The Gombe State Government in northeast Nigeria has prioritised workers’ welfare in its 2025 budget, allocating ₦32.245 billion, or 8.71% of the ₦369.9 billion budget, for salary payments.
Commissioner for Finance and Economic Development, Muhammad Magaji, announced the figures during a budget breakdown in Gombe. He attributed the 10.31% increase in personnel costs from ₦29.22 billion in 2024 to the implementation of the new ₦70,000 minimum wage.
Overhead costs were allocated ₦38.08 billion, representing 10.29% of the total budget—a 22.72% increase from 2024. Debt servicing accounts for ₦37.22 billion, or 10.02% of the budget, marking an 18.08% rise from ₦31.52 billion in the previous year.
Magaji reassured residents that the debt servicing ratio remains well within the acceptable range set by Nigeria’s Debt Management Office, which permits states to borrow up to 40% of their budgets.
“At 10%, Gombe is managing its finances responsibly, borrowing only for capital projects to enhance infrastructure and public services,” he said.
The state plans to generate ₦25.66 billion in internally generated revenue (IGR), a 2.4% increase over its 2024 target.
The 2025 budget dedicates 31.36% to recurrent expenditures, while 68.64% is earmarked for capital projects, reflecting the government’s focus on development. Key allocations include infrastructure (22.82%), Water and Sanitation (15.62%), education (15.14%), health (9.14%), agriculture (5.40%), and other sectors (31.88%).
Magaji noted that the allocations balance workers’ welfare, infrastructure development, and debt management, aligning with the government’s vision for sustainable growth.
