Lagos State Government says it generated N127 billion revenue in the first quarter of 2021 despite the recession and adverse effects of the Corona virus pandemic.
The State Commissioner for Finance, Dr. Rabiu Olowo, who disclosed this during the 2021 ministerial press briefing in Alausa, Ikeja, in commemoration of the second year anniversary of Governor Sanwo-Olu in office,assured that the state debt profile was in order.
He said that with 17.8 percent debt sustainability ratio currently in operation in Lagos, the state economy was in good stead
He added:”We finished last year with N658 billion. To date by the end of the first quarter, we have N127bn. That shows the resilience of our Ministries, Departments and Agencies (MDAs) despite the adverse effect on our micro-economy. Our recovery from the recession is very fragile, this affects the micro-economy but we will still think outside the box”
Confirming that the increase in the state revenue was as a result of well-thought strategy and commitment in technology, Olowo, said: “We ensured our revenue was optimized and we blocked all leakages. We are the only state in Nigeria that is not complaining about the pandemic. We have the strategy; it is not that everybody is willing to pay the tax.Our debt sustainability ratio is 17.8 percent and we have the World Bank and the Ministry of Finance that serves as the regulator. With this, we have demonstrated we have managed this debt,” he noted.
He disclosed that in line with the administration’s vision to deliver infrastructure at various levels, the ratio of capital recurrent expenditure for the Year 2020 stood at 56:44 percent.
He noted that the approach for 2021 would not be different as the Lagos State government has commenced funding of N1.164 trillion budget for the year with a fresh vigour.
The expenditure performance in the first quarter of Year 2021 was 69 percent with a capital expenditure ratio of 42:58 percent.
To ultimately reduce payroll fraud, the commissioner said that about 95 percent of public servants and pensioners’ data have been linked to the payroll with support of the state Residence Registration Agency (LASRRA).
