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2025: Abiodun’s N1.055trn budget targets road, rail infrastructure

By Omobolaji Adekunle, Abeokuta

Ogun State Governor, Prince Dapo Abiodun, has presented the 2025 Appropriation Bill, which totals N1,054,542,020,147.47. The budget allocates N453.56 billion for recurrent expenditure and N600.98 billion for capital expenditure. This ambitious budget was delivered before members of the State House of Assembly, with the Governor highlighting a significant focus on infrastructural development, including major rail projects.

In addition, the Governor took the opportunity to commission the newly redesigned State Assembly Complex, a structure that has stood for over 45 years.

The 2025 budget, christened the “Budget of Hope and Prosperity,” was presented during a plenary session presided over by the Speaker, Rt. Hon. Oludaisi Elemide. The proposed budget includes N120.14 billion for personnel costs, with the consolidated revenue cost pegged at N37.49 billion. Public debt charges have been allocated N76.07 billion, while overhead costs stand at N219.86 billion. The capital expenditure portion of the budget is set at N600.98 billion.

Among the key capital projects that Governor Abiodun outlined for the 2025 fiscal year, several high-priority initiatives include the renovation of general and state hospitals, the purchase of laboratory and medical equipment, and the revitalisation of 80 primary health centres across the state. The Governor also noted plans to construct new roads, procure and energise transformers, build new fire stations, and upgrade rural roads throughout Ogun State.

Notably, the Governor highlighted the extension of the Redline Metro Rail from Agbado to Kajola, the construction of the Blueline Metro Rail from Okokomaiko to Agbara/Lusada, and the development of the Purpleline Metro Rail line. These projects are expected to greatly enhance the state’s transportation infrastructure and stimulate economic activity. Additionally, the government plans to construct the Ogun Lodge Government House in Abuja, rehabilitate 150 km of feeder roads, and build the OGIRS Revenue House, along with a modern Court of Appeal for the state.

The budget also includes detailed allocations for various sectors. The education sector will receive N177.835 billion, which constitutes 17% of the total budget. The health sector has been allocated N134.538 billion, representing 13%, while N66.382 billion (6%) is proposed for housing and community development. Agriculture and industry will receive N65.38 billion, also 6%, while infrastructure, including rail and road projects, will take N284.4 billion, representing 27%. Other allocations include N25.27 billion (2%) for recreation, culture, and religion, and N39.83 billion (4%) for social protection.

The Governor explained that the 2025 Budget aims to address the state’s current challenges and lays out sustainable strategies for overcoming them. The expenditure policy aligns with the Ogun State Economic Development Plan and Strategy (2021–2025), which focuses on fiscal sustainability, human development, food security, a conducive business environment, energy sufficiency, enhanced transport infrastructure, and industrialisation with a particular emphasis on Small and Medium Enterprises (SMEs).

Governor Abiodun described the 2025 Appropriation Bill as a reflection of current challenges, essential reforms, and the need for inclusive, diversified, and sustainable growth. He emphasised that the budget prioritises infrastructure, healthcare, housing, security, education, youth empowerment, job creation, and agriculture. The Governor explained that the budget was designed to stimulate economic growth, reduce inequality, and improve the well-being of citizens, with a strong emphasis on recovery and transformation during periods of economic turbulence.

“This budget aims to balance fiscal responsibility with enhanced public service delivery. It strives to ensure resources are used efficiently to maximise prosperity for all, while tackling immediate issues such as unemployment and poverty, and investing in long-term growth,” Governor Abiodun stated. “It serves as a roadmap for economic and social progress, inspiring hope, fostering unity, and strengthening public trust in the government’s ability to manage resources responsibly, guiding the state toward a more equitable and sustainable future.”

Reflecting on the performance of the 2024 budget, the Governor noted that the state had achieved 79% of its pro-rated revenue target and 56% of its pro-rated expenditure target. He expressed optimism about the state’s fiscal reliability and the potential to build a stronger financial foundation.

In his remarks, the Speaker of the House, Rt. Hon. Elemide, commended Governor Abiodun for the renovation of the State Assembly Complex and for the infrastructural projects that have improved the working conditions of the lawmakers and staff. He noted that the presentation of the yearly Appropriation Bill is a constitutional requirement to ensure the judicious allocation and use of public funds.

The Speaker also praised the Governor for the ongoing legacy projects, including the Agro Cargo International Airport, the Remo Special Agro-industrial Processing Zone, the revitalised Kajola Free Export Processing Zone, the Inland Dry Port at Dry Port City in Sodipo Village, Papalanto, and the road infrastructure developments. He also highlighted the legislative accomplishments of the past 18 months, which included the passage of 9 out of 14 bills and the resolution of over 40 issues.

Furthermore, Rt. Hon. Elemide advocated for the establishment of a Special Court to enforce the Anti-Land Grabbing Law, given that land-related disputes account for over 80% of all petitions received by the House. He also called for financial autonomy for the State Legislature to enhance its ability to perform its duties more efficiently.

In his closing remarks, Speaker Elemide assured that the legislature would continue to work towards the timely passage of the 2025 Appropriation Bill and would monitor its implementation to ensure it benefits the people of Ogun State. He also emphasised the collaborative efforts of all branches of government in ensuring peace, security, and the welfare of the people.

Dignitaries who attended the budget presentation included the State Deputy Governor, Engr. Noimot Salako-Oyedele, the Secretary to the State Government, Mr. Tokunbo Talabi, former Deputy Governors Senator Shefiu Kaka and Yetunde Onanuga, the State Head of Service Kehinde Onasanya, and members of the state executive council, as well as representatives from various stakeholders and party officials.

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