The Akwa Ibom State Governor, Pastor Umo Eno, has presented a budget proposal of ₦955 billion for the 2025 fiscal year to the State House of Assembly.
The budget, tagged “Budget of Consolidation and Expansion,” represents a 3% increase from the revised 2024 budget of ₦923.462 billion.
Presenting the proposal, Governor Eno explained that the 2025 budget aims to consolidate ongoing projects and expand development across key sectors.
He noted that the budget is predicated on an oil benchmark of $75 per barrel, a production rate of 2.12 million barrels per day, and an exchange rate of ₦1,400 per US dollar.
The proposed budget comprises ₦300 billion for recurrent expenditure and ₦655 billion for capital expenditure.
Review of the 2024 Budget
Governor Eno disclosed that the initial 2024 budget of ₦849.970 billion was revised to ₦923.462 billion, with ₦350.142 billion allocated for recurrent expenditure and ₦573.319 billion for capital expenditure.
As of October 2024, ₦801.079 billion was collected as recurrent revenue, representing 168.6% of the pro-rated provision. An additional ₦100.522 billion was generated from capital receipts, while ₦328.003 billion was spent on capital programs, accounting for 80% of the pro-rated provision.
2025 Revenue Projections
The state government projects a total recurrent revenue of ₦830 billion for 2025, representing a 3% increase from the revised 2024 estimate. The revenue breakdown includes:
- Internally Generated Revenue (IGR): ₦80 billion
- Statutory Revenue: ₦20 billion
- Derivation Revenue: ₦135 billion
- 13% Derivative Revenue Arrears: ₦60 billion
- Exchange Gain and Augmentation: ₦455 billion
- Excess Crude: ₦5 billion
- Value Added Tax (VAT): ₦70 billion
- Ecological Fund: ₦5 billion
Capital Expenditure
The capital expenditure of ₦655 billion will be funded through ₦530 billion from the Consolidated Revenue Fund and ₦125 billion from external sources. These sources include ₦100 billion as an opening balance from the 2024 account, ₦10 billion in external loans, and ₦11 billion in grants, among others.
The Speaker of the Akwa Ibom State House of Assembly commended the governor for the detailed budget presentation, describing it as a testament to the administration’s commitment to transparency and good governance.
He assured the Assembly’s support for a thorough review and timely approval of the budget.
Governor Eno urged the legislators to expedite the approval process, pledging that the 2025 budget would be implemented judiciously to improve the welfare of the people and consolidate the state’s developmental strides.
