Delta State Commences 2025 Budget Defence, Targets Transparency Amid Economic Challenges
ASABA/Nigeria: The Delta State Government yesterday began its 2025 Budget Defence exercise, with the Commissioner for Economic Planning, Hon. Sonny Ekedayen, chairing the process.
This initiative forms part of Governor Sheriff Oborevwori’s commitment to promoting open governance, ensuring transparency, and maintaining accountability in the state’s financial affairs.
In his opening remarks, Ekedayen highlighted that the budget defence is an annual tradition designed to scrutinise the proposed financial plans of each Ministry, Department, and Agency (MDA) for the upcoming year. He emphasised that the process involves a meticulous evaluation of each MDA’s proposals, ensuring that the programmes they put forward are both feasible and aligned with the state’s broader development goals.
“The essence of this exercise is to provide MDAs the opportunity to pitch and defend their budget proposals, outlining their planned programmes and the financial resources required for the coming year,” Ekedayen explained. He added that the first day of the exercise had already reviewed the submissions of four MDAs, revealing insightful perspectives on their proposed spending.
Addressing the current economic climate, Ekedayen acknowledged the difficult circumstances facing the nation, particularly in light of recent economic reforms, including exchange rate liberalisation and the removal of fuel subsidies. He pointed out that these changes had profoundly impacted the country’s financial outlook, creating challenges for budget planning.
He also noted that when President Bola Ahmed Tinubu assumed office, the revenue-to-debt ratio in Nigeria was at an alarming 97%, meaning that nearly all government revenue was being used to service debt. “The nation’s earnings have been insufficient, yet the debt profile remains substantial. In crafting the 2025 budget, we had to consider these economic realities,” Ekedayen remarked.
On the strategy used in developing the Delta State 2025 budget, Ekedayen stated, “We are not magicians. With the unpredictable nature of the economy, making long-term projections has been challenging. Therefore, we based the 2025 budget on actual revenue receipts from June to date, using realistic and sustainable figures to avoid financial setbacks.”
The proposed 2025 budget stands at ₦936 billion, a 30% increase from the ₦725 billion budgeted in 2024. However, Ekedayen cautioned that this increase does not equate to greater purchasing power, given the declining value of the naira. “Though the budget appears larger, the amount of goods and services it can purchase is less than what it could have procured a year ago,” he noted, explaining that this was a key factor in the budget’s drafting.
Ekedayen urged participants in the budget process to be transparent and diligent, stressing the importance of making the best use of the allocated funds. “This is a very serious process. We must be as honest and judicious as possible because, despite the increase in the budget, it is still insufficient to meet all the needs of our people,” he said.
The Commissioner further acknowledged the rising costs of infrastructure and essential services, attributing part of the increased burden on government resources to the high poverty levels across the state. “There is a heavy reliance on the government due to the poverty line, but the government cannot do everything. We must approach this process with seriousness and realism,” he advised.
Among the MDAs that successfully presented their budget proposals on the first day were the Asaba Capital Territory Development Agency, led by its Director-General, Chief Patrick Ukah, and the Ministries of Agriculture, Environment, and two others.
