Press Releases

Lagos Budget Records 49% Performance In First Quarter
We would pick up - Governor Fashola assures

Apr 8, 2010 - Lagos State Governor, Mr Babatunde Fashola (SAN) on Thursday disclosed that the Year 2010 Appropriation Budget of the Lagos State Government recorded a performance of 49 percent in the first quarter, stressing that there is nothing to be alarmed at.

Governor Fashola who spoke in an interview with Governor’s Office Correspondents at the Lagos House, Ikeja after a first quarter budget review meeting declared: “We would pick up from where we left off as we usually do and we expect to finish with much more commendable and salutary implementation of the budget”

Governor Fashola said: “If we measure this first quarter performance against the 67 percent in the first quarter of the same period last year, you would see that we are clearly behind, But understandably the budget approval and implementation did not start as quickly as we use to start and as a government we are starting late”.

“I assented to the budget on the 1st of March, which is the first day of the last month of the first quarter. What you are seeing is a result of barely one month work” .

The Governor said essentially where the lapses or the differentials between those performances would be found is in the area of capital expenditure, explaining that this was because the implementation started late this year.

He promised that in the next few weeks, government would be focusing more on capital work in the area of environment, drainage construction and drainage cleaning because the rains are approaching.

Governor Fashola noted that if one notes what is going on across the world in terms of environmental crises and disasters, very severe rainfalls should be expected this year.

“We should roll up our sleeves and increase and complete as many of our drainage and flood control programmes as best as possible. The citizens should stop the abuse of the drainage channels”, he added.

Recalling the damage done by the first rainfall in Rio De Janeiro on Wednesday which has a similar weather condition with Lagos and has experienced days of hot weather, Governor Fashola urged Lagos residents not to engage in actions that could have severe impact.

“I hope that would not happen here. We need to work at it. We are building the drains, we are cleaning them. People should just restrain from dumping refuse in the drains or construction of buildings in drain paths”, Governor Fashola warned.

He described the efforts to safeguard the environment as a partnership which while the Government is doing its part , it expects the citizens to also play their part.

He explained that the State Government has moved from reporting budget performance to measuring budget impact: “Saying what we are seeing in the first quarter of this year is that last year when we dedicated so much time and efforts to women, we are beginning to see the results showing increase in number of school enrolments and more attraction for public schools by the populace”

“We are also seeing increase attendance in public hospital for women and children. More women are coming for ante natal care. We are seeing our Maternal Child Care Centres coming through now. That is the work of last year maturing this year and the impact is that there are more safe deliveries, there are more safe caesarean sections, fewer children are dying now at childbirth and fewer women are dying at childbirth and that is the impact of the planning, the money, the contracts and the buildings that have gone on” .

We have seen water supply increasing and that should also translate to improve health care because wherever you have water, you have life. There is cleanliness”.

He said government is measuring the impact of the budget in terms of how many more people have water, how many have to travel less distances to get water or have to travel less distance to get to school or to the hospital, adding that this is beginning to show very positive signs.

Governor Fashola emphasized that in terms of the impact of the budget, it has been money well spent, with the economy looking up, more jobs being created, desperate conditions are being mitigated, crime rate coming down and no one could have asked for more at this time of global economic crises.

Later, while giving additional insights into the performance of the budget, Commissioner for Economic Planning and Budget, Mr Ben Akabueze in response to a question, said any performance indication cannot be attributed to the downward review of the Year 2010 Budget by the State’s House of Assembly because what has been approved is for a whole year and not for a quarter.

“Overall we had 49% performance, revenue performed at 82%, recurrent expenditure is 80%, capital expenditure performed at only 26% which is where we have the drag and that was because the budget was assented to on March 1st” ,the Commissioner said.

He explained that capital expenditure takes time to fix through the system as tender documents have to be prepared, contract payment and mobilization of contractors for the performance have to be meticulously followed.

Mr Akabueze said expectedly by the half year, the budget would have significantly cut off on the drag recorded in the first quarter as all the other lines did reasonably well.