The Acting President of Nigeria, Yemi Osinbajo has requested the approval of the of the National Assembly for the Federal Capital Territory Administration’s 2017 budget proposal of N222.2 billion.
Osinanjo made the request in a letter read on Tuesday by the Deputy President of the Senate, Ike Ekwremadu in line with Section 121 of the 1999 Constitution (as amended).
The letter read; “The FCTA runs two budgets namely national statutory budget. The FCT component of the national budget is funded directly by the federal government for the provision of infrastructural development, water supply, sewage treatment and infrastructural development of the satellite town of the FCT.
“The statutory budget on the other hand is funded from the internally generated revenue and other sources of funds accruable to the federal capital territory.
“It should be recalled that the sum of N30,397,127,872 was appropriated for FCTA in 2017 approved federal budget. The statutory budget is presented at the national assembly after the passage of the federal budget in order to help the FCTA capture essential capital projects and often removed from the federal budget.
“The FCTA has prepared the FCTA statutory budget of the sum of N222, 260,551,512 based on the 2017-2019 MTEF frame work done by the key assumptions of the federal government of the 2017 budget. The breakdown of the budget is as follows; Personnel cost- N52.5 billion which represent of the 23. 64%, overhead cost N41.2billion representing 18%, and capital expenditure N128.4 billion representing 67%.”
“In line with the federal government encases on capital projects, the FCT budget ratio on capital and expenditure 57.79% and 42.31 % respectively constituting the need to complete the ongoing projects. The estimated revenue in 2017 budget is to be accrued from the following sources; total revenue allocation and FCT share of 1% out of the federal government share of account allocation committee inclusive of VAT and internally generated revenue of which N139.9 billion is accrued on the major revenue from the agencies of the FCT.”
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