A review of the budget performance documents has revealed that the Ogun State government, under Governor Dapo Abiodun, spent N2.3 billion on welfare, refreshments, and foodstuffs in the first three months of 2024.
The breakdown of the expenditure shows that N323 million was allocated to pilgrimage and other religious festivals, while refreshments and meals accounted for N228 million.
According to Sahara Reporters, welfare packages were the largest expense at N1.7 billion, and foodstuffs cost N25 million.
Also, the total expenditure on welfare exceeds the amount spent on capital projects in several key sectors.
For instance, only N123 million was allocated to the Ministry of Agriculture for capital expenditure. The Bureau of Job Creation and Youth Empowerment recorded zero naira in capital expenditure during this period.
Additionally, 60% of the N3.8 billion capital expenditure on works and infrastructure was spent on pilgrimage, welfare packages, foodstuffs, and refreshments.
The Ministry of Rural Development also saw zero naira spent on its capital projects.
In comparison, the Ministry of Housing received N493 million for capital expenditure. The allocation for education, science, and technology capital needs was N1.7 billion, less than the amount spent on welfare packages. The health sector was allocated only N151 million for its capital needs.
The Ministry of Community Development and Cooperative also recorded zero naira in capital expenditure for the first quarter of 2024.
This spending on welfare packages comes amid significant debt servicing costs, with Ogun State allocating N11.8 billion to service its debt in the first quarter of the year.
