The Director-General, Budget Office of the Federation, Mr. Ben Akabueze, has said that the Federal Government’s budget was not enough to fix the country’s infrastructural challenges.
Akabueze, however, explained that the focus of capital expenditure allocation in the proposal was designed to fund key priorities of the Emergency Recovery Growth Plan, adding that the proposed N8.83trillion 2019 national budget presented opportunities for the organised private sector to
thrive.
Speaking with our correspondent in Kaduna, he identified the priority areas of government as agriculture and food security, improved transportation infrastructure, ensuring energy sufficiency and driving industrialisation with focus on small and medium scale enterprises.
According to him, investment in these priority areas will be implemented in partnership with the private sector, which he described as the driver of economic
growth.
Akabueze said, “About N90.9billion is earmarked for achieving agriculture and food security, through the development of value chain across 30 different commodities, including supply, production, processing, transportation, trading, marketing and
export.
“The Federal Government also hopes to improve access to agricultural inputs and facilitate farm-firm linkage. The private sector could provide market, quality check and extension services, especially for small landholders. The budget also set aside N153.6billion to ensure energy sufficiency. The private sector can invest in new power generation projects, especially small-scale off-grid projects.”
He argued, “This will improve power generation, transmission and distribution, which will reduce unit power costs, prices and increase demand and profitability.”
He also noted that N401.8billion would be invested in improving transportation infrastructure, adding that some of the rail and road projects to be executed offered opportunities for public private sector partnerships.
“Construction of new airport terminal buildings also provides opportunities for business activities at the airports. Besides, the private sector could invest in technological innovations that will greatly improve the operations of different transportation systems,”
he said.
He added that a total of N73.1billion had been earmarked in the budget to drive industrialisation, by improving access to critical infrastructure and providing single digit interest loans to reduce cost of business operations.
Akabueze further maintained that the proposed 2019 Budget was designed to reposition the economy on the path of higher, inclusive, diversified and sustainable growth, and to continue to lift a significant number of Nigerian citizens out of poverty.
“The Federal Government will continue to support initiatives that encourage small businesses to grow and create jobs through ensuring access to funding, supporting infrastructure and off-take arrangements by government and private enterprises,” he said.
