By: Lauretta Fagbohun, Abeokuta.
The Ogun State Government has announced a record-breaking N1.05 trillion budget for 2025, titled the “Budget of Hope and Prosperity.” This marks a significant leap in the state’s fiscal planning, aimed at fostering development, strengthening infrastructure, and enhancing public services.
Speaking during the budget presentation in Abeokuta, the Chief Economic Adviser and Commissioner for Finance, Mr. Dapo Okubadejo, attributed the budget’s growth to extensive reforms and improved revenue generation. The state’s budget has grown remarkably, from N335 billion in 2020 to N1.1 trillion in 2024, fueled by innovative measures to block revenue leakages and optimize internal revenue collection.
The 2025 budget allocates N600 billion to capital expenditures and N400 billion to recurrent expenditures, reflecting a 50% increase over the previous year’s budget of N703 billion. Key sectors prioritized include education, healthcare, housing, transportation, and agriculture.
Key Allocations and Initiatives
Education: N178 billion (17% of the budget) will be used to construct 12 mega smart schools, each with 900 classrooms, alongside renovating dilapidated schools, improving security, and providing essential amenities like boreholes.
Healthcare: Plans include the renovation of 80 primary healthcare centers and the procurement of MRI machines to improve medical services across the state.
Agriculture: The government aims to revive farm settlements, enhance the agricultural value chain, promote dry-season farming, and distribute 1,000 water pumps to farmers.
Housing: With N7.5 billion allocated for housing projects, the government will focus on legacy housing developments and expand allocations at the Kobape Housing Estate.
Transportation: Efforts include extending Lagos rail lines into Ogun State, building new rail stations, and enhancing water and air transport. The Gateway International Airport is set to become a hub for cargo and passenger services.
Mr. Okubadejo highlighted that the state expects to generate N194 billion through Ministries, Departments, and Agencies (MDAs), N121 billion from internal revenue services, and N228 million from federal allocations. These reforms aim to reduce dependency on federal funding and ensure fiscal sustainability.
Commissioner for Budget and Planning, Mr. Olaolu Olabimtan, emphasized that Ogun State continues to lead in Internally Generated Revenue (IGR) sustainability, with personnel costs and overheads kept at 12% and 20% of the budget, respectively.
Governor Dapo Abiodun’s administration remains committed to implementing policies that will improve living standards, empower youth, and position Ogun State as a beacon of prosperity and development.
