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Plateau State’s Budget Performance Report Quater 1 : Where the Money Really Goes!

The Plateau State government has released its 1st quarter budget performance report on its official website https://www.plateaustate.gov.ng/

The Plateau State Government’s Budget Performance Report for the first quarter of 2024 provides an overview of the state’s financial activities. Here’s a simplified explanation of what comes in (revenue), what goes out (expenditure), and where the funds are allocated.

Revenue (What Comes In)

  1. Federal Government Allocations (FAAC): This is the main source of revenue, contributing N27.68 billion, which is 18.3% of the budgeted amount.
  2. Internally Generated Revenue (IGR): These are funds raised within the state, totaling N5.11 billion, or 13.1% of the budgeted amount.
  3. Aids and Grants: Contributions from donor agencies amounting to N1.91 billion, representing 7.3% of the budgeted aid.
  4. Total Revenue: The total revenue collected in Q1 was N35.02 billion, representing 11.1% of the annual budget.

Expenditure (What Goes Out)

  1. Personnel Costs: Payments for salaries and wages amounted to N8.66 billion, 16.6% of the budgeted personnel expenditure.
  2. Overhead Costs: Operational costs (excluding personnel costs) were N16.04 billion, which is 24.9% of the budgeted overhead costs.
  3. Capital Expenditure: Funds spent on infrastructure and development projects totaled N8.25 billion, representing 5.4% of the budgeted capital expenditure.
  4. Total Expenditure: The total expenditure for Q1 was N32.95 billion, representing 10.5% of the annual budget.

Summary of Fund Allocation

  • Recurrent Expenditure: This includes personnel and overhead costs. The personnel costs are essential for running government offices, while overheads cover other operational expenses.
  • Capital Expenditure: These funds are allocated to long-term investments like roads, schools, and hospitals, which are critical for the state’s development.

Key Points To Note

  • The state collected N35.02 billion in revenue, while its total expenditure was N32.95 billion.
  • Most of the revenue came from federal allocations and internally generated funds.
  • Expenditures were primarily on personnel and overhead costs, with a significant portion also going to capital projects.

In Q1 of 2024, Plateau State managed to collect significant revenue and utilized it primarily for recurrent expenses and some capital projects. The performance metrics indicate areas where revenue generation and spending are on track and areas needing improvement.

Unresolved Issues

A glaring problem noted in the budget Report is the zero expenditure recorded by several ministries and agencies despite significant allocations. The Ministry of Justice and Ministry of Women Affairs, among others, have not spent any of their allocated funds, raising questions about the reasons behind this inactivity .

Additionally, the report points to other issues such as incomplete data on project progress, lack of clarity on fund utilization, and potential bureaucratic delays. These factors contribute to the inefficiency and slow pace of development, affecting the overall quality of life for Plateau State citizens.

In Conclusion

The Plateau State 2024 Budget Performance Report for Q1 presents a mixed picture of financial management. While substantial funds have been allocated to key sectors, the lack of expenditure raises serious concerns about the effectiveness of budget implementation. As the state grapples with these challenges, it is imperative for the government to address these issues promptly to ensure that allocated funds translate into tangible benefits for the citizens.

Stay tuned to Plateaureports.com for further updates and in-depth analysis of the state’s fiscal policies and their impact on public welfare.

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