Lagos State Governor, Babajide Sanwo-Olu, on Thursday, presented an ambitious budget proposal of ₦3.005 trillion to the State House of Assembly for approval for the 2025 fiscal year.
While addressing the Assembly, Sanwo-Olu explained that the budget comprised a total revenue of ₦2,597,034,000,000 and deficit financing of ₦408,902,000,000.
He detailed that the total revenue included ₦1,970,897,000,000 in Internally Generated Revenue (IGR) and ₦626,137,000,000 in federal transfers.
The Governor proposed a recurrent expenditure of ₦1,239,818,000,000, which covered total overheads, personnel costs, and recurrent debt servicing.
The allocations were as follows:
- Total Overhead Costs: ₦722.586 billion
- Overheads: ₦432.580 billion
- Subventions: ₦139.728 billion
- Dedicated Funds: ₦150.278 billion
- Personnel Costs: ₦392 billion
- Recurrent Debt Charges: ₦125.232 billion
For capital expenditure, the proposed amount stood at ₦1.766 trillion, broken down as:
- Capital Expenditure: ₦1.452 trillion
- Repayments: ₦313.515 billion
Sanwo-Olu also outlined the sectoral allocations within the budget:
- Economic Affairs: ₦908.699 billion
- Environment: ₦233.176 billion
- Health: ₦204.005 billion
- Education: ₦208.376 billion
- Security, Safety, and Public Order: ₦124.073 billion
- Social Protection: ₦47.077 billion
He highlighted that 41% of the budget was allocated to recurrent expenditure, while 59% was designated for capital projects.
The Governor reassured the Assembly that deficit financing, which adhered to fiscal sustainability parameters, would be sourced through external and internal loans and bonds.
