The Akwa Ibom State House of Assembly passed the amended 2020 budget from initial N597.7 billion to N366 billion to meet with the economic challenges arising from COVID-19 pandemic
The amendment was a sequel to a letter sent by Governor Udom Emmanuel to the Assembly during its emergency plenary.
Briefing newsmen after the plenary on Thursday, the Chairman, House Committee on Appropriation and Finance, Mr Uduak Ududoh said the recurrent expenditure as approved for 2020 budget, which stood at N111.22 billion had been reviewed downward to N98.22 billion.
Mr Ududoh said,”the capital expenditure which stood at N369.10 billion has also been reduced to 186.94 billion, while the consolidated revenue charges now stood at N80.83 billion as against N116.93 billion.”
The total budget
According to him, the total budget approved in 2020 which was N597.7 billion has now been reduced to N366 billion for the 2020 fiscal year, representing 38.8 per cent reduction.
The Speaker, Mr Aniekan Bassey, who presided over the plenary, said that the step taken by the governor to review the 2020 budget downward was very timely to brace up with the economic recession experienced all over the world.
Commendation
He commended the governor for setting up relevant committees to fight the pandemic in the state.
The bill had earlier passed through the first, second, and third reading and was passed after due consideration at the Committee of Supply, chaired by the Speaker.
Crude oil price
The House Leader, Mr Udo Kierian, in his contribution, said that the fall of the crude oil price in the international market had a negative effect on the 2020 budget, hence the reason for the review.
He added that the speedy attention given by the Assembly to review the budget was to enable financial machinery for the state to operate from and also for the awareness of the people on the present reality.
The state executive council had on April 28, took a decision to review the 2020 budget in view of the COVID-19 pandemic that has affected all facets of life.
Meanwhile, the House has adjourned plenary to reconvene on May 7.
Source: VON
