Delta State All Progressives Congres
Failure to address dwindling IGR ‘ll make mincemeat of budget proposal
By Fejiro Oghojafor
Allocating a whopping 65% of the N935 billion to capital projects in the 2025 budget by the Delta State government has been described as an avenue to perpetrate corruption in the Governor Obevwori-led administration.
Giving analysis of the budget which is already before the State House of Assembly, the Delta State APC Publicity Secretary, Val Onojeghuo Esq, noted that allocating the whopping sum of 65% on Capital Projects from expected Federal Allocation, could only be interpreted as a way of preparing the State to go into borrowing more loans to fund such elephant projects.
The APC pub scribe further explained that a better option for the government would have been to seriously address and raise internally-generated revenue machinery to provide the needed fund for capital projects, adding that without a remarkable increase in IGR, the government will, not only go into more borrowing, but commit such humongous funds to capital expenditures that have no relevance and impact to the welfare of Deltans.
“The All Progressives Congress APC Delta State, has condemned the decision of the Delta State government to allocate a significant percentage of the 935 billion of its 2025 budget representing 65% to capital expenditures.
“While infrastructural development is critical to the over all development of the State, the focus on capital projects is deeply troubling given the overwhelming reliance on federal government allocations to fund the budget a situation that will provide an enabling environment for an endemic corrupt practices in government circles, particularly in the light of recent allegations of corruption against the former State governor Dr. Ifeanyi Okowa.
“As a political Party, our primary concern is that the Delta State government has not adequately addressed the key issue of dwindling Internally Generated Revenue (IGR) which is a pointer to the fact that the 2025 budget is more of the same empty promises, for without a strong, sustainable increase in IGR, there is every likelihood that the state government will be unable to fund its capital expenditure plans.
“This will potentially lead to debt accumulation for which the State is notorious and unfulfilled execution of projects across the State.
“The State government should have prioritized improving revenue collection and diversifying sources of income to ensure the financial health of the State in order to effectively execute its human capital development plans” Onojeghuo explained.
Taking a further critical look at the 2025 Appropriation Bill, the APC stalwart noted that rather than concentrating heavily on capital projects, the government should focus on the social sector of the economy and address critical issues of education, health, employment and job creation and micro, small and medium enterprises (MSME), to impact the lives of the people positively.
“Furthermore, focusing heavily on capital expenditure has invariably led the State government to overlook other critical areas such as education, health, and social services, which directly impact the lives of ordinary Deltans.
“The Delta APC has observed with chagrin, that by the detrimental underfunding of education and healthcare, the budget has neglected major key sectors that are vital for economic growth of the State. Without adequate investments in these sectors, the state risks stagnation, as these areas are essential for attracting investment and improving the quality of life for residents of the State.
“A more balanced approach to budgeting, with a stronger emphasis on both revenue growth and human capital development would have been the best approach.
“The failure of the budget to adequately address how the State government plans to increase its internal revenue generation strategies which is essential for an independently financed infrastructural development drive is one of the glaring shortcomings of the budget with serious implications for good governance and prudent economic management of the resources of the State”, he further emphasized.
According to him, “These blatant lacunas in the Delta State government’s 2025 budget has compelled our great Party to aligned itself with the positions well- meaning Deltans who have expressed various criticisms of the significant vagueness and failure of the budget to effectively address critical aspects of the economy of the State and the consequential lack of clear, measurable objectives that can be easily evaluated.
“Unfortunately, the Delta State budget only presents broad categories without detailing how funds will be spent or what impact they are expected to have on the economy. This opacity raises concerns about accountability and the proper management of resources of the State”, Onojeghuo stated.
The party pub scribe also observed that the failure of the Gov. Oborevwori-led administration to focus on job creation initiatives and support for local industry, is likely to heighten the economic challenges of the state, adding that it thus means that the 2025 budget is not a reflection of the priorities and expectations of the people of Delta State.
“The absence and the failure of the Hon. Sheriff Oborevwori administration to strike a balance by targeted funding for job creation initiatives and support for local businesses further exacerbates the economic challenges of the state.
“This disconnect in the 2025 budget means that the budget does not reflect the priorities of the people of Delta State, resulting in missed opportunities for economic development.
“Delta APC is therefore convinced that the Delta State 2025 Budget’s shortcomings in specifics and objectives regarding internally generated revenue undermine its potential to drive economic growth having failed to incorporate detailed plans for enhancing IGR, diversify revenue sources, and implement robust monitoring frameworks.
“The Hon. Sheriff Oborevwori administration must as a matter of urgency, address these issues which are vital for ensuring the fiscal sustainability and economic viability of the State state in the light of prevailing economic realities in the country”, he noted.
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