In order to improve and maintain its infrastructure, the Lagos State government has stated that it will invest N550.689bn by 2024.
This was revealed on Tuesday during the State’s Y2024 Budget Analysis Press Briefing, which was held at the Bagauda Kaltho Press Centre in Alausa-Ikeja. Ope George is the Commissioner of Economic Planning and Budget.
He stated that the ₦1.315trn Capital Budget for the year includes the N550.689bn allocated for infrastructure, which accounts for 24.28% of the total budget.
He stated there will be a continuation of ongoing transport projects, such as the development of roads, the completion of the Blue/Red Line and other metro projects inside the State, and the growth of the rail network, while outlining some of the infrastructure targeted with the Budget.
According to George, the budget would also provide N55.924 billion, or 2.5% of the total, to support urban redevelopment initiatives and the creation of affordable housing schemes in order to alleviate the state’s housing need. He presented a summary of some of the social housing projects, such as the construction of 136 units at Ajara, Badagry Phase ll, the completion of 420 apartments at Sangotedo Phase ll, and the completion of 444 units at Ibeshe amongst others.
In addition, he said, there will be ongoing work on key infrastructure projects like the Omu Creek, Blue and Red Rail Lines, Lekki-Epe International Airport, and others, with a concentration on special projects. He emphasised that the majority of these projects will be given priority.
The Commissioner stated that the Y2024 Budget was created to guarantee the completion of ongoing and front-loaded infrastructure projects such as Massey, Omu Creek, Opebi-Mende Link Bridge, Stadia, SCRPS, Lekki-Epe, Lagos Badagry Express, and others. It also aimed to start construction on the Fourth Mainland Bridge, which will link Ikorodu to the Island.
In his own words: “The State will continue to support agriculture and is committed to doing so. Projects and programmes will receive more funding, and there will be comprehensive training programmes and farmer-specific incentives.” In addition, continuing support for Micro, Small, and Medium-Sized Enterprises (MSMEs) continues to be a top focus in order to promote job creation and economic growth.
“This dedication to upgrading the whole food systems and strengthening assistance for farmers is demonstrated by the State’s five-year Agric Roadmap. As a result of this initiative, the State decided to provide N44.33 billion to Central Food Security, supporting initiatives like the Wholesale Produce Hub & Market, Fish Processing Hub programmes, and Cattle Feedlot Project. In the long run, these initiatives would improve food quality, lower costs, and maximise the agricultural sector, he continued.
Encouraging Human Capital Development through Education and Healthcare is important for the State because, as the administration believes, a safe, skilled, and healthy people is the only way to turn the potential in the State into value. For Y2024, the State has allotted 13.35% of the entire budget to human costs, a 33% increase over Y2023. Every child in the State will have better learning chances because to the N180.693 billion allocated to the education sector. This money will enable ongoing investments in digital skills projects, vocational education, and educational infrastructure.
George claimed that the ₦1.880 trillion total revenue estimate, which is made up of Internally Generated Revenue (IGR) of N1.189 trillion, Capital Receipts of N94.605 trillion, and Federal Transfer of N596.629 trillion, will fund the entire budget of ₦2.267 trillion. He also stated that LIRS is anticipated to contribute 63% (N750 billion) of the projected TIGR, with the remaining 23% (N283.567 billion) coming from other government MDAs. He continued, “We will accomplish this by expanding the tax base and deepening revenue streams through the application of technology, economic intelligence, data collection, and analysis, among other initiatives.”
The Commissioner reaffirmed that the informal sector offers enormous potential for producing income in the areas of real estate, trade, and transportation, saying that a combination of Internal, External Loans and Bond Issuance sources is expected to cover the anticipated 387.125 billion deficit.