By Gbenga Olarinoye
Osogbo—Osun State Governor, Mr. Rauf Aregbesola, yesterday, presented a budget proposal of N88,143,131,600.00 to the state House of Assembly. The proposed budget is lower than the N108 billion  prepared by his predecessor in office, former Governor Olagunsoye Oyinlola before his ouster.

Aregbesola also reduced the overhead cost in the office of the Governor from N5,027 billion to N2,760 billion prepared by the former administration.

The Governor, who came into the office on November 27, stated that due to the short time available to him all he did was to modify the existing 2011 draft budget prepared by the Oyinlola’s administration.

Presenting the budget to the lawmakers, Aregbesola said the size of the 2011 balance budget was N27.35 billion short of the 2010 budget estimate of 114,489,750,324.00.

The budget ’s speech was read on the floor of the state House of Assembly by the Majority leader,  Mr. Tajudeen Adeyemi,  on behalf of Governor Aregbesola who was out of the country.

Governor Aregbesola in the budget speech said his administration did not believe in bogus and unrealisable budget estimate, adding that it was pruned down to meet the vision and aspirations of the new administration in the state.

The recurrent estimate is made up of  N71,099,515,610.00, which is 80.66% of the budget, while capital estimate stands at N17,043,615,990.00 or 19.34% of the total budget.

Governor’s speech

Aregbesola said: “Our own administration believes more in a lean, quality, realisable and achievable budget rather than a bloated budget which is based on unrealisable projections.

“The size of the allocation to overheads in the office of the Governor which initially stood at N5,027,880,000.00 has been slashed down to N2,760,180,000.00. The excess has been re-allocated to the rehabilitation of schools, hospitals and other capital projects.

“Our government will strive hard to ensure a reduction in the recurrent expenditure particularly on overheads in order to ensure fiscal efficiency and all round development in Osun State.”

Aregbesola stressed  that the budget would have been reviewed comprehensively to be in tandem with the dreams and aspirations of the new government but because of time constraint and since it was a constitutional requirement that the annual budget must be presented to the state or National Assembly before the end of the fiscal year preceding its implementation.

The Governor who lamented that the actual revenue recorded in the outgoing year fell short of the projected revenue by a very wide margin saying that by implication, the picture of state finances shows that Osun State cannot survive without the revenue from the Federation Account.

“This is the situation we met on ground when we assumed office on 27th November, 2010. We are aware of the task ahead of us as administration and I want to assure you that we are poised to ensure a complete turnaround in the Internally Generated Revenue of the State Government. This undue dependence on revenue from the Federation Account will be reversed by the new administration, he said.

On education, Aregbesola said that necessary infrastructure such as suitable buildings, furniture and also engaging massive rehabilitation of dilapidated schools buildings while the welfare of teaching and non_teaching staff would be given a boost in primary, secondary and tertiary institutions.

He said that qualitative health care services would be done in all parts of the state while primary health clinics, general hospitals and referral hospitals would be sited within 10 to 20km radius of human habitation.

He said that access roads would be constructed to facilitate ease transportation and evacuation of farm produce from rural to urban areas.

On industrialization, Governor Aregbesola said that his administration is determined to banish unemployment by encouraging promotion of condusive atmosphere for manufacturing and production while the existing industrial estates in Osogbo and Ilesa would be given adequate attention.