Budget: FG to release N350bn for capital projects in 1st tranche

…Transport, Power, others accorded priority

From Uche Usim, Abuja

Finance Minister, Mrs. Kemi Adeosun, yesterday revealed that her Ministry expects to get N350 billion in first tranche release for capital projects from the 2017 budget. 

Mrs. Adeosun disclosed this on Monday at the public presentation of the 2017 budget tagged Budget of Recovery and Growth. 

According to her, capital expenditure was at the epicentre of this year’s budget as the government hopes to spend its way out of recession. 

She listed health, agriculture, transportation, power, among the key sectors of focus in the budget. 

Also speaking during his presentation at the event, the Minister of Budget and National Planning, Senator Udoma Udo Udoma, listed some of the key initiatives of the 2017 budget to include a new social housing programme that will gulp N100 billion; special economic zone projects to be set up in each of the six geo-political zones which will gulp N46 billion; Export Expansion Grant (EEG) in form of tax credits – N16 billion and N15 billion for the re-capitalisation of Bank of Industry (BoI) and the Bank of Agriculture to support Micro, Small and Medium Enterprises (MSMEs).  

“Under health, we have N4.1 billion for procurement of routine vaccines and devices; N4.8 billion for Global Fund and GAVI counterpart funding and N4.8 billion polio eradication initiative. Again, there is N9 billion for joint venture investments in tertiary institutions with Nigeria Sovereign Investment Authority (NSIA) and it is a programme meant to reverse outbound medical tourism. 

“For transportation, there is N2.03 billion earmarked for the construction of a new terminal building at Enugu Airport; N2.08 billion for airside rehabilitation of Abuja airport and N2.47 billion for the construction of inland river port and supply of cargo handling equipment at Baro, Niger State,” he revealed. 

On power, he said there is a N9.5 billion rural electrification projects in federal universities; N10 billion for the construction of 3,050mw Mambilla hydropower project and N10.02 billion for the completion of power evacuation facility for 400mw Kashimbila hydropower plant.

In the 2017 budget, N40 billion has been earmarked for the settlement of Ministries, Departments and Agencies (MDAs) electricity bills, while N100 billion was set aside for water supply, rehabilitation of dams and irrigation projects nationwide. 

He also revealed that over 65 roads and bridges are to be constructed and rehabilitated across the six geo-political zones, while N10 billion is for the rehabilitation/reconstruction and expansion of Lagos-Shagamu-Ibadan dual carriageway sections I & II in Lagos and Oyo states.