The Lagos House of Assembly Tuesday passed a resolution for reduction of the state’s 2020 budget from N1.68 trillion to N920.5 billion due to the economic challenges posed by the COVID-19 pandemic.
The resolution was made following a voice vote conducted by the Speaker of the House, Mudashiru Obasa, during plenary at the Assembly complex in Ikeja.
The Clerk of the House, Mr. Azeez Sanni, had read a letter by Governor Babajide Sanwo-Olu requesting the reduction in the size of the budget on the floor by the House.
The state government had announced plans to review the N1.168trillion 2020 budget due to the economic effects of the COVID-19 pandemic.
The state’s Commissioner for Economic Planning and Budget, Sam Egube, said the review of the budget became necessary following the slump in the price of crude oil in the international market as well as the reduction in Internally Generated Revenue (IGR).
At the plenary, Obasa directed the House Joint Committees on Budget and Economic Planning and Finance to reduce the budget size of the state for year 2020 from N1.68 trillion to N920.5 billion.
The speaker said the committees are expected to report back to the House within one week.
He said: “Based on the governor’s request, the House will work assiduously to review the budget to refocus, reorder and take into consideration the current challenges.
“We need to do this to give us the best chance of stimulating the economy and ensuring that the post-COVID-19 response economy will be strong and enduring.”
Join the conversation
INVESTIGATION: Inside UNILAG’s multi-million naira budgetary abuse and academic discord
The University of Lagos located in Nigeria’s commercial capital, Lagos, has been embroiled in controversies with allegations bothering on misappropriation of...
SPECIAL REPORT: Displaced residents of Zamfara battle hunger, as underfunding derails Nigeria’s nutrition goals
On paper, Muhammad Zayyanu is seven years old. The quiet boy who looks shorter for his age could not recollect...
INVESTIGATION: N7.3bn paid for unnamed projects; how Nigerian govt spent N2.2trn in six months
Analysing nearly 3,000 payments made by various Federal Government Ministries, Departments and Agencies (MDAs) over the previous six months (January...
INVESTIGATION… Delay rocks Nigerian govt’s promise of N30,000 covid-19 relief for artisans, others
Before the outbreak of the COVID-19 pandemic in February, 2020, Chukwudi Okoroigwe’s daily earnings as a bus driver was hardly enough to cater to the...
INVESTIGATION… Ten years after, communities count losses as AfDB, Cross River govt abandon road project
Ten years after the Cross River State government and African Development Bank (AFDB) jointly awarded the Yahe-Wanokom-Wanikade-Benue border road for...