strict criteria: (a) it must be a concessionary loan, and (b) it must be allocated to projects with a clear plan for repayment in the future. Depending on the execution in 2025, we may still not borrow to fund the deficit.
" The Capital Budget constitutes 77% of the total budget size, while recurrent expenditures account for 23% (the same ratios as for the 2024 budget)," he added.
According to him, the proposed budget represents 48.9% increase compared to the 2024 budget of N410,132,225,272, with recurrent expenditures accounting for ₦139.5 billion (45.0% growth) and capital expenditure of ₦467.5 billion (48.9% growth).
"Relative to 2024, several key sectors are seeing significant increases: the administrative sector by 45.5%; the Economic sector by 40.1%; the Judiciary sector by 51.3%; the social sector by 82.7%; Education by 101.4%; Health by 57.1%; and Infrastructure investment by 38.9%.
"We will continue our efforts to extend power access to underserved communities. We have drafted a regulatory framework to encourage private sector investment in the Anambra Electricity Market, under the National Electricity Amendment Act of 2023. The Anambra State Electricity Policy and bill have been drafted and are currently under review by this Honourable House," he stated.
Speaking at a budget breakdown after the presentation, the Anambra State Commissioner for Budgeting and Economic Planning, Ms Chiamaka Nnake, added that the proposed estimate pegged ₦2.7b for the ministry of homeland affairs, aside other key provisions aimed at addressing insecurity, jobs creation and others.
Nnake, who recalled that the estimate provided for governor's smart city and other infrastructural projects, including bursary scheme for students, boosting of transport systems, education sector, as well as develop and equip cancer centre in the next fiscal year.
The Anambra State House of Assembly Speaker, Hon. Somtochukwu Udeze, who presided over the sitting, referred the budget to the committee on appropriation, assuring that the legislative arm would give it accelerated hearing and passage.