The Lagos State House of Assembly, on Monday, approved a total sum of N3,366,815,224,144 as the total budget of the state for 2025.
The approval followed the presentation of a report on the budget by the chairman of the joint committee on Appropriation and Finance, Sa’ad Olumoh, and the subsequent voice votes by lawmakers at a sitting presided over by the Speaker, Mudashiru Obasa.
Recall that Lagos State Governor, Babajide Sanwo-Olu, had on November 21, 2024, presented the Appropriation Bill of over N3 trillion for year 2025 to members of the state House of Assembly for consideration and approval.
According to Sanwo-Olu, the budget, themed: “Budget of Sustainability,” is a blueprint for continuity, resilience and prosperity for residents.
The governor, during the presentation, told the lawmakers that the budget has a deficit financing of N408,902 billion adding that the deficit would be financed from external and internal loans and bonds.
It was structured around five key pillars, including; Infrastructure Sustainability, Economic Diversification, and Institutional Reforms.
Budget size
Giving the details, the governor stated: “The Year 2025 budget as proposed has a total budget size of N3,005,935,198,401, comprising a total revenue of N2,597,034,000,000 and deficit financing of N408,902,000,000.
“Total revenue comprises our internally generated revenue of N1,970,897,000,000, and total federal transfers of N626,137,000,000.”
Sanwo-Olu, proposed N1,239,818,000,000, comprising total overhead, personnel cost and recurrent debt service, which is as follows:
Total Overhead Cost: N722.586 billion, as follows:
Overhead: N432.580 Billion
Subventions: N139.728 Billion
Dedicated Funds: N150.278 Billion
Total Personnel Cost: N392.000 Billion
Recurrent Debt Charges: N125.232 Billion
“For capital expenditure, we propose a total figure of N1.766,117 trillion, as follows: Capital expenditure, N1.452 trillion, while repayments is N313.515 Billion.”
Sectoral allocation
The sectoral allocation in the budget shows: Economic Affairs – N908.699 billion; Environment, N233.176 billion; Health N204.005 billion; Education, N 208.376 billion; Security, Safety and Public Order, N124.073 billion, while Social Protection is N47.077 billion.
The budget size is made up of recurrent expenditure of N1.239 trillion, representing 41 per cent and capital expenditure of N1.766 trillion, representing 59 percent.
The deficit financing, which is within the fiscal sustainability parameters, Sanwo-Olu stressed, shall consist of external and internal loans and bonds.
Approved budget
The approved budget is made of N1,295,630,197,452 as recurrent expenditure, while N2,071,185,026,692 is earmarked as capital expenditure for the year ending December 31, 2025.
Obasa, Monday, thereafter, directed the Clerk of the House, Olalekan Onafeko, to transmit a clean copy of the passed bill to Governor Sanwo-Olu for assent.
The Speaker commended his colleagues for their painstaking efforts leading to the passage of the budget.
Consolidated council admin laws
Meanwhile, the House, during plenary, also passed a bill to consolidate all laws on local government administration in Lagos State.
The bill further makes provisions based on constitutional amendments as well as amendments by the National Assembly which have direct effects on the local governments in Lagos State.
