Mr. Speaker Sir, Honourable Members of the Kwara State House of Assembly, I thank you all for admitting me into this great legislative chamber once again.
Precisely one year ago, I was here to present the proposal for the 2009 Budget. That Budget was anchored on our desire to consolidate on the major achievements of our administration in the previous years and to ensure that the great leap we have made in transforming our State into a preferred investment destination, a reference point in creative governance and a haven of peace and opportunities, is sustained.

Mr. Speaker Sir, I wish to note that the 2010 Budget that is being proposed to you this morning will seek to build on the achievements of 2009. The commitment to achieving sustainability has become even more imperative as we draw closer still to the terminal point of our administration.  The objective of the 2010 Budget therefore is to achieve an appropriate closure in all sectors by tidying up loose ends in the various policies, programmes and projects of our administration since 2003.

As Mr. Speaker is aware, the 2010 is the last budget to be fully implemented by my administration. And, just like I said during last year’s budget presentation, as we look ahead with a growing sense of accomplishments, we shall remain committed to ensuring that the progress we have recorded, the sacrifices we have made, the investments we have committed, the awareness we have created, the good name we have built, and the enviable status we have attained for this great State continue to endure even long after we are gone. 

REVIEW OF THE 2009 BUDGET

Mr. Speaker, the Honourable Members, you will recall that the 2009 Budget was greatly foreshadowed by the world economic recession that affected economies everywhere in a manner unprecedented in recent history. The key consequence of this global financial crisis for our country is the tumbling price of crude oil, which greatly affected our capital inflows. Nevertheless, due to a combination of foresight and efficient and prudent management of resources, we were still able to record some major accomplishments in the outgoing year. 

Agriculture:

The Shonga Commercial Agriculture Project remains our flagship project in the year 2009 as we continue to make steady progress on year-on-year basis. I am delighted to report that the Shonga Dairy Factory now delivers 10, 000 litres of fresh milk per day, out of its installed capacity of 80, 000 litres per day, and has generated up to 4000 employments to our people. The year also witnessed the completion of the poultry complex with capacity to deliver 3.2 million broiler chickens annually. We have also awarded the contract for the construction of Shonga irrigation project to ensure all-year farming and remove one of the major impediments that the project has confronted.
We have maintained our policy of providing support to our small farm holders as well, especially through timely provision of adequate fertilisers. I believe that when the on-going farmers’ census in the State is completed we would even be more able to provide these supports more effectively.

Energy:

This sector experienced a dramatic improvement in the out-going year. We recognise that our desire to industrialise our State can only be achieved if we are able to provide stable power supply. This commitment led to the creation of the Ministry of Energy in the outgoing year, with a full cabinet responsibility to ensure adequate power supply and full electrification of all every community in our State by 2020.

A most remarkable achievement in the course of the year however, is the completion of the Ganmo step-down sub-station, which was commissioned by His Excellency, the President of the Federal Republic of Nigeria, Alhaji Umaru Yar’adua, GCFR. Furthermore, government has also awarded contracts for construction and installation of four injection sub-stations at Asa Dam, Agba Dam, Gaa Imam, and Budo-Efo to enable effective evacuation of electricity from Ganmo to all parts of the State. Meanwhile, the Saw-mill sub-station will continue to serve Oko-olowo in Kwara State; and Igbeti and Igboho in Oyo State, while Sobi sub-station will be reinforced to service the Kwara Polytechnic axis. Additional 129 communities across the State were also connected to the National Grid in the out-going year, while transformers of various ratings were supplied and installed to 182 communities across the State.

Education: 

The 2009 year witnessed sustained efforts at improving the quality of education in our State through the education reform, ‘Every Child Counts.’  Efforts to improve the quality of teaching in the schools through continuous teacher training, reform of the college of education in Oro, the establishment of the Quality Assurance Bureau for improved monitoring and the provision of infrastructure and instructional materials were the major activities in this sector in the out-going year. We are happy to note that first time in recent memory, every child in primary schools across the State has a minimum of 5 text-books, especially in literacy and numeracy which are the primary targets of our schools. All these efforts have began to translate to real improvements at the primary schools level. We are confident that the knock-on effects of this will soon be felt at the secondary schools level.

Perhaps, our most remarkable achievement in the out-going year is the commencement and completion, in record time, of the Kwara State University. I am delighted to report, Mr. Speaker, that the first set of students have resumed on the Malete campus and will soon commence lectures.

Health:

In the out-going year, we continued the efforts to reposition our healthcare facilities for more effective service delivery to our people, with a key focus on increasing access and improving quality.  In 2009, we rehabilitated the 3 Specialist Hospitals with Sobi Specialist Hospital especially upgraded to train House Officers. We also rehabilitated 3 General Hospitals at Afon, Lafiagi and Kaiama.

However, one of our major achievements in the year is the launching of the Roll Back Malaria programme targeted at reducing infant and maternal mortality from malaria through the distribution of insecticide treated nets. The Community Health Insurance Scheme that we started in Shonga in 2006 was also scaled up in the year to Afon and Lafiagi to provide health insurance cover to our rural dwellers. We also commenced the construction of the phase II of the Oke-Ode School of Nursing in the out-going year.

Road and Transport:

In the course of 2009, we recorded significant achievements in ensuring that majority of our rural and urban communities are linked with good road networks. Consequently, 11 roads were awarded for a sum of N1.9 Billion Naira. Sections II & III of the Ilesha Baruba â€" Kosubosu-Chikanda road projects were completed and have since been in use.
Aside from construction, road maintenance and rehabilitation has also been a major focus of government in the year. Therefore, the kwara State Road Maintenance Agency (KWARMA) was able to rehabilitate 60 roads across the State.
I am also delighted to report that work has reached the first Ilorin fly over at the Post-Office area is near completion to ease traffic congestion on that axis of the metropolis.
A major economic development strategy of this government is to make our State more accessible from all parts of the country while continuing to expand the facilities for internal transportation. 2009 witnessed the commencement of Arik Airline flights to Abuja and Lagos, in addition to Overland Airways. We have also released funds for the rehabilitation and maintenance of railway tracks that will improve our mass transit system when completed.

OUTLOOK FOR THE YEAR 2010

Mr. Speaker Sir, as stated earlier, the main focus of the 2010 Budget is to deepen the achievements of 2009 and complete all on-going projects in the year. The following is the breakdown of the 2010 Budget as proposed:

1. Total Recurrent     36,118,613,234
2. Total Recurrent Expenditure  30,712,844,257
3. Total Recurrent Surplus    5,405,768,160
(Transfer to Capital Development Fund) 
4. Total Capital Receipts    37,140,802,160
5. Total Capital Expenditure   30,140,802,160

From the foregoing, the Budget size for 2010 as being proposed is N67,853,646,417 as against N70,303,079,713 for 2009. This shows a decrease of 3.5%, which is a reflection of the reality of the present global economy.
The detailed Recurrent Expenditure profile is as shown below:
          N
1. Personal cost      5,824,507,533
2. Overhead cost     10,340,665,703
3. Consolidated Fund Charges  14,547,671,021
  (Total Recurrent Expenditure)
4.Transfer to Capital Development    
    Fund       5, 405, 768,977

Similarly, the Capital Expenditure for 2010 financial year, as proposed, is N37,140,802,160. This is as against N43,126,857,270 for 2009, reflecting a decrease of 9.2%. The sectoral breakdown is as shown below:
          N
1. Road Development  -  9,273,332,195
2. Water Supply    -  4,399,102,905
3. Education    -  4,241,009,430
4. Agricultural Development -  3,707,970,252
5. Health     -  2,457,549,597
6. Sports & Youth  Development    -   2,380,150,154
7. Housing     -  1,361,268,927
8. Energy     -  985,502,414
9. Environment & Forestry -  419,364,256
10. Commerce    -  321,981,684
11. Others     -  7,593,570,346

Mr. Speaker, as I said earlier, the 2010 Budget is the last Budget to be fully implemented by my administration. Therefore, the focus of this budget is to ensure the completion of all on-going projects. Therefore, under the 2010 Budget we are not likely to embark on any new projects. The only new projects that would be witnessed in the coming year would be those already provided for and covered under the Bond. These include:

The International Vocation Centre: This is a world class technical skills acquisition centre, where our youths can acquire technical skills in diverse areas like automobile repairs and maintenance, hotel and catering, oil and gas, fashion design, building technology etc. This centre will also  provide re-training support for our artisans already in the business. This centre will be located in Kwara South.

Other Campuses of the Kwara State University: In addition to the main campus, the other two campuses of the university in Osi and Baruten will also be built in the coming year. Towards this end, the sum of N250million each has been provided for in this project. Irrigation Projects: Our commitment to making our State the leading agricultural State in Nigeria cannot be achieved if we continue to depend on rain-fed agriculture. Therefore, in the coming year, we shall embark on various irrigation projects across the State to support all-year round farming.

Stadium: A major heritage of our State is the Ilorin Stadium complex. However, we have watched over the years as this great edifice fall into decay and disuse. In keeping with my administration’s commitment to recovering our heritage and infrastructure, we intend to renovate and upgrade the stadium complex in the coming year.
Mr. Speaker sir, in addition to these new projects that will be covered under the bond, the following sectors will also receive significant attention in line with our resolve to complete all on-going projects and further entrench our policies and programmes.

Education:

In 2010, we shall seek to further deepen the gains of the education reform with the focus on institutionalising the various policy actions directed at improving the quality of basic education in the State. We intend to also invest heavily in renovation and construction of classrooms at both the primary and secondary schools level, while also providing teaching and learning materials in the schools.
Quite significantly, we shall also focus on improving the performance of our secondary schools students in national examinations, while also sustaining our fight against examination malpractices.

In the coming year, it is also hoped that the Kwara State University will carry the lion share of the education capital budget with a total sum of N1, 905, 000,000, representing 27% of the budget for education. 

Health: In the coming year, we shall continue the rehabilitation of our health facilities as we continue to make healthcare more accessible to our people, especially in the rural communities. Similarly, we shall also recruit more health workers, doctors, nurses and consultants to make the health sector more virile and efficient.
Energy: We are committed to achieving our targets of electrifying every community in our State by 2011. We intend to build on our achievement in the on-going year by embarking the second phase of the community electrification project which will cover additional 425 communities by 2010. 
Water Supply: In 2010 we intend to complete the rehabilitation of the Asa Dam water works, which will bring its water production capacity from the 3 million gallons per day in 2003, to 24 million gallons per day. To ensure effective distribution into homes, we have already released the sum of N2 billion for reticulation in the metropolis.
Works and Transport: We intend to complete the Chikanda-Ilesha Baruba road in January 2010. Similarly, we shall also complete all on-going construction and rehabilitation of roads in the coming year.

It is significant to note that we started the physical development of the Aviation College in the year 2009. We have also ordered the various training equipment, and facilities with the aim of ensuring effective take-off of the college in 2010. Similarly, the Cargo Terminal at the Ilorin International Airport will also be completed in the coming year. In order to address the growing vehicular traffic in Ilorin metropolis, the Kwara Traffic Control Agency will fully take off in 2010.

Agriculture: Our main focus in 2010 is to execute a state wide irrigation project that will bring 2,000 hectares under irrigation in 20 sites across the State with an estimated sum of N2billion. In addition to provision of farm inputs, especially fertilisers to farmers, we shall target resources at the improving cassava production under our Root and Tuber Expansion programme.

Industries: Mr. Speaker, I noted last year that government will continue to midwife and provide enabling environments that will attract the right kind of investment to areas of critical needs to our people. We are keenly aware of our responsibility as government in providing the needed infrastructure and the operational environment that is conducive to this investment. I am delighted to note that this effort has continued to yield results.
Some of the significant investments that we shall witness in the coming year are the establishment of cement factory and rice production company. We shall also witness investments in the establishment of 2 major shopping malls in Ilorin by both the Park and Shop and Shop Rite.
I am also delighted to note that arrangements have been concluded to establish an Airforce Maintenance Hanger in Ilorin next year with all the attendance benefits in commerce and employments.

Land:  One of the key reforms in our public sector in the out-going year is the transformation of the Ministry of Lands and Housing to the Ministry of Housing and Urban Development and the establishment of the Bureau of Lands. This action became necessary in order to ensure better management and utilization of lands as a major revenue generating resources in our State. The key challenge brought about by the dwindling federally allocated funds is the need to boost our internally generated revenue. We recognize this sector as a veritable source of IGR in our State. Consequently, efforts will be intensified to further entrench revenue extraction through land allocation, titling and utilization coming year in order to generate the necessary fund for meeting our various commitments. 

Judiciary: In order to continue to strengthen the administration of justice as a major platform of good governance, we intend to complete the judges quarters in 2010 to provide more conducive habitation for our judges.

The Civil Service: We shall consolidate our reform of the civil service which was vigorously pursued in the out-going year. In addition to further training and retraining, that we have provided for the various cadres in the service, especially on Information Technology and use of computers, we shall also bring in more vibrant and energetic young men and women to fill existing and anticipated gaps that will be created as a result of the reform actions. The computerization of the Civil Service, which was commenced with the capturing of the biometrics data of all civil and public servants, will be completed so as to ensure greater efficiency in the management of payroll, and entry and exit in the service.

As a way of ensuring greater prudence in the management of our dwindling financial resources, I wish to note that we shall no longer be building a new Secretariat Complex. Rather, we shall be completing the renovation of all existing office complex which we have started in the out-going year and ensuring that they provide more comfortable and conducive working environment for our public servants.

CONCLUSION

Mr. Speaker Sir, Honourable Members, I have presented to you a cursory review of the 2009 Budget as well as the Budget proposal for 2010. Through both, we have tried to reflect the fundamental principles of our administration for efficiency, effectiveness, productivity, creativity and sustainability. We intend to leave this as the abiding legacy of our administration. As I have maintained, the year 2010 will witness the completion of all on-going project as well as strengthening the foundation that would guarantee the sustenance of the remarkable changes that we have brought about.

We are aware of the volatility in the price of crude oil, with the attendant implication for our revenue profile. One of the key strategies that we must ensure in the course of the year is to try to maintain stability in personnel cost and overhead cost. It is worthy of note that the trend of improved IGR that started in 2008 was also carried through to 2009. Globally, a sum of N4,634,765,097.62 was realized as IGR by October 2009, giving an average of N463,476,509.8 per month with TAXE raking in the major part of N2,260,498,804.22 as at October, 2009. The State Government is already putting in place the necessary systems to improve the IGR further in the coming year, so as to reduce the burden on the Federation Account. Consequently, we have already mapped out strategies to attain a monthly minimum of N500,000,000.00 IGR in the coming year.
Mr. Speaker, permit me at this juncture to express my gratitude to this august House for the harmonious relationship that has existed between the legislative and the executive arms of our government. This indeed, is one of the secrets of the remarkable progress that we have made over the years. I thank you and pray God to continue to bless kwara State.