IMPERATIVES OF 2020 BUDGET AND THE ECONOMIC DEVELOPMENT OF CRS
Last Updated on February 3, 2020 by Marvellous Ikpi
“…the fiscal appropriation is expected to stimulate new initiative for expansion as well as provide a basic structure for the state’s economic growth”
Budgeting the world over is the structural allocation of fiscal estimates to various sectors with a view to attaining overall development. In most cases, the fiscal allocation does not reflect the actual sum available, but rather projected estimates that would come from laid out economic plans and actions. In some cases, the budgetary allocations are tailored strictly on the available resources or projected income which therefore gives rise to what is referred to as envelope size budgeting. There is however, the other pattern which merely expresses the wish or dream or the expected realistic target of the establishment. Analytically, these two budgeting patterns have their advantages and disadvantages. For the envelope size budgeting, the operators are limited to performing within the confines of the available resources. It does not create room for creativity.
On the other hand, the free estimate budgeting allows for robust planning beyond the confines of available resources. The advantage is that creativity is stimulated and results achieved. For a state like Cross River which is warming up to blaze the trail for rapid industrialization, the free pattern budgeting which does not restrict it to available resources becomes imperative. That is why it did not come as a surprise when Governor Ben Ayade recently announced a budget of one trillion, one hundred billion, one hundred and seven million, five hundred and seven thousand naira, nine kobo (N1,100,107,507.09) as 2020 Estimates for Cross River State. Christened “Budget of Olimpotic Meristamesis”, the fiscal appropriation is expected to stimulate new initiative for expansion as well as provide a basic structure for the state’s economic growth. The emphasis on capital expenditure of 82 per cent of the budget is an indication of the resolve of government to change the economic drive towards industrialization. Frankly speaking, if the budget is properly implemented, it will catalyze into existence great opportunities for citizens of the state to have a fill of democratic dividends.
However, the issue boils down to total support and commitment of the citizens towards the policy thrust of the Governor Ben Ayade administration. The aggressive industrialization by government attests to the recent Taiwan Cooperation Mission to CRS. The trade mission will among other benefits, initiate tremendous opportunities for our enterprising youth to attain technological breakthrough and better their lot as well as support the economic development of the state. In this regard, the state government has concluded plans to sponsor 50 Cross River-based business people to Taiwan for business-to-business linkages. This initiative is to concertize the road-map for the
industrialization of the state and to support the economic dreams of the present administration