N6.2trn Supplementary Budget for Minimum Wage, Infrastructure, Says Minister
The Federal Government says the proposed N6.2 trillion supplementary budgetary will be used to pay the minimum wage. Mr Atiku Bagudu, the Minister of Budget and National Planning, gave the assurance while addressing the House of Representatives’ Committee on Appropriation in Abuja.
He said that the funds would be spent on stimulating the economy through the implementation of various infrastructural projects. These projects include road, rail, water, irrigation, and dam projects in the 2024 fiscal year with prudent utilisation of the funds.
He said that the N3 trillion would cater for the newly proposed national minimum wage, for which President Bola Tinubu said the bill would soon be sent to the National Assembly. He said that the proposed budget was also aimed at providing counterpart funding for rail projects that had literally stopped for a while, including the longest among them.
These, according to him, are the Port Harcourt Main Bridge, which would traverse the rivers Imo, Enugu, Ebonyi, Anambra, Benue, Nasarawa, Plateau, Katsina, Bauchi, Gombe, Yobe, and other parts of the country.
The minister said the second project is Badagry-Tin Can Port, Lekki Port, while the third one is Lagos-IIbadan Standard Gauge, adding that the fourth one is Kano-Marada Standard Gauge.
He said that there would be funding for rolling stock that is required, adding that this would gulp the sum of N530 billion as requested for the five rail projects.
Bagudu said that the sum of N522 billion was also provided for water, irrigation, and dam projects, adding that the proposed N3.2 trillion renewed hope infrastructural fund was “intended to provide equity contributions.
Bagudu assured that the projects encapsulated in the amendment to the 2024 Appropriation Bill would not limit the revenue available for the implementation of the 2024 Appropriation Act.
Rep. Abubakar Bichi, the Chairman of the House Committee on Appropriation, had earlier urged the Minister to give details on the Appropriation Bill, including the N3.2 trillion capital expenditure increase.
This also includes the N3 trillion recurrent expenditure for the newly proposed national minimum wage transmitted by Mr. President for accelerated consideration.
Bichi observed that there was a need for Nigerians to be adequately informed of the details of the proposed N6.2 trillion budget.
This, he says, was in addition to the N28.7 trillion appropriation Act approved for the 2024 fiscal year. The Committee urged the Federal Government to address the infrastructural deficit and also address issues of security.
Responding, Bagudu said that various efforts were being made to address issues concerning the security of lives across the country. Some of the projects proposed in the supplementary budget include: Lagos-Calabar, a 1,000-kilometer road project for which a sum of N150 billion is required
Sokoto-Badagry road projects, as well as the rail project, for which the Chinese government has provided 85 percent funding while the Federal Government is yet to provide the 15 percent counterpart finance.
According to Bagudu, the Lagos-Calabar, which is expected to start in three different sections, has commenced in Lagos, the Calabar end, and one additional section, Sokoto-Calabar.
He added that the Lagos-Calabar also covered the five Southeast States as well as Port Harcourt and Maiduguri rail lines. Naira Rises by 6% as CBN Sells $24m in FX Market
