GOV AYODELE FAYOSE PRESENT 2017 BUDGET TO EKITI STATE HOUSE OF ASSEMBLY

Distinguished Ladies and Gentlemen.
To the glory of the Almighty God and by the collective will of Ekiti

people, I am here again to present the 2017 Annual Budget to this

Honourable House and the entire citizenry. I am grateful to God and

the entire Ekiti People for the privilege to be in the saddle of

governance at this particular time in the history of our dear State.

2. Our stay in the saddle had not been without challenges. I need not

bore you with the litany of troubles we have faced in the last two

years all with the aim to make us fail, but which, with the help of

God and the support of our people, we combated; we conquered and by

His Grace we are still standing. We can boldly say that God is on our

side, and by Him, we shall continue to triumph gloriously to serve

Ekiti People.
3. I cannot but register my sincere appreciation to Mr. Speaker and

this Honourable House for your unflinching support since you came on

board. As I have had course to remark at various fora, my Government

had received and enjoyed absolute co-operation from this House. I am

proud of your sense of unity and commitment to our vision and mission

to transform Ekiti State to the Land of our dreams. You have

demonstrated consistently that we are one family. On behalf of Ekiti

people, permit me to express my gratitude for the peace you had

allowed this government to enjoy from your honourable selves.

4. Mr. Speaker sir, you are aware that this will be the third budget

to be prepared and executed by this Government. Since inception, we

have used the Annual Budget as the vehicle to translate our Six

Cardinal Programmes to Government Policy. It is common knowledge that

the Annual Budget is not only a constitutional responsibility, but

also an effective and efficient tool for the formulation,

implementation and execution of government’s plans and programmes. It

is a veritable means by which resources available to Government within

a fiscal year are estimated and allocated to socially and economically

productive sectors.
5. Today’s presentation is the culmination of a process that commenced

more than three months ago with the preparation of the 2017-2019

Medium Term Expenditure Framework (MTEF). It is worthy to note that

the House was involved in virtually every segment of the Budget

Process. This accounts for the swift passage of the MTEF document at

this House. In accordance with the extant laws, the 2017 Budget will

be a derivation of the MTEF already adopted by your honourable selves.

You will also recall the series of Executive/ Legislative parleys we

held on the proposed budget. In essence, the budget to be presented

today is a product of collaboration between this Honourable House and

the Executive.
6. I want to use this opportunity to appreciate and commend all of you

for your team spirit and support for this Administration. Our efforts

in Accountable and Transparent Governance have started to yield

fruits. In the 2015 fiscal year, as you will recall, the Civil

Resource Development Documentation Centre (CIRDDOC) rated Ekiti State

as the foremost in Nigeria in terms of transparency in budgeting.

Ekiti State was followed by Cross Rivers, Lagos and Jigawa States.

The Nigerian States Budget Transparency Survey was conducted by an

independent Organization and the result was announced at the launching

of the National Budget Transparency Survey in Abuja. The CIRDDOC

survey was done in collaboration with 36 fiscal governance-focused

Civil Society Organizations (CSOs) in Nigeria with the support from

the British Department for International Development (DFID). This

feat is in recognition of the fact that, responsible and responsive

governance are key to any developmental programmes.

7. This explains our regular interface with Ekiti people through

interactive sessions and the establishment of open channels for

regular feedback. I have exemplified our trust in the people as the

best judges of our performance by keeping them abreast of Government’s

activities. In fact, the input of the people to this Budget could not

be quantified. Prior to the preparation exercise, we held a meeting

with representatives of every community in the State to air their

views on their expectations from the 2017 Budget. I also went round

our communities as well as communed with artisans, market women and

other interest groups all in an effort to capture the collective

aspirations of the people. As a result, the 2017 Budget being

presented today is the outcome of consultations across the broad

spectrum of Ekiti. It is indeed the Budget of the people by the

people and for the people.
8. Before presenting the 2017 Budget, it is essential that I review

our performance this outgoing year. It will be recalled that the 2016

Budget size was N67,044,395,547.91 to be met from the sources

outlined in the table below:
TABLE SHOWING 2016 REVENUE PROJECTION
S/N DETAILS APPROVED
BUDGET 2016 %
DISTRIBUTION
i. Federal Allocation 26,456,276,585.94 39%
ii. Internally Generated Revenue
(including Parastatals) 9,865,566,893.32 15%
iii. VAT 5,850,000,000.00 9%
Iv Draw-Down-External (Grants/Loans) 6,430,911,152.85 10%

v. MDG Conditional Grant Schemes 600,000,000.00 1%
Vi Loan. Internal Loan/Bond 10,000,000.000 15%
Vii Reimbursement from Federal Government on Road Projects 1,000,000.000 1%

viii. Ecological Fund 1,400,000.000 2%
Ix Excess Crude Oil Proceeds + Budget Differential 600,000,000 1%

X Sundry Income: Faac Augmentation, Refund from NNPC & Proceeds from

Sales of Fertilizer 2,341,640,915,80 3%
xi. Others: Sundry Incomes (SURE-P) 0%
Xii Others: Transfer from Prior Fiscal Year. 2,500,000,000.00 4%

TOTAL 67,044,395,547.91 100%
9. In the course of the year, the Budget was revised to a total sum of

N70,553,162,684.61 in response to the realities of the moment. As at

the end of October 2016, the performance of the Budget stood at 89% as

indicated below.
TABLE ii: REVIEW OF 2016 REVENUE PERFORMANCE
S/N
REVENUE SOURCES
REVISED ESTIMATES 2016
PROPORTIONAL ESTIMATES JAN.-Oct. 2016
ACTUAL REVENUE JAN.-Oct. 2016
% PERFOR.
1. Federal Allocation 23,810,648,927.35 19,842,207,439.46 15,900,159,726.46 80%

2. IGR (MDAs) 5,465,470,184.33 4,554,558,486.94 3,131,801,145.66 69%

3. IGR (Tertiary
Institutions) 3,277,202,000.00 2,731,001,666.67 2,779,737,191.30 102%

4. VAT 8,000,000,000.00 6,666,666,666.67 6,222,049,303.15 93%

5. Draw-Down: External
(Grants/Loans) 6,430,911,152.85 5,359,092,627.38 489,797,918.83 9%

6. MDGs-Conditional Grants Schemes (State and
LGAs 1,200,000,000.00 1,000,000,000.00 926,205,480.80 93%

7. Loan-Internal Loan
Bond 11,050,000,000.00 9,208,333,333.33 10,600,000,000.00 115%

8. Grants from Federal Government (Reimbursement on Federal Road

Projects handled by the State 2,000,000,000.00 1,666,666,666.67 - 0%

9. Ecological Fund 1,400,000,000.00 1,166,666,666.67 0%

10. Excess Crude Oil Proceeds + Budget Differential - - 1,084,176,856.61 0%

11. Sundry Income: [FAAC Argumentation, Refund from

NNPC/NGC] 1,000,000,000.00 833,333,333.33 5,427,153,441.80 651%

12. Other: Sundry Incomes - -
2,105,544,331.41 0%
13. Other: Transfer from Prior Fiscal
Year 6,918,930,420.08 5,765,775,350,.07 6,918,930,420.08 120%

14. Total 70,553,162,684.61 58,794,302,237.19 52,452,545,836.25 89%

10. Ladies and Gentlemen, the performance of the 2016 Budget is a

reflection of the State of Nigerian Economy. It must be noted that

Ekiti State is not immune to the shocks and depressions of the

National socio-economic scene. It is no longer news that the economy

of the nation is in trauma and this had impacted negatively on the

finances of the state. We all know that the dwindling revenue from

the Federation Account coupled with the fiscal entrapments of the

Federal Government disguised as bail outs, had adversely affected the

state. Unfortunately, our Internally Generated Revenue (IGR) base

continued to be a challenge. But in the course of the year, we have

introduced certain measures aimed at improving the IGR. Very soon,

they shall begin to yield the desired fruit.
HIGHLIGHTS OF 2016 BUDGET ACHIEVEMENTS
11. Be that as it may, the success of the present Administration in

the State cannot be glossed over, as we have been able to record

remarkable achievements in connection with its six cardinal programmes

which is our covenant with the good people of Ekiti. The progress

achieved throughout the year 2016 will sustainably have a real impact

on the lives of millions of Ekiti people. You are all witnesses to our

performance so far in road construction across the length and breadth

of the state. Some public buildings have been constructed prominent

among which is the Adunni Olayinka Women Development Centre in memory

of our late Deputy Governor. We have commenced the Construction of a

New Governor’s Office and High Court Complex. We have also recorded

modest achievements in Agriculture, Education and other sectors. We

initiated summits in Agriculture and Education to chart the way

forward. Many of the abandoned courses in our tertiary institutions

are now accredited through our efforts. Virtually all our secondary

and primary schools are now well staffed through our SEPIP programme

which provides incentives to teachers in hard-to staff schools. Under

our Stomach Infrastructure policy, we have commenced the monthly

payment of a sum of N5, 000.00 per person to 10,000 poor and

vulnerable citizens across the sixteen LGAs in the state.

12. I must state that our efforts have started to yield fruits.

Recently, Ekiti State came first among the 36 States of the Federation

in 2016 NECO/SSCE Examinations and 11th in WAEC/SSCE. This is a giant

leap from our previous positions at the bottom of the ladder. Since

2014, peace had returned to Ekiti as there has not been a single

political killing. The waves of armed robbery attacks and kidnappings

had been successfully put in check. The activities of Fulani herdsmen

killers have been curtailed by our latest legislation on the matter,

the first and only one of its kind in Nigeria. Gradually, as God

helps us, we are restoring the fortunes of the State in our bid to

actualize the dreams of our founding fathers. With God on our side,

we will not rest on our oars, but will continue to strive hard to

leave the state better than we met it.
13. I cannot but highlight our achievements in the State in the last

one year under the Six Cardinal Programmes of my Administration:

INFRASTRUCTURAL DEVELOPMENT
14. As you are all aware, Economic growth and development in any

economy are functions of conducive and enabling socio-political

environment where standard of living and welfare of the people are

given the deserved attention. This Government within the last one

fiscal year 2016, against all odds, has recorded outstanding

achievements in the following areas:
i. Completion of phase II Ikere-Ekiti Township Road Dualization which

has been commissioned for public use;
ii. Awedele Road, Ado-Ekiti, dualization has been completed and commissioned;

iii. Renovation of Fayose Market at Ado-Ekiti;
iv. Completion of Adunni Olayinka Women Development Centre, Ado-Ekiti;

v. Construction of overhead bridge at Ado-Ekiti is on-going;

vi. Construction of new modern King’s Market (Oja Oba) in Ado-Ekiti is on-going;

vii. Dualization of Efon Township Road is on-going;

viii. Dualization of Omuo Township Road is on-going;

ix. Dualization of Ikole Township Road is on-going;

x. Dualization of Emure Township Road is on-going;
xi. Dualization of Ise Township Road is on-going;
xii. Patching of Iropora-Ara Road;
xiii. Patching of Epe-Ijero Road;
xiv. Patching of Awo-Ijero Road;
xv. Construction of New Governor’s Office within the Government House

premises is on-going;
xvi. Construction of New High Court Complex is on-going;

xvii. Ilupeju-Ire Road is on-going;
xviii. Iluomoba-Igbemo is on-going;
xix. Dualization of Mugbagba-Odo Ado Road is on-going;

xx. Rehabilitation of Government House internal Road is on-going; and

xxi. Rehabilitation of Government House Chalets.
15. This Administration has intensified efforts towards

rehabilitating all the existing Dams in the State, and to replace old

and damaged water pipes to ensure improved and stable supply of

hygienic water to all communities in the State. All hands are on desk

toward sustainable electricity supply across the State. To achieve

this, Government has been supporting the Management of Benin

Electricity Distribution Company (BEDC).
EDUCATION, SCIENCE AND TECHNOLOGY:
16. This Administration has invested considerably in the development

and improvement of the Education sector in order to revive,

resuscitate and regain our lost glory in the Education sector. In this

direction, the State government under my watch has recorded the

following successes in the sector.
i. Ekiti State came first in NECO Examination in the 2016 fiscal year;

ii. Education summit had been successfully held to design road map for

advancement of education sector in the state;
iii. The State Government has maintained a very good partnership

relationship with the World Bank on funding the State Education

Programme Investment Project (SEPIP);
iv. Successful celebration of Teachers’ Day where tangible prizes

including cars were distributed to the Best Teachers in the Public

Service of Ekiti to further boost their morale, motivate and encourage

them to effectively and efficiently discharged their duties; and

v. Renovation of all dilapidated laboratories buildings in Public Schools.

DEVELOPMENT OF AGRICULTURE:
17. We are determined to ensure that our economic strength and

comparative advantage in Agricultural sector are tapped for greater

utilization. As we are all aware, outside the Federal Allocation,

Agriculture is the second largest source of income to the State.

Hence, this Administration has directed its policy thrust toward

provision of enabling environment capable of repositioning the sector

for optimal productivity which in turn will provide food security for

the good people of our dear State by making food available on their

table sustainably.
The following achievements have been recorded in the sector within

2016 fiscal year:
i. Conduct of Agricultural Summit to chart a course for the

development of the sector
ii. Government during the period under consideration purchased clip

seals for grading of farm produce;
iii. The Ministry of Agriculture is currently raising 500,000 hybrid

cocoa seedlings for transplanting in the New Year in order to increase

cocoa production in the State.
iv. Establishment of Five (5) Hectares parenter Cocoa Garden; and

v. Purchase of 10 veterinary surgical equipment and furniture for

ultra-modern veterinary clinic.
HEALTH CARE SERVICES:
18. As the saying goes, Health is wealth. This is the major reason why

universal Health Care Delivery through effective and efficient

functioning Health Care facilities across the State at all levels has

been of great concern to this Administration. The following successes

have been recorded in the last one year:
i. Provision of free “Oju Ayo” glasses for the people with eyes

challenges across the State;
ii. In the last one year, this Administration has provided free

medical services for children under five years and pregnant women;

iii. Maternal Healthcare, disease control and effective private

health practitioner regulation have been greatly improved under this

Administration in the last one year;
(iv) This Administration has expended about N10,000,000.00 (Ten

Million Naira) on control of other communicable diseases such as Ebola

in the period under review.
EMPOWERMENT:
19. I have a simple message! We are strong and creative enough to

manage and overcome our economic challenges. All of us want jobs,

thriving businesses, engaged professionals, narrowing inequality and

eliminating poverty in the State. This is why this Administration is

positioned to empower every Ekiti people to prosper in their chosen

careers. Under our Empowerment programs, the State Government has

achieved the followings:
i. Distribution of food stuff and other materials to the vulnerable

groups under Stomach Infrastructure Scheme;
ii. Payment of N20,000 each to 500 Tailors in the 16 Local Government Areas;

iii. Payment of N50,000 each to 200 Artisans in the 16 Local Government Areas;

iv. Payment of N5,000 each to 5000 beneficiaries across the 16 Local

Government Areas; and
v. Payment of N5,000 each to Physically Challenged on a Monthly basis.

THE 2017 BUDGET
20. My good people of Ekiti State, the 2017 Budget will be a landmark

for me. As my tenure terminates in October 2018, next year is the

last full year that I have to consolidate on the achievements of the

past two years. My focus therefore in the 2017 Budget is to complete

all ongoing projects, as it is not my desire to leave uncompleted

projects for my would-be successor. However, some deserving new

projects have been accommodated in the proposals.
OBJECTIVES OF THE 2017 BUDGET:
21. Based on the foregoing, the policy thrusts of the 2017 Budget

include but not limited to the following:
i. Completion of all critical on-going capital projects that are

central to the Six (6) Cardinal Programmes of the Government;

ii. To improve on the level of Internally Generated Revenue and

monitor same for the purpose of blocking all leakages of Government

revenue;
iii. A proper monitoring of income and expenditure of Government for

transparency;
iv. To curtail extra-budgetary spending;
v. Improvement in the quality of Education;
vi. To provide qualitative health services;
vii. Sustenance of good governance through Budget discipline, probity

and accountability in the utilization of Public funds;

viii. Improving on the socio-economic policy environment which is the

bench mark of the Government Six (6) Cardinal Programmes;

ix. To guarantee sustainable Agricultural Production with a view to

ensuring food security, alleviating poverty, providing employment and

to encourage Private Sector participation in Food Production; and

x. To Motivate the Public Service for effective and efficient service delivery.

22. The size of the 2017 Budget is N93,456,399,143.40 to be derived

from the following sources:
(i). Federal Allocation - N31,000,000,000.00
(ii). Internally Generated Revenue (MDAs) - 7,000,000,000.00

(iii). IGR (Tertiary Institutions) - 3,928,010,058.12

(iv). VAT - 10,000,000,000.00
(v). IDA (Education Intervention Fund) - 3,381,400.000.00

(vi). Draw-Down: External (Grants/Loans) - 8,391,989,085.28

(vii). MDGs Conditional Grants Schemes
(State and LGAs) - 1,200,000,000.00
(viii). Internal Loan - 4,000,000,000.00
(ix). Grants from Federal Government
(Reimbursement on Federal Road Projects
Handled by the State) - 3,500,000,000.00
(x). Ecological Fund - 1,000.000.000.00
(xi). Excess Crude Oil Proceeds + Budget
Differential - 1,500,000,000.00
(xii). Sundry Incomes: (FAAC Augmentation,
Refund from NNPC - 5,555,000,000.00
(xiii). Others: Sundry Incomes - 1,000,000,000.00
(xiv). Paris Club (Refund of Differentials) - 6,000,000,000.00

(xv). Others: Transfer from Prior Fiscal Year - 6,000.000.000.00

TOTAL 93,456,399,143.40
23. The budget size is about 33% above the 2016 revised figure of

N70.5 billion. Let me state here that it is not our intention to

bloat the budget figure beyond what our revenue can handle. In

arriving at this figure, we took into consideration various

Parameters, Assumptions and Indications. Issues like the Exchange

rate, inflation figure, Crude oil price, Oil Production and Inflation,

among others dictate that the budget should be far above our

projections. But in our characteristic manner, we chose to be

conservative believing that it is better to budget within achievable

limits rather than overload the budget document with unrealistic

figures.
EXPENDITURE
24. As usual, the Budget consists of Recurrent and Capital heads. On

the Recurrent side, a sum of N55,028,891,248.80 representing 59% of

the total budget will be expended for the day to day running of

Government as follows:
(i) Personnel Cost - N16,566,429,583.84
(ii) Other Charges - 2,587,000,158.79
(iii) Recurrent Grants to Tertiary
Institutions - 8,965,659,199,02
(iv) Transfer to other Funds - 9,224,366,722.28
(v) Consolidated Revenue Fund
Charges - 17,685,405,534,97
TOTAL - N55,028,891,248.80
25. The Recurrent Expenditure is just about 2% above current year’s

projections. This is a reflection of our resolve to cut costs in

order to free more funds for capital development. Nevertheless,

enough provisions have been made for salaries and allowances of Public

Servants, their promotion and necessary but minimal recruitment. Our

tertiary institutions shall continue to enjoy Government support

within the limits of our resources. Finally, we have made allowance

for Pensions and Gratuities while a large chunk of the Consolidated

Revenue Fund Charges goes into Debt servicing.
CAPITAL EXPENDITURE
26. Mr. Speaker sir, in our bid to ensure rapid development and

transformation of our dear State, a sum of N38,427,507,894.60 is

earmarked for Capital Projects. This is 41% of the total Budget. The

breakdown to the key sectors is as follows:
S/N CAPITAL
ESPENDITURE 2016
REVISED
ESTIMATES 2017
Proposed
Estimates %
DISTRIBUTION
1. Economic Sector 13,596,530,880.00 17,983,234,093.33 19%

2. Social Sector 857,981,183.09 7,348,077,885.78 8%

3. Environmental 745,557,656.99 1,585,000,000.00 2%

4. Administrative Sector 4,075,263,220.73 11,511,195,915.49 12%

5. TOF Capital 3,077,728,946.00 - -
6. TOTAL CAPITAL EXPENDITURE 22,353,061,886.81 38,427,505,894.60 41%

It will be noted that the projects to be executed cut across every

sector of our Six Cardinal Programmer. A large percentage however is

allocated to infrastructure in our bid to ensure transformation of our

Landscape with good roads, Modern Public Buildings, Potable Water and

such like. Our Social Security Scheme will receive additional boost

with provision for widows and women empowerment. The ongoing works on

the Ado Ekiti Flyover bridge, Oja Oba Modern Market, Ikere Road

Dualization, Construction of Governor’s Office and High Court Complex

among others shall continue. We shall also dualize more roads in some

Local Government Headquarters. We hope to complete some ongoing rural

electrification projects and start new ones in Ile Ona, Iwaji, Igeede,

Ilokun and Aba Igbira Waste Plant among others. We intend to boost our

capacity in Agriculture by supporting our farmers in Cocoa and Rice

production.
27. These and many more form the thrust of the Capital Budget. The

Honourable Commissioner for Budget and Economic Planning will provide

the detailed Analysis at a later date. Suffice to say that this is a

budget encapsulating our collective desire for growth and development.

This shall be our pursuit in the New Year as we strive to consolidate

on what we have done so far. It is designed to take Ekiti to a higher

pedestal. Our overall goal is that Ekiti will be second to none in the

provision of social amenities, infrastructural development, Education

and Security of Lives and Property. The 2017 Budget is consequently

named our BUDGET OF CONSOLIDATION AND HIGHER HEIGHTS.

28. Distinguished Ladies and Gentlemen, together, we need to uplift

our dear State by discharging our corporate and individual

responsibilities, we all have obligations which we must be ready to

meet, and by the grace of God, we shall take Ekiti to greater heights.

I therefore, implore all and sundry to support my Government by

fulfilling your civic responsibilities to the State by regularly

paying your taxes and fees in order to have resources to meet our

collective aspirations.
29. Mr. Speaker, I have just presented to this Honourable House and

the good people of our dear state our goals and aspirations for the

next twelve months. To me, it represents a landmark as it is a Budget

aimed at consolidating our achievement so far in the last two years.

It is our hope that in the next one year, we would have put in place

what can be referred to as our legacy as we prepare for the 2018

election. As I conclude, I enjoin all and sundry to join hands with

us to move this state forward. We have only one state. We are one

people and our destiny is tied to this state. Let us all work together

to make Ekiti a better State than we met it.
30. Finally, I wish the Honourable House Fruitful Deliberation as they

consider the Budget Proposals for appropriation. I also wish you all a

Merry Christmas and Happy New Year in advance.
31. Thank you and God bless.