Gombe Assembly passes N120.34bn budget for 2021


By Hajara Leman

Gombe, Dec. 18, 2020 Gombe State House of Assembly (GSHA) has passed into law the State’s 2021 Appropriation Bill of N120.34 billion, reflecting an increase of (N682. 68 million) over the initial sum of N119.66 billion proposed by Gov. Inuwa Yahaya.

This was contained in a Statement signed by Mr Abubakar Umar, Information Officer, GSHA and made available to newsmen on Thursday night in Gombe.

The Chairman, House Committee on Appropriation, Mr Aliyu Baba-Manu, while recommending passage of the Bill on the floor of the House, said the budget estimates were derived from the 2021 – 2023 Medium Term Expenditure Framework (MTEF).

He said the Fiscal Strategy Paper (FSP) was based on the macroeconomic assumptions of daily production of 1.86 Million Barrels at $40 per barrel, and exchange rate of N379 to a US Dollar and Mineral Ratio of 35 per cent as well as 15.86 per cent Implied growth in VAT, among others.

Umar said the Budget comprised Capital Expenditure of N61.64 billion, representing 51.25 per cent and a Recurrent Expenditure of N58.70 billion representing 48.8 per cent.

He said that the Budget, which had an opening balance of N13 billion, would be funded with Recurrent and Capital Receipts of N113,58 billion, and a deficit of N6. 76 billion that will be financed with Internal and External Borrowings of N7.50 billion and N739.97 billion as Closing Balance.

Presenting a breakdown of the sectoral allocation of the Capital Expenditure, Baba-Manu, said the Economic Sector had the highest allocation of N36.06 billion, representing 58.5 per cent, followed by the Social Sector with N20. 47 billion, representing 33.2 per cent.

He cited Administrative, Law and Justice Sectors as sharing N3. 76 billion, representing 6.1 per cent, and N1.33 billion, representing 2.2 per cent, respectively.

After a thorough debate, the House approved the Budget size and the sectoral allocations.

The House also approved the recommendations of the Committee that the Gombe State Fire Service be provided with sufficient fire fighting vehicles and office accommodation, to enable them discharge their duties effectively.

Abubakar Mohammed, GSHA speaker, commended the Appropriation Committee for presenting an articulate report that guided the House in taking informed decisions despite the short time given to it.

He also commended Gov. Alhaji Inuwa Yahaya, for proposing a people-oriented budget, with a capital to recurrent expenditure ratio of 51.2 per cent to 48.8 per cent, as well as taking cognizance of macroeconomic indices in preparing the budget.

Mohammed called on the Executive to ensure effective implementation of the budget as approved by the House.

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