Says N120bn allocated for Calabar-Lagos,
Lagos-Kano rail lines
Minister of National Planning, Senator Udoma Udo
Udoma, said yesterday, that N386 billion
recovered looted funds would form part of
resources to finance the 2016 budget deficit.
He disclosed this while announcing details of the
N6.06 trillion budget, with the Calabar-Lagos and
Lagos -Kano rail lines taking combined allocations
of N120 billion from the N1.75 trillion total capital
budget, with each of the rail lines gulping N60
billion.
The Calabar-Lagos rail project was one of the
major controversies between the Presidency and
the National Assembly which led to muscle
flexing, as President Muhammadu Buhari insisted
it must be included before he would give his
assent to the 2016 Appropriation Bill.
The N6.06 trillion 2016 budget outlay represents
an increase of about 35 per cent over 2015
budget provision of N5.067 trillion.
Deficit
The Federal Government revenue projection was
put at N3.855 trillion, leaving a fiscal deficit of
N2.2 trillion which translates to 2.14 per cent of
GDP.
Senator Udoma explained that the deficit to be
financed largely through borrowings was within
the limit of three per cent of the GDP, as
stipulated by the Fiscal Act.
The deficit is to be financed mainly by
borrowings, projected at about N1.8 trillion,
which would be sourced from the domestic
market through bonds on the one hand and
foreign loans on the other.
He said: “The borrowing is to be raised roughly
equally from domestic and foreign sources. We
have decided to source from international sources
so as not to rely exclusively on domestic
borrowing, which may have the effect of
crowding out the private sector.
“Furthermore, we are optimistic that we may be
able to access some of the foreign loans on a
concessionary basis. The Ministry of Finance is
currently negotiating with multiple sources to
secure the external financing.”
The administration plans to spend N 2.56 trillion
on Non-Debt Recurrent, which would be basically
personnel costs and overhead.
An analysis of the sectoral allocations indicated
that the Ministry of Interior will receive the largest
funding of N513.65 billion; followed by Power,
Works and Housing with N456.93 billion and
Defence, N443.07 billion Education was fourth on
the list with N403.16 billion, followed by Health
(N250.06 billion), Transportation (N202.34b),
Agriculture and Rural Development (N75.80
billion), Youth and Sports (N75.79 billion), Water
(N53.3 billion) and Solid Minerals kept the rear
with N16.73 billion.
Highlights of major projects
The breakdown showed 40 of the priority projects
of the administrations to be undertaken across
the country to include: N40billion for Lagos-
Ibadan Expressway (Section I); N14.2 billion for
the construction of Oju/Loko Oweto bridge to link
Loko and Oweto with approach roads and
Oshegbudu-Oweto road; N13 billion for dualization
of Kano-Maiduguri road (Sections I-V); and N8.7
billion for reconstruction and pavement
strengthening of sections of Benin-Sagamu
expressway.
Other majors road projects earmarked for the
fiscal year include: N13 billion for concession of
2nd Niger bridge; N8.8 billion for rehabilitation of
Sokoto-Tambuwal Kotangora-Makira road; N6
billion for dualisation of Odukpani-Itu-Ikot Ekpene
road in Cross River and Akwa Ibom States; and N6
billion for dualisation of Ibadan-Ilorin section.
Similarly, N5 billion was set aside for the
rehabilitation of Apapa-Oshodi-Oworoshoki road;
N4.8 billion for rehabilitation of Ilorin-Jebba-
Mokwa-Bokani road; N2.8 billion for completion of
Gombe-Numan-Yola road Phase II; and N2.6 billion
for dualization of Kano-Katsina road phase I; N5.5
billion for rehabilitation of Enugu-Onitsha Road;
and N2 billion for dualization of Sapele-Agbor-Ewu
Road (Section I).
Power sector
In the power sector, N1.1 billion was budgeted for
the generation of 700MW from Zungeru Hydro
Power Project; N1.2 billion for construction of
2X60MVA connection of Gurara to national grid;
and an allocation of N5.5 billion for construction
of 215MW gas power plant, which location was
not specified.
The minister equally announced a N235.7 million
allocation for coal-to-power development projects
in Enugu, Benue, Gombe and Kogi states; another
N303.9 million for the completion of ongoing
construction of ITC/TDN and installation of
injection and distribution substations; N305.3
million for completion of small scale renewable
energy; power plants development; N324.2
million for completion of rural electrification
scheme in 23 communities in Ondo; and N250.7
million for completion of ongoing electrification
project in Kano State.
Besides the huge allocations to the Calabar-Lagos
and Lagos-Kano rail lines in that sector, the
minister disclosed that N18.3 billion had been
earmarked for the completion of Abuja (Idu)-
Kaduna 186.5 kilometre single track rail line and
another N18.5 billion for the completion of Itakpe-
Ajaokuta-Warri 326kilometre rail track and
structures .
Udoma revealed that N35.6 billion would be spent
on the construction of 1,973 blocks of 7,068
housing units in six geo-political zones and FCT.
On the implementation of the budget, the
minister said his team had been working with
their colleagues in the Federal Ministry of Finance
and assured that releases would be announced
shortly.
Social intervention projects
Speaking in a similar vein, Minister of State for
Budget and National Planning, Mrs. Zainab
Ahmed, said of the total budget estimate, N500
billion was earmarked for social intervention
projects in five key areas of job creation, school
feeding, conditional cash transfer, enterprise
programme and STEM education grant.
A breakdown of the amount showed that N191.5
billion was mapped out for job creation and this
would be spent on hiring of 500,000 teachers
proposed by Federal Government and creation of
100,000 artisans across the country.
She further explained that plans had been
concluded to make the teachers’ recruitment a
very competitive one. The sum of N93.1 billion
was also earmarked for School Feeding
Programme, with which about 5.5 million children
would be fed for 200 school days.

ganisucks:
Very shameless A̶̲̥̅̊Ω̴̩̩̩̥D̶̲̥̅̊ useless government. Every point A̶̲̥̅̊Ω̴̩̩̩̥D̶̲̥̅̊ target there is a ℓi3. They will not even accomplish 5% ☀̤̣̈̇f their said targets. The worst ℓi3 is the proposed Lagos-Calabar railway. That is not in the budget, it never W̶̲̥̅̊åS̤̈̊, A̶̲̥̅̊Ω̴̩̩̩̥D̶̲̥̅̊ it never will, as long as APC controls the centre. I heard that their talkative inept Info minister has already began stealing. ΨђåƮ a shame.

ganisucks:
I J̶̲̥̅̊u̶̲̥̅̊ƨ̣̣̣̇̇̇̇τ̣̣̥ read that the major oil firms have began shutting down operations. Let us see if all the so called recovered loots can fund 90% ☀̤̣̈̇f the budget. Udoma makes ♍ƺ want †̥♥ break out in laffter.

yemmynoni:
and one man go still carry you put for ause?