The Lagos State Internal Revenue Service (LIRS) is to generate N500 billion towards the implementation of the 2020 budget.
The state Commissioner for Economic Planning and Budget, Sam Egube, said this while giving a ‘Detailed Analysis of Year 2020 Budget’ on Tuesday.
Egube said that the budget of N1.16 trillion would be funded from a total revenue estimate of N1.07 trillion.
”A significant percentage of the projected Total Internally Generated Revenue (TIGR) of N500 billion is expected to be contributed by LIRS.
”We shall achieve this by expanding the tax net through the deployment of technology, amongst other initiatives, which include massive investments in technology and other facilities to improve the efficiency in operations of all revenue generating agencies.
”We believe that there are huge revenue generating opportunities in the informal sector, including real estates, transportation, markets, for which Lagos State is known for,” NAN quoted the commissioner as saying.
Egube said that the 2020 budget of N1.16 trillion was made up of N711.03 billion for Capital Expenditure and N457.52 billion for Recurrent Expenditure, giving a 61:39 Capital to Recurrent expenditure.
Under recurrent expenditure, the Total Personnel Costs would account for N167.90 billion; the Total Overhead Costs N249.93 billion, while the Debt Charges would be N39.69 billion.
”The recurrent expenditure is moderated at a level of 39 per cent of the Total Expenditure, out of which the personnel cost is N167 billion, representing 14.4 per cent of the Total Expenditure, which is well within the fiscal sustainability ratio of 25 per cent.
”This budgetary provision for personnel cost takes into consideration, the new minimum wage.
”Capital expenditure accounts for 61 per cent of the total budget size. This is a demonstration of the administration’s commitment to massive infrastructure renewal and development toward actualising a ‘Greater Lagos’.
In the 2020 budget, the Education sector has the highest allocation of N136.10 billion, which is N70.40 billion higher than year 2019 provision of N65.69 billion.
Roads and Other Infrastructure got a budgetary provision of N117.24 billion and Health sector with N111.77 billion.
Science and Technology N10.62 billion, Environment N66.58 billion, Tourism N7.48 billion, Sports Development N7.74 billion, Housing and Community Amenities N48.55 billion, Agriculture and Food Security N4.84 billion.
Commerce and Industry got N3.92 billion, Wealth Creation and Employment N8.40 billion, Women Affairs N2.92 billion, Youth and Social Development N3.71 billion and Security and Governance N39.26 billion.
The budget was on Nov. 8, 2019, presented to the Lagos State House of Assembly by Gov. Babajide Sanwo-Olu, passed on Dec. 30, 2019 by the House of Assembly and signed into law by Sanwo-Olu on Dec. 31, 2019.
