This analysis is based on Kwara State's revised budget

1. Kwara State Budget and
Its Components
Financial Year (2010-2015)

2. Contents
Introduction [3]
 Kwara State [4-5]
 MDA’s [6]
 Budget Terms [7-8]
 Components of the Budget [9]
Total Revenue [10]
 Recurrent Revenue [11-15]
 Capital Receipts [16]
Total Expenditure [17]
 Recurrent Expenditure [18-19]
 Capital Expenditure [20]
Budget Estimates of some ministries [21-29]

3. INTRODUCTION
A state budget is a reflection of the state’s priorities. It is an
indicator of the level of commitment of government to
implementing state obligations.
This document outlines the Kwara State Revised Budget Estimates
from 2010-2015, presenting the key elements.

4. Kwara State
➢ Kwara (a local name for River Niger) State formally named the West Central
State was created on 27 May 1967. Her capital city of Ilorin is situated 306km
inland from the coastal city of Lagos and 5OOkm from the federal capital,
Abuja.
➢ With a population of 2.37 million (2006 census estimates), the principal groups
residing in Kwara State are the Yoruba, Nupe, Bariba and Fulani.
➢ Agriculture is the main stay of the economy and the principal cash crops are:
cotton, cocoa, coffee, kolanut, tobacco, benseed and palm produce.

5. There are 16 Local Government Areas in the Kwara State
▪ Asa
▪ Baruten
▪ Edu
▪ Ekiti
▪ Ifelodun
▪ Ilorin East
▪ Ilorin West
▪ Irepodun
▪ Isin
▪ Kaiama
▪ Moro
▪ Offa
▪ Oke-Ero
▪ Oyun
▪ Pategi.

6. Ministries/Departments/Parastatals in Kwara State
▪ Agency for Mass Education
▪ Bureau of Lands
▪ Civil Service Commission
▪ Deputy Governor’s Office
▪ Fiscal Responsibility Commission
▪ Government House
▪ Governor’s Office
▪ Office of head of Service
▪ High Court of Justice
▪ Judicial Commission Service
▪ Kwara State Board of Internal Revenue
▪ Kwara State Hospital Management
Bureau
▪ Kwara State Internal Revenue Service
▪ Local Government Audit Department
▪ Local Government Service Commission
▪ Ministry of Agric. and Natural Resources
▪ Ministry of Commerce and Cooperative
▪ Ministry of Education and Human
Capital Development
▪ Ministry of Energy
▪ Ministry of Environment and Forestry
▪ Ministry of Finance
▪ Ministry of Health
▪ Ministry of Housing and Urban
Development
▪ Ministry of Industry and Solid Minerals
▪ Ministry of Information and
Communication
▪ Ministry of Justice
▪ Ministry of Local Government and
Chieftaincy Affairs
▪ Ministry of Planning and Economic
Development
▪ Ministry of Social Development, Culture
and Tourism
▪ Ministry of Sport and Youth
Development
▪ Ministry of Tertiary Education, Science
and Technology
▪ Ministry of Water Resources
▪ Ministry of Women Affairs
▪ Ministry of Works and Transport
▪ Office of Surveyor General
▪ Primary Health Care Development
Agency
▪ Scholarship Board
▪ Sharia Court of Appeal
▪ State Audit Department
▪ State Bureau of Statistics
▪ State Independent Electoral Commission
▪ Teaching Service Commission
▪ The Legislature (House of Assembly)

7. Budget Terms
❖ A budget is a financial plan which contains an official statement from a government about how much it
plans to spend during a particular period of time (usually a year) and how it will pay for the expenses.
❖ Revenue is the total amount generated by government over a specified period of time. This includes
income collected from taxes, statutory allocations and profits.
❖ Capital Expenditure is the part of government expenditures on capital assets which lasts for more than
one year. This includes land, buildings, equipment’s and other transfer costs associated with property.
❖ Recurrent Expenditure is the part of government expenditures meant for monthly payment of salaries,
rentals, office requirements, the operating expenses of government industries and services.

8. ❖ State Debt is the money owed by the state in its corporate capacity which attracts interest.
❖ Debt stock refers to the total value of domestic and external debt that a government owes over a
period of time.
❖ Debt servicing is the money allocated in the budget which is required to make payment on the
principal and interest on outstanding loans.
❖ Personnel costs are the total remuneration paid to government employees in return for work
done. These are part of the recurrent expenditure.
❖ Overhead costs are ongoing administrative expenses that are part of the recurrent expenditure.
Budget Terms

9. The Kwara State Budget is made up of two major components
Revenue
Recurrent
Revenue
Capital
Reciepts
Expenditure
Recurrent
Expenditure
Recurrent
Debt (Public
Debt Charges)
Recurrent
Non-Debt
Capital
Expenditure
The purpose of the budget is for resource allocation, planning, coordination and control. It also aids decision
making, monitoring business performance and forecasting income and expenditure.

10. Table 1: Total Revenue (2010-2015)
Revenue is the total amount generated by government over a specified period of time. This
includes income collected from taxes, statutory allocations and profits.
Year Recurrent Revenue % Capital Receipts %
Total Revenue
(Recurrent + Capital)
2010 33,460,542,120 49.9 33,583,335,375 50.1 67,043,877,495
2011 48,579,404,786 67.5 23,377,123,426 32.5 71,956,528,212
2012 54,140,273,711 62.7 32,223,075,871 37.3 86,363,349,582
2013 56,724,205,642 58.5 40,206,729,163 41.5 96,930,934,805
2014 65,155,529,971 56.4 50,445,742,303 43.6 115,601,272,274
2015 59,400,858,270 50.5 58,277,949,336 49.5 117,678,807,606
REVENUE

11. Recurrent Revenue
Share of Federation
Account Allocation
(FACC)
Independent
Revenue
FACC consist of statutory allocation, state government share of VAT, state government share of excess
crude account and federal government salary bailout.
Independent Revenue consist of taxes, licenses, mining rents, fees, fines, earnings, rents on government
property, interests, revenue retained from parastatals and miscellaneous.
RECURRENT REVENUE

12. 2015 2014 2013 2012 2011 2010
FACC 83% 77% 79% 72% 72% 79%
Independent Revenue 17% 23% 21% 28% 28% 21%
Total Recurrent Revenue (Billions) 59.40 65.16 72.74 54.14 48.58 33.46
0.00
20.00
40.00
60.00
80.00
0%
20%
40%
60%
80%
100%
Billions
At least 70% of Kwara State’s Recurrent Revenue comes from Federal Allocation, while the
remaining comes from independent revenue generated by MDA’s.
Figure 1: Recurrent Revenue
Recurrent Revenue Details (2010-2015)

13. Top Recurrent Revenue Generators 2010 2011 2012 2013 2014 2015 Average
Ministry of Finance 56.7% 76.2% 39.8% 40.7% 10.2% 12.0% 39.3%
Kwara State Internal Revenue Service - - - - 44.6% 47.5% 47.5%
Bureau of Lands 5.4% 7.3% 7.6% 10.7% 17.4% 11.8% 10.0%
Ministry of Planning and Economic
Development
0.01% 0.01% 29.7% 11.2% 0.8% 0.02% 0.8%
Ministry of Housing and Urban Development 2.1% 0.8% 2.7% 2.2% 1.5% 4.0% 1.6%
Head of Service 0.8% 0.2% 0.1% 5.4% 2.3% 1.6% 2.4%
Ministry of Agric and Natural Resources 1.8% 0.5% 0.5% 0.6% 1.1% 1.3% 1.0%
Ministry of Health 0.4% 0.4% 0.7% 0.7% 0.2% 1.5% 0.5%
Ministry of Education and Human Capital
Development
2.0% 0.6% 0.5% 0.3% 0.0% 0.6% 6.8%
Ministry of Justice 0.1% 0.0% 1.1% 1.3% 0.4% 0.1% 0.7%
Other Ministries 3.3% 1.9% 1.9% 2.2% 1.8% 2.2% 2.2%
Parastatals 27.5% 12.1% 15.3% 24.7% 19.8% 17.5% 19.5%
Ministry of Finance, Kwara State Internal Revenue Service, Bureau of Lands and Parastatals are the major independent revenue generators
Top Internal Revenue Generators
Table 2: Recurrent Revenue

14. 2010-2013 statutory allocation from federal
account shows a growing trend in figures,
although the percentage contribution to
total recurrent revenue continues to decline
from 2010-2015.
26.50
35.00
39.00
45.20
39.65
26.50
0.00
5.00
10.00
15.00
20.00
25.00
30.00
35.00
40.00
45.00
50.00
Billions
Billions
2010
2011
2012
2013
2014
2015
Graphical Representation of Statutory Allocation from Federation Account
Year Total Recurrent Revenue
Statutory Allocation from
Federation Account
%
2010 33,460,542,120 26,500,000,000 79.2
2011 48,579,404,786 35,000,000,000 72.0
2012 54,140,273,711 39,000,000,000 72.0
2013 72,737,711,427 45,200,000,000 62.1
2014 65,155,529,971 39,650,000,000 60.9
2015 59,400,858,270 26,500,000,000 44.6
Figure 2: Statutory Allocation
Table 3: Statutory Allocation and Total Revenue

15. 53%
32%
38%
38%
43%
44%
0% 10% 20% 30% 40% 50% 60%
2010
2011
2012
2013
2014
2015
Taxes are the main sources of independent revenue in Kwara State.
Independent
Revenue
Generators Taxes
Fines and
Fees
Earnings
and Sales Parastatals
Other
Sources
2010 53% 6% 8% 27% 6%
2011 32% 4% 6% 12% 46%
2012 38% 4% 9% 15% 33%
2013 38% 11% 14% 25% 22%
2014 43% 16% 19% 20% 2%
2015 44% 7% 18% 17% 14%
Average 41% 8% 13% 20% 19%
Sources of Independent Revenue
Figure 3: Taxes
Contribution of Taxes to Independent
Revenue
Table 4: IGR

16. CAPITAL RECIEPTS
These are non-recurring income received by the government for the sale of assets, shares and debentures. It also
includes loans, grants, gifts, aids or any assistance from bodies external to the state government.
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
2010 2011 2012 2013 2014 2015
50.1%
32.5%
37.3%
41.5% 43.6%
49.5%
Figure 4: Capital Receipts (2010-2015)
There has been a gradual increase in the contribution of capital receipts to total revenue from 33% in 2011 to 50% in 2015.

17. Year Total Expenditure Recurrent % Capital %
2010 67,043,877,495 33,460,542,120 49.91 33,583,335,375 50.09
2011 71,956,528,212 48,579,404,786 67.51 23,377,123,426 32.49
2012 86,363,349,582 54,140,273,711 62.69 32,223,075,871 37.31
2013 96,930,934,805 56,724,205,642 58.52 40,206,729,163 41.48
2014 115,601,272,274 63,182,288,024 54.66 52,418,984,250 45.34
2015 117,678,807,606 57,225,372,538 48.63 60,453,435,068 51.37
TOTAL EXPENDITURE (2010-2015)
The percentage allocated to capital expenditure continues to increase from 32% in 2011 to
51% in 2015.
Table 5: Expenditure

18. RECURRENT EXPENDITURE
29%
46%
2%
23%
Figure 5: Average Recurrent Expenditure Between 2013-2015
Administrative Sector
Economic Sector
Law and Justice Sector
Social Sector
A larger share of the recurrent expenditure goes to the economic sector, followed by the administrative sector,
social sector and, the law and justice sector.

19. 18
26 27
31 33
29
33
49
54
57
63
57
67
72
86
97
116 118
0
20
40
60
80
100
120
140
2010 2011 2012 2013 2014 2015
Billions
Personnel and Overhead Cost Recurrent Expenditure Total Expenditure
Ratio of Overhead and Personnel Cost to Recurrent Expenditure and Total Expenditure
Overhead and
personnel cost take
about 50% of
recurrent
expenditure and at
least 25% of the
total expenditure
yearly.
Figure 6: Expenditure

20. General public
service
8%
Defense
0%
Public order and
safety
1%
Economic affairs
45%
Environmental
protection
0%
Housing and
community
Health
16%
Recreation,
culture and
religion
1%
Education
25%
Social protection
0%
CAPITAL EXPENDITURE
This functional allocation
of average capital
expenditure from 2013 to
2015 depicts that
economic affairs receive
the most allocation,
followed by the education
and health sector. While
social protection (0.01%)
and defense receives the
least.
Figure 7: Average Capital Expenditure (2013-2015)

21. Budget Estimates of Some Ministries

22. Budget Components 2015 2014 2013
Recurrent Revenue
1,232,559,766 1,514,243,583 6,191,809,078
Capital Receipts
30,000,000,000 30,000,000,000 8,000,000,000
Total Revenue
31,232,559,766 31,514,243,583 14,191,809,078
Recurrent Expenditure
24,230,091,921 27,157,978,945 23,855,667,322
Capital Expenditure
955,000,000 757,300,000 1,068,083,333
Total Expenditure
25,185,091,921 27,915,278,945 24,923,750,655
Ministry of Finance
2013 Budget has the highest percentage of capital expenditure in 3 consecutive years.
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
2015 2014 2013
3.79% 2.71% 4.29%
Figure 8: Expenditure (2013-2015)
Recurrent % Capital %
Table 6: Revenue and Expenditure

23. 0
500,000,000
1,000,000,000
1,500,000,000
2,000,000,000
2,500,000,000
3,000,000,000
3,500,000,000
4,000,000,000
4,500,000,000
Total Revenue Total Expenditure
2015
2014
2013
The Ministry of Agric. and Natural
Resources has consistently allocated
more funds to capital expenditure, while
2015 Budget is the minimum in four
years.
Ministry of Agric And Natural Resources
Year Total Expenditure Recurrent Expenditure Recurrent % Capital Expenditure Capital %
2010 2,124,307,381 351,100,761 16.53 1,773,206,620 83.47
2011 972,368,052 301,805,566 31.04 670,562,486 68.96
2012 3,369,713,628 434,925,204 12.91 2,934,788,424 87.09
2013 4,217,187,573 503,092,696 11.93 3,714,094,877 88.07
2014 1,857,792,997 444,882,697 23.95 1,412,910,300 76.05
2015 1,388,270,955 355,701,799 25.62 1,032,569,156 74.38
Table 7: Expenditure
Figure 9: Revenue and Expenditure

24. 0
500,000,000
1,000,000,000
1,500,000,000
2,000,000,000
2,500,000,000
2010 2011 2012 2013 2014 2015
Ministry of Health
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
Millions
Total Revenue Total Expenditure
Ministry of Health
Both revenue and expenditure continues to increase
nominally, while expenditure exceeds revenue yearly.
Figure 11: Revenue and Expenditure (2010-2015)Figure 10: Overhead and Personnel Cost (2010-2015)

25. Year Total Expenditure Recurrent Expenditure % Capital Expenditure %
2010 132,816,653 130,566,653 98.31 2,250,000 1.69
2011 176,696,096 156,696,096 88.68 20,000,000 11.32
2012 191,720,697 171,720,697 89.57 20,000,000 10.43
2013 442,920,137 382,003,470 86.25 60,916,667 13.75
2014 392,058,927 315,502,418 80.47 76,556,509 19.53
2015 852,001,436 224,576,436 26.36 627,425,000 73.64
There is a consistent increase in
the allocation to capital expenditure
for the provision of infrastructure.
While fees (fees on legal charges,
documents processing fees,
administrative and gazetting fees)
serves as the main source of
revenue for the ministry of justice.
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
2015 2014 2013 2012 2011 2010
3.35% 3.94% 0.61% 0.36%
68.18%
13.56%
Figure 12: Sources of Revenue
Fees % Sales of Revised Law %
Ministry of Justice
Table 8: Expenditure

26. 0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
2015 2014 2013 2012 2011 2010
Recurrent 6.23% 10.45% 11.90% 10.39% 12.95% 10.80%
Capital 93.77% 89.55% 88.10% 89.61% 87.05% 89.20%
Figure 13: Total Expenditure
Ministry of Education and Human Capital Development
Evidently, Capital Expenditure (infrastructures and equipment’s) enjoys a huge share of Ministry of
Education and Human Capital Development’s expenditure.

27. 98.46% 97.94% 96.42% 94.34%
85.94%
95.05%
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
120.00%
2015 2014 2013 2012 2011 2010
Figure 14: Expenditure (2010-2015)
Recurrent Exp. Capital Exp.
Budget Components 2015 2014 2013 2012 2011 2010
Recurrent Revenue 0.03% 0.02% 20.78% 79.33% 0.04% 0.07%
Capital Receipts 99.97% 99.98% 79.22% 20.67% 99.96% 99.93%
Capital Expenditure exceeds
the recurrent expenditure
yearly, while capital receipts
mostly exceed recurrent
revenue for ministry of
planning and economic
development.
Ministry of Planning and Economic Development
Table 9: Revenue

28. Top MDA’s with High Overhead and Personnel Cost
MDA 2010 2011 2012 2013 2014 2015 Average
Government House 3,064,874,085 3,353,989,440 3,786,824,659 4,122,909,988 4,607,889,237 4,024,978,071 3,826,910,913
Governor's Office 2,611,452,659 4,535,400,000 2,510,483,325 2091226889 3,667,012,325 1,190,313,663 2,767,648,144
The Legislature 858,900,000 981,108,356 1,055,326,200 1,153,502,658 1,151,809,083 1,090,087,181 1,048,455,580
Office of Head of
Service
583,907,533 927,101,134 1,354,808,048 1,491,501,500 1,638,861,707 1,455,242,454 1,241,903,729
Ministry of Finance 3,476,519,306 7,055,586,475 6,062,422,661 8,592,667,322 8,377,385,054 12,912,660,674 7,746,206,915
Teaching Service
Commission
3,490,006,867 4,440,443,270 5,787,967,218 5,886,963,494 6,321,571,383 7,041,412,408 5,494,727,440
Ministry of Health 962,386,966 1,375,806,866 2,012,184,957 2,044,495,553 2,185,183,386 2,264,151,671 1,807,368,233
High Court of Justice 374,493,555 486,238,116 462,874,636 594,160,742 612,335,477 763,467,269 548,928,299
Ministry of Finance, Teaching Service Commission and, Government House are the top Spenders.
Table 10: Overhead + Personnel Cost

29. Top five Ministries with the least Overhead and Personnel Allocation
Ministry 2010 2011 2012 2013 2014 2015 Average
Ministry of Energy 39,518,558 37,945,442 47,245,242 78,405,377 68,920,519 58,113,886 55,024,837
Ministry of Industry
and Solid Minerals 21,579,785 26,843,585 41,140,198 34,675,796 31,126,916 20,128,827 29,249,185
Ministry of Water
Resources 35,819,809 36,523,061 54,968,748 60,255,111 62,636,997 68,317,891 53,086,936
Ministry of Women
Affairs 26,154,415 23,192,887 22,629,286 17,780,583 11,715,983 8,096,974 18,261,688
Civil Service
Commission 24,423,922 27,972,662 32,340,329 39,275,382 45,997,462 30,558,178 33,427,989
Ministry of women affairs has the least overhead and personnel allocation in 6 years.
Table 11: Overhead + Personnel Cost

30. Data Source: Kwara State Budget (2011-2015)
Analysis by: Cleopatra Ibukun
cleopatraajila@yahoo.com
+2348060726447
This analysis is based on revised budget estimates, as provided in the Kwara State Budget for
FY2011-FY2015