Diri Presents ₦1.24trn 2027 Budget, Allocates 68% To Capital Expenditure

Bayelsa State Governor, Douye Diri, has presented a proposed budget of ₦1.24 trillion for the 2027 fiscal year to the State House of Assembly, with capital expenditure accounting for approximately 68 per cent of the total estimates.

The appropriation bill, tagged 2027 Budget of Assured Prosperity and Sustainable Growth and Development, stands at ₦1,242,688,970,520.22.

Presenting the estimates before lawmakers in Yenagoa, Diri proposed ₦840.79 billion for capital expenditure and ₦401.90 billion for recurrent expenditure.

The proposed budget represents an increase of approximately 22 per cent over the 2026 appropriation.

Explaining the economic assumptions behind the proposal, the governor said the 2027 estimates were based on an oil price benchmark of 60 dollars per barrel, crude oil production of 1.8 million barrels per day and an exchange rate of ₦1,400 to the dollar.

Other assumptions include projected inflation of 18 per cent and economic growth of 3.5 per cent.

Diri said the assumptions provided the basis for the state’s fiscal planning, while acknowledging the uncertainties associated with the international oil market.

“These are assumptions, and these assumptions provide the basis for the planning, while recognising the risks of oil market volatility,” the governor told the lawmakers.

A breakdown of the sectoral allocations shows that the Ministry of Works and Infrastructure receives the largest share, with ₦422.84 billion.

The Ministry of Education is allocated ₦126.97 billion, while Sports Development receives ₦68.50 billion.

Other proposed allocations include ₦53.32 billion for Health, ₦24 billion for Security, ₦22.94 billion for Public Utilities and ₦17.74 billion for Agriculture.

The significant allocation to infrastructure underscores the administration’s emphasis on road construction, bridges and connectivity, particularly for communities in the state’s riverine areas.

The governor said the government’s development priorities would require sustained investment and effective utilisation of available resources to improve the living conditions of residents.

Receiving the appropriation bill, Speaker of the Bayelsa State House of Assembly, Abraham Ingobere, assured the governor that the legislature would give the proposal prompt consideration.

Ingobere said lawmakers would examine the underlying economic assumptions and proposed allocations to ensure that the estimates were realistic and achievable.

He also announced that the House would invite ministries, departments and agencies to defend their respective budgetary provisions.

According to the Speaker, the Assembly remains committed to a transparent and accountable budget process.

“We shall immediately commence consideration of the bill. I am inviting ministries, departments and agencies to defend their respective allocations,” Ingobere said.

He assured the governor that the House would work towards the timely passage of the appropriation bill in keeping with its commitment to legislative responsibility.

The proposed ₦1.24 trillion budget will now undergo legislative scrutiny before its eventual passage into law.