2025 budget estimate: Why we increased our recurrent expenditure – Bauchi Gov’t

By Samuel Luka, Bauchi

Bauchi state government has explained that the recurrent expenditure of the state was increased in the 2025 budget estimate, higher than that of the previous year to pave way for the implementation of the N70,000 minimum wage for its workforce and the Contributory pension scheme.

The State Commissioner for Budget, Economic Planning, and Multilateral Coordination, Alhaji Aminu Hammayo stated this in his office during a budget breakdown session with newsmen Thursday.

Governor Bala Mohammed had earlier on, presented to the state assembly for consideration, a budget estimate of N465,85,248,317.12 Kobo, comprising of recurrent expenditure of N182,743,925,931.60 Kobo for the 2025 financial year.

According to him, the recurrent expenditure is made up of personnel cost amounting to N69,995,477,83.47 Kobo, representing 39.3% which he said is higher than that of the 2024 while Capital Expenditure receives the sum of N282,341,322,385.52 which represents 60.7%.

“That explains the fact that the state is going into the implementation of the new minimum wage of N70,000 and it is also going into the implementation of contributory pension scheme which requires that the state takes responsibility for the payment of the employer contribution. So, that has increased the wage bill by about 25 percent or so”, the Commissioner said.

He said that the budget also has overhead Cost​ expenditure of N113,248,448,848.13 Kobo which made up the N465 billion budget estimate presented to the state assembly by the Governor.

The Commissioner said sectoral allocation to the administration sector, comprising of MDAs that are admin related such as government house, office of head of service, house of assembly, among others got a total allocation of N69,941,674,429.65 Kobo.

He explained that the economic sector comprising of Agriculture, finance, commerce, power, technology, natural resources, works and transportation, among others has a total of N219,506,601,771.75 Kobo allocation.

The Commissioner added that the social sector which comprises education, health, women affairs and child development has a total allocation of N166,98,829, 366.96 Kobo while Law and Justice which comprises of the Judiciary and the justice ministry with total allocation of N9,538,142,748.76 Kobo.

According to him, social Sector got 15.08 percent in healthcare, which he said is above the 15 percent Abuja declaration.

“We are doing about 70.228 billion Naira for health care. For education too, we are doing a total of about 15.04 percent of the total budget with education ministry getting N39.133 billion and the ministry for higher education has N30.8 billion”, Alhaji Hammayo disclosed.