Bizzare! Gov. Alex Otti To Borrow N401 Billion To Fund Bogus 2024 Budget of ₦567.24 Billion, Surpassing States with Larger Population and IGR

Secrets Reporters

In a bold move, the Abia State Government has presented its proposed budget for 2024, amounting to a staggering ₦567.24 Billion. This bogus financial plan sets a new precedent, not only in its scale but also in its approach to funding and expenditure.

The budget titled “Budget of New Beginning” was presented by Governor Alex Otti to the State House of Assembly on Tuesday, December 12, highlighting a significant focus on capital expenditures. Of the total ₦567.24 billion, a substantial ₦476.01 billion (approximately 84%) is allocated for capital projects, while the remaining ₦91.23 billion (16%) is earmarked for recurrent expenditures.

In financing this budget, the state plans to generate ₦166.08 billion internally. However, the more notable aspect is the proposed borrowing of ₦401.16 billion, which constitutes about 71% of the budget.

Abia State, with a population of approximately 4 million and an internally generated revenue (IGR) of ₦20 billion in 2022, is proposing a higher budget than states with larger populations and higher revenue figures.

States like Kaduna, Oyo, Anambra, Kano, Edo, Osun, Cross River, Jigawa, and Sokoto, despite having larger populations and greater IGR and total revenue in 2022, have proposed lower budgets for 2024.

SecretsReporters gathered that Kaduna’s budget stands at N458 billion, followed by Oyo at N432 billion, Anambra at N410 billion, and others trailing behind.

Recall that the Abia State’s number one man, Otti, rode to office under the ‘Obidient Movement’ wave earlier this year and was sworn in on 29th May 2023.

It could be recalled that Otti was knocked down by political stakeholders, especially the Peoples Democratic Party after the State’s 3rd quarter budget performance report was released.

Otti was reported to have used the sum of N5.32 billion to run the governor’s office from his private residence in Isiala Ngwa.

Reacting to the report, the PDP had said Otti displayed an “unparalleled, unequaled and inhumane level of financial recklessness that speaks to the abandonment of good governance in such a short period in office and a flagrant disregard to his campaign promises.”

Situated in the southeastern region of Nigeria, Abia State’s economy is diversified, with key sectors including agriculture, commerce, and industry.

As of the last census, Abia State has an estimated population of approximately 4 million people.