THE House of Representatives has approved the Niger Delta Development Commission (NDDC) 2024 Appropriation Bill of N1.91tn.
The decision of the House followed the consideration of a report of the Committee on NDDC, chaired by Mrs. Erhiatake Ibori-Suenu during last Wednesday’s plenary.
While defending the commission’s 2024 budget before the House Committee on NDDC earlier in July, Managing Director of the NDDC, Samuel Ogbuku, stated that the commission would source funding of its proposed spending from loans to the tune of N1tn.
“We have strategically made provisions towards diversifying our sources of funding as we intend to source an aggregate sum of N1 trillion to fund ongoing legacy projects of the commission in 2024. The sum will be outsourced from development and commercial banks, “Ogboku said, stressing that “Investing in critical infrastructure is a key component of our fiscal strategy under the 2024 budget proposals”.
Justifying the need to pass the budget, Ibori-Suenu gave a breakdown of the financial expenditure and sources of funding, saying, “We urge the House to consider the report of the Committee on Niger Delta Development Commission on the issue from the Statutory Revenue Fund of the Niger Delta Development Commission the total sum of N1.911tn, out of which the sum of N38.55bn is for personnel expenditure, while the sum of N29.25bn only is for overhead expenditure.
According to her, “N8.79bn, is for internal capital expenditure, the sum N835.22bn, is for development projects, while the sum of N1tn, is for legacy projects funded by borrowing for the year ending April 30, 2025.”
A breakdown of the budget shows that the head office of the commission and the nine states of Abia, AkwaIbom, Bayelsa, Cross River, Delta, Edo, Imo, Ondo and Rivers will spend a total sum of N1.84tn on development projects.
Staff welfare gulps N531.78 bn, severance benefits N2.3bn, medical insurance N92 billion and staff housing scheme N800. 52bn.
Others include; promotion arrears N1.7bn, voluntary retirement benefit scheme N1.8bn, pension N750m, and recruitment services N825.54m, among others.
Recall that President Bola Tinubu recently approved NDDC’s request to borrow additional N1tn to fund its developmental projects in the 2024 fiscal year.
