President Muhammadu Buhari has approved N256 billion as the budget for the transportation Ministry for the year 2021.
According to the President, the budget termed Budget of Economic Recovery and Resilience will address key economic issues as the country tries to recover from the impact of the coronavirus and the oil price drop.
He says the government is determined to accelerate the country’s economic recovery process while decrying the revenue generation challenges.
The president in his speech noted that the Nigerian economy is currently facing serious challenges, with the macroeconomic environment being significantly disrupted by the Coronavirus Pandemic.
He said Real Gross Domestic Product (‘GDP’) growth declined by 6.1 per cent in the second quarter of 2020. This ended the 3-year trend of positive, but modest, real GDP growth recorded since the second quarter of 2017. I am glad to note that, through our collective efforts, our economy performed relatively better than that of many other developed and emerging economies.
On key capital spending allocations in the 2021 Budget the N198 billion was allocated for the power sector (inclusive of N150 billion for the Power Sector Recovery Plan); Works and Housing: N404 billion; Transportation: N256 billion; Defence: N121 billion;
Agriculture and Rural Development: N110 billion, Water Resources: N153 billion;
Industry, Trade and Investment gulps N51 billion;
Education: N127 billion; among others
He explained that the Ministry of Agriculture and Rural Development will facilitate the integrated development of its sector by promoting crops’ value chains; as well as providing rural roads, water and sanitation, veterinary and pest controls, grazing, food and strategic reserves, and access to inputs and extension services.
Adding that the157 per cent increase in the capital allocation to the health sector is to enhance the capacity to deliver healthcare services through the procurement of equipment, vaccines and other facilities. Two centres of excellence, as well as one Accident and Emergency Centre, will be equipped in Federal Teaching Hospitals in each geopolitical zone.