The Kano State government has allocated N150.99 billion for the payment of monthly salaries and allowances to civil servants and political officeholders in the 2025 fiscal year.
This significant budgetary provision is part of a broader financial plan presented by Governor Abba Yusuf on November 8, 2024, to the state House of Assembly. The proposed budget for the upcoming year stands at N549.16 billion, reflecting the government’s commitment to addressing wage concerns and improving public service delivery.
During a press briefing, the Commissioner for Planning and Budget, Musa Shanono, provided insights into the budget breakdown. He highlighted that the earmarked amount for salaries and allowances is based on the newly approved minimum wage policy by Governor Yusuf. “The amount is part of the proposed recurrent expenditure for 2025, which is estimated at N236.53 billion, representing 43% of the total budget size,” Shanono stated. This allocation underscores the administration’s priority of ensuring timely salary payments and compliance with the updated wage standards.
The budget’s recurrent expenditure, estimated at N236.53 billion, will primarily fund the payment of salaries, allowances, and other operational costs of government ministries, departments, and agencies (MDAs). Of this, N150.99 billion is specifically allocated for civil servants and political office holders.
Shanono further detailed that the proposed overhead costs for MDAs are projected at N75.57 billion, covering essential operational expenses across various government sectors. “For MDAs, the running costs and critical priority payments are determined based on a standing order approved by His Excellency, while debt servicing is budgeted at N9.96 billion for 2025,” he noted.
The 2025 budget also includes a substantial focus on capital expenditure, with an allocation of N312.63 billion, accounting for 57% of the total proposed budget. This component aims to finance critical infrastructure projects and development initiatives across the state.
Shanono emphasized the administration’s resolve to utilize available resources efficiently to drive major programs and projects that will stimulate economic growth and enhance public services. “The capital expenditure allocation is dedicated to financing projects and programmes that will have a far-reaching impact on the state’s development,” he stated.
In terms of revenue projections, the total recurrent revenue expected for 2025 is estimated at N449.09 billion. This figure comprises N75.72 billion from Internally Generated Revenue (IGR) and N373.37 billion from the Federal Account Allocation Committee (FAAC). The projected revenue marks an 18% increase compared to the previous year, with a growth margin of N69.33 billion. This anticipated boost in revenue is attributed to enhanced tax collection mechanisms and improved allocations from the federal government.
The increase in IGR highlights the state government efforts to diversify its revenue base and reduce dependency on federal allocations. The focus on boosting local revenue sources is part of a broader strategy to enhance financial stability and sustain funding for critical developmental projects.
Shanono concluded by reiterating the government’s commitment to prudent financial management and the implementation of people-oriented policies. He assured that the administration would prioritize key sectors such as education, healthcare, infrastructure, and agriculture in its capital expenditure plan for 2025. The budgetary focus aligns with the state’s strategic goals of fostering sustainable development and improving the quality of life for its residents.
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