Gov. Ishaku Took 12bn Loan, Gets 3bn Grants in 2021 Alone

·       Plans to Borrow N17.5bn in 2022

Taraba State governor Arch Darius Dickson Ishaku has said that his administration accessed over N12 billion loans this year.

The governor also said his government plans to take additional 17.5 billion loan next year 2022.

Disclosing these on the floor of the Taraba State House of Assembly while presenting a budget estimate of N146,781,653,671.82 billion for year 2022, Governor Ishaku added the state government also received about Three Billion in aids and grants in 2021.

The 2022 appropriation bill christened, Budget of Hope and Consolidation was higher than the approved budget of 2021 with over N5 billion.

According to the Governor, 69.50% of the total money received by his government in 2021 went for Recurrent Expenditure and 30.50% went for Capital Expenditure.

He said that the budget which represents 3.64% increase over the previous budget has a total recurrent expenditure estimate of N78.7bn and Capital expenditure estimate of N68.7bn.

Ishaku noted that the implementation of the current budget which stand at 34.55% as at the end of third Quarter as against the projected 75%, due to the impact of COVID-19 and insecurity in the region.

He said in implementing the 2022 budget, the government had resolved to fast track the completion of all on-going capital projects that were close to the heart of his administration.

"The resolution is sacrosanct so that we will not bequeath any project for the succeeding administration. Therefore the implementation of the 2022 Budget will be guided by the following: Even though revenue generation/collection has remained our major fiscal problem, all ministries, departments and agencies (MDAs) must ensure that they vigorously collect, account for and remit their internally-generated revenue.

"All ministries, departments and agencies (MDAs) must grow their revenue and plug all linkages. In achieving the objectives of this year budget, my administration will be bold, decisive and take urgent actions. So we will act as may be required.

"All ministries, departments and agencies (MDAs) must, however, continue to rationalise their expenditures as we cannot afford waste. In reality our largest expenditure items are personnel cost and capital expenditure which account for over 70% of the 2022 Budget," he said.

He added: "In ensuring that all on-going capital projects are completed, my administration will likely resort to borrowing to finance our fiscal gaps as encapsulated in the 2022 Budget in line with Section 41 (1)a of the Fiscal Responsibility Act 2007 specified that borrowings are essentially for Capital Expenditure and Human Development."

Speaker of the House Professor Joseph Albasu Kunini in his remarks said that the members are fully conscious of the need for expedient processing and passage of the Bill into law and would work tirelessly to sustain the January to December budget circle that has been put in place by current administration.

"Over the course of the last six years, the implementation of the series of Appropriation Laws in the state has greatly put smiles on the faces of a good number of the people of Taraba state. In the same vein, I am happy to also report that because of the dogged commitment of Your Excellency to maintain a cordial, symbiotic and harmonious working relationship with all branches of government in the state, particularly the Legislature, the budget circle which hitherto commenced in March or sometimes April is now brought back to January – December of every fiscal year. This is highly commendable as it is in line with international best practices.

"As the 2022 Appropriation Bill is presented today and laid before this August Assembly, this Honorable House is very mindful of imperative and sensitive nature of the timely processing and passage into law of this important Bill. In view of this, therefore, I wish to humbly assure Your Excellency that we shall not let you or the people of the state down. What this Honorable House demands is the cooperation and understanding of all and sundry who have one role or the other to play in the processing of this Bill".