By Jemimah Wellington, JKNewsMedia Reporter
LAWMAKERS IN Lagos State scrutinised the N3.005 trillion 2025 budget proposal during a plenary session on Monday, raising critical concerns about deficit financing and overlooked priorities.
The budget, presented last Thursday by Governor Babajide Sanwo-Olu, proposes 59% capital and 41% recurrent expenditure, with a projected deficit of N408 billion.
Speaker Mudashiru Obasa referred the appropriation bill to a joint committee on appropriation and finance, tasking it to submit a detailed report within a month.
Chairman of the House Committee on Budget and Economic Planning, Hon. Sa’ad Olumoh, acknowledged the need for borrowing but cautioned against over-reliance on loans.
“We must adopt sustainable methods like Public-Private Partnerships (PPP) to finance projects while ensuring the budget aligns with realistic projections,” he advised.
Deputy Majority Leader Adedamola Richard Kasumu stressed the importance of a detailed review for feasibility and sustainability.
Hon. Gbolahan Yishawu (Eti-Osa 2) expressed concerns over the absence of allocations for electricity infrastructure and climate change initiatives, advocating for a five-year analysis of deficit financing trends.
Similarly, Hon. Femi Sheed called for tying borrowings to critical infrastructure, ensuring revenue efficiency, and closing financial leakages.
Hon. Desmond Elliot pointed out the omission of food security measures and urged the inclusion of initiatives addressing basic needs.
The lawmakers agreed that the proposed budget requires thorough scrutiny to avoid wastage while addressing urgent developmental priorities.
Governor Sanwo-Olu previously noted that deficit financing for the budget would rely on internal and external loans and bonds, sparking further debate about sustainable financing models for Lagos State.
