The Akwa Ibom State House of Assembly has reduced the 2020 budget by N231.7 billion, from the initial N597.7 billion.
With the reduction, the 2020 amended budget which now stands at N366 billion was passed into law yesterday at plenary.
The amendment was sequel to a letter sent by Governor Udom Emmanuel to the State House of Assembly, to meet up with the economic challenges occasioned by the COVID-19 pandemic.
Speaking in Uyo to newsmen after plenary, the Chairman, House Committee on Appropriation and Finance, Mr. Uduak Ududoh, said that the recurrent expenditure, which stood at N111.22 billion has been reduced to N98.22 billion.
He stated that the capital expenditure, which stood at N369.10 billion has also been reduced to 186.94 billion, while the consolidated revenue charges now stand at N80.83 billion, as against N116.93 billion.
Ududoh explained that the total budget size reduced to N366 billion for the 2020 fiscal year represents a 38.8 per cent reduction.
The Speaker, Mr. Aniekan Bassey, who presided over the plenary said that the step taken by the governor to review the 2020 budget downward was very timely, in keeping with the economic recession experienced all over the world.
The bill had earlier passed through the first, second and third reading and was passed into law after due consideration at the committee of supply, chaired by the speaker.
The House Leader, Mr. Udo Kierian, in his contribution, said the review was necessitated by the fall in the price of crude oil at the international market which has a negative effect on the 2020 budget.
