This analysis is based on Kwara State's revenue and expenditure allocations

1. ANALYSIS OF THE REPORT OF THE
ACCOUNTANT - GENERAL
KWARA STATE OF NIGERIA

2. INTRODUCTION
It is through the government budget that policies and commitments to
citizens can be implemented and delivered.
This document summarizes and provides relevant highlights of the
Accountant-Generals Report from year 2012 to 2014.

3. THIS DOCUMENT HAS TWO MAIN SECTIONS
Revenue Expenditure

4. CONTENTS
Revenue
• Revenue Analysis and performance (2012-2014)
• Sources of Revenue
• Revenue Allocation Trend (2003-2014)
• Trend Analysis of statutory allocations (2003-2014)
➢ Recurrent Revenue
• IGR
• FACC
➢ Capital Receipts
• Performance of capital receipts (2012-2014)
Expenditure
• Average total expenditure (2003-2014)
➢ Recurrent Expenditure
• Performance of recurrent expenditure (2012-2014)
➢ Capital Expenditure
• Performance of capital expenditure (2012-2014)
• Capital Expenditure based on sectors
• Capital Expenditure based on some ministries

5. REVENUE
Revenue is an inflow of resources or money into the government sector
from other economic units/sectors.
Major Components of Revenue
Recurrent
Revenue
Capital
Receipts

6. Year Budget Component Actual Budgeted Performance Variance
2014 Recurrent Revenue 49,055,170,726.47 57,505,529,971.00 85.31% 8,450,359,244.53
Capital Receipts 25,860,872,538.67 58,095,742,303.00 44.51% 32,234,869,764.33
Other Revenue Sources 4,537,028,559.31 0.00 100.00% 4,537,028,559.31
Total Revenue 79,453,071,824.45 115,601,272,274.00 68.73% 36,148,200,449.55
2013 Recurrent Revenue 54,859,586,154.53 65,353,533,614.00 83.94% 10,493,947,459.47
Capital Receipts 22,064,583,946.42 35,280,514,035.00 62.54% 13,215,930,088.58
Total Revenue 76,924,170,100.95 100,634,047,649.00 76.44% 23,709,877,548.05
2012 Recurrent Revenue 50,835,478,643.34 54,140,273,711.00 93.90% 3,304,795,067.66
Capital Receipts 25,661,273,310.20 32,223,075,871.00 79.64% 6,561,802,560.80
Total Revenue 76,496,751,953.54 86,363,349,582.00 88.58% 9,866,597,628.46
REVENUE ANALYSIS AND PERFORMANCE (2012-2014)
2014 has the lowest revenue performance in three years
Table 1: Performance of Total Revenue

7. THE KWARA STATE REVENUE IS MADE UP OF
THE FOLLOWING SOURCES
Statutory
Allocation
Internally
Generated
Revenue (IGR)
Value Added Tax
(VAT)
Internal and
External Loans
Grants and
Reimbursement
Other Sources

8. REVENUE ALLOCATION (2003-2014)
Year
Statutory
Allocation
IGR VAT
Internal
&External
Loans
Grant &
Reimbursement
Others
2003 70.43% 11.72% 9.34% 4.34% 3.59% 0.59%
2004 73.21% 10.44% 8.18% 5.35% 2.55% 0.26%
2005 56.79% 10.13% 6.63% 16.30% 9.33% 0.82%
2006 57.94% 10.85% 7.57% 5.47% 17.35% 0.81%
2007 46.41% 9.17% 7.09% 24.87% 11.87% 0.58%
2008 44.40% 28.26% 6.65% 3.42% 16.28% 0.99%
2009 36.96% 10.39% 7.52% 29.99% 15.14% 0.00%
2010 57.23% 16.25% 11.98% 3.62% 10.92% 0.00%
2011 50.55% 13.19% 9.20% 12.21% 10.55% 4.29%
2012 49.92% 14.79% 8.78% 18.63% 7.88% 0.00%
2013 50.32% 17.99% 9.80% 9.57% 9.17% 3.15%
2014 43.74% 18.00% 9.36% 17.37% 5.82% 5.71%
Average 53.16% 14.27% 8.51% 12.60% 10.04% 1.43%
The major source of Kwara State revenue is statutory allocations which has contributed an
average of 53% in 12 years, followed by internally generated revenue and loans.
Table 2: Sources of Total Revenue

9. IGR has consistently increased and reached its peak contribution of 28%
in 2008 but it has contributed an average of 14% to total revenue yearly.
VAT has averagely contributed 8.5% in 12 years, while the revenue
generated from internal and external loans have been fluctuating year in
year out.
The trend analysis shows that years (2007, 2009, 2012, and 2014) when
the statutory allocation is below 50% of the total revenue, internal and
external loans contributes more than 17% to the total revenue.

10. 0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Statutory allocations which was above 70% of the total revenue in 2003 and 2004
consistently fell and amounted to about 44% of the total revenue in 2014.
TREND ANALYSIS OF STATUTORY ALLOCATIONS
Figure 1: Statutory Allocation

11. RECURRENT REVENUE
Components of the Recurrent Revenue
Internally
Generated
Fund
Statutory
Allocations
from
Federation
Account
Excess Crude
Account
This is the amount of money received by the government that is predictable, stable and
can be counted on to continue in the future. It is the day-to-day revenue expected by the
government.

12. 60.00%
65.00%
70.00%
75.00%
80.00%
85.00%
90.00%
95.00%
2014 2013 2012
Recurrent Revenue (2012-2014)
In total, FY2012 performed
better than 2013 and 2014 in the
area of recurrent revenue.
Table 3: Recurrent Revenue
Year Actual Budgeted Variance
2014 49,055,170,726.47 57,505,529,971.00 8,450,359,244.53
2013 54,859,586,154.83 65,353,533,614.00 10,493,947,459.17
2012 50,835,478,643.34 54,140,273,711.00 3,304,795,067.66
Figure 2: Budget Performance of Recurrent Revenue

13. Internally Generated Revenue (2012-2014)
Year Actual Budgeted Variance Variance %
2012 11,317,269,584.36 15,140,273,711.00 3,823,004,126.64 25.25
2013 13,838,085,972.21 15,227,318,485.00 1,389,232,512.79 9.12
2014 14,302,185,382.79 14,855,529,971.00 553,344,588.21 3.72
Figure 3: Budget performance of Internally Generated Revenue
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
2012 2013 2014
The variance between the
actual year and the budgeted
has consistently reduced,
therefore FY2014 performed
better (96.3%) than other
years with Internally
Generated Revenue.
Table 4: IGR

14. Statutory Allocations And Excess Crude Account from Federal Account (2012-2014)
2014 2013 2012
81.48% 81.84% 101.33%
FIGURE 4: BUDGET PERFORMANCE
These allocations are shown to have reduced from 101% performance in 2012, to 87% in 2013 and 81% in 2014.
Table 5: FACC
Year Actual Budgeted Variance Variance %
2014 34,752,985,343.68 42,650,000,000.00 7,897,014,656.32 18.52
2013 41,021,500,182.32 50,126,215,128.00 9,104,714,945.68 18.16
2012 39,518,209,058.98 39,000,000,000.00 518,209,058.98 1.33

15. 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.
Sources of Capital Receipts
Internal
Sources
Capital Grants
Internal LoansExternal Loans
Internal Sources consists
of Value Added Tax
(VAT) and Transfer from
Consolidated Revenue
Fund.

16. Capital Receipts Performance (2012-2014)
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
44.51%
62.54%
79.64%
2014 2013 2012
2014 budget performance on capital receipts is below 50% and it is the lowest in 3
years. The major reason being the inability to access a 30 billion naira bond in the
capital market.
Figure 5: Capital receipts

17. EXPENDITURE
This is the total amount of money that a government spends in a period
of time (usually a year)
Types of Expenditures
Total Expenditure
Recurrent
Expenditure
Capital
Expenditure

18. Average Total Expenditure (2003-2014)
13.60%
21.62%
10.86%
3.84%
14.85%
3.11%
32.12%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
Personnel Costs
Recurrent Costs
Consolidated Revenue
Fund Charges
Parastatals Retained
Earnings
Loan Repayments
Other Expenditures
Capital Expenditure
An average of 32% is spent yearly on capital expenditure, while recurrent costs takes up an average of 22% of
the total expenditure between 2003 and 2014.
Figure 6: Average total Expenditure

19. Recurrent Expenditure
This is the payment made by the government on wages, salaries, traveling expenses and the purchase of
goods and services.
Components of Recurrent Expenditure
Recurrent
Expenditure
Personnel
Costs
Overhead Costs
Consolidated
Revenue Fund
Charges
Parastatals
Retained
Earnings
Loan
Repayments
Other Recurrent
Payment/Expen
diture

20. Performance of Recurrent Expenditure (2012-2014)
Year Budget Component Actual Budgeted Performance Variance
2014 Personnel Cost 13,062,307,927.44 12,642,096,471.00 103.32% 420,211,456.44
Overhead Cost 13,087,454,711.71 21,093,714,634.00 62.04% 8,006,259,922.29
Others 17,658,161,741.84 17,169,613,920.00 102.85% 488,547,821.84
Total Recurrent Expenditure 43,807,924,380.99 50,905,425,025.00 86.06% 7,097,500,644.01
2013 Personnel Cost 11,358,634,392.08 11,327,494,685.00 100.27% 31,139,707.08
Overhead Cost 18,402,843,553.35 19,345,115,957.00 95.13% 942,272,403.65
Others 27,654,371,697.12 29,754,707,844.00 92.94% 2,100,336,146.88
Total Recurrent Expenditure 57,415,849,642.55 60,427,318,486.00 95.02% 3,011,468,843.45
2012 Personnel Cost 10,417,912,421.11 10,962,248,863.00 95.03% 544,336,441.89
Overhead Cost 14,642,727,180.25 15,779,743,143.00 92.79% 1,137,015,962.75
Others 25,403,244,245.37 27,398,281,705.67 92.72% 1,995,037,460.30
Total Recurrent Expenditure 50,463,883,846.73 54,140,273,711.67 93.21% 3,676,389,864.94
There is a reduction in the performance of recurrent expenditure from 93% in 2012 to 86% in 2014.
Table 6: Recurrent Expenditure

21. Capital Expenditure
This is the amount spent by the government to purchase, upgrade or improve long-term assets such as
equipment’s or buildings.
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
There has been a decline in the actual expenditure on capital projects since 2009, with 2014 capital expenditure being the
lowest. Just 19.5% of the total expenditure was expended on capital projects in that financial year.
Figure 7: Actual Capital Expenditure as a fraction of Actual Total Expenditure (2003-2014)

22. Budget performance of Capital Expenditure (2012-2014)
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
2014 2013 2012
28.63%
51.60%
74.69%
2014 experienced the lowest performance (29%) in the area of capital expenditure due
to the non-accessibility of the expected bond from the capital market to finance capital
projects and low allocation from the federal account.
Figure 8: Capital Expenditure

23. Actual Capital Expenditure Sector by Sector
Year Budget Component Actual Percentage
2014 Economic Sector 7,573,823,878.58 50.47
Social Service Sector 1,347,977,905.23 8.98
Law and Justice Sector 5,000,000.00 0.03
Regional Development Sector 0.00
Administrative Sector 1,454,477,109.63 9.69
Funded from Aids and Grants 4,626,235,234.30 30.83
Total 15,007,514,127.74 100.00
2013 Economic Sector 9,006,676,963.55 43.41
Social Service Sector 7,590,125,670.19 36.58
Law and Justice Sector 0.00
Regional Development Sector 612,245,689.69 2.95
Administrative Sector 3,537,560,374.51 17.05
Funded from Aids and Grants 0.00
Total 20,746,608,697.94 100.00
2012 Economic Sector 11,793,957,342.31 49.01
Social Service Sector 7,610,278,006.70 31.62
Law and Justice Sector 0.00
Regional Development Sector 1,533,364,503.52 6.37
Administrative Sector 3,129,122,258.41 13.00
Funded from Aids and Grants 0.00
Total 24,066,722,110.94 100.00
At least 40% of capital expenditure is spent on the economic sector.
Table 7: Average total Expenditure

24. Capital Expenditure Based on Some Ministries

25. Ministry of Agriculture and Natural Resources
Year Actual Budgeted Variance Variance %
2012 341,706,654.47 2,934,788,424.00 2,593,081,769.53 88.36
2013 565,332,824.11 3,523,676,127.00 2,958,343,302.89 83.96
2014 360,994,694.02 1,412,910,300.00 1,051,915,605.98 74.45
11.64%
16.04%
25.55%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
2012 2013 2014
Figure 9: Capital Expenditure Performance (2012-2014)
The capital
expenditure
performance for the
Ministry of Agric.
And Natural
Resources
increases every
year.
Table 8: Capital Expenditure

26. Ministry of Environment and Forestry
Year Actual Budgeted Variance Variance %
2012 58,953,575.97 96,088,434.00 37,134,858.03 38.65
2013 147,641,303.77 295,113,467.00 147,472,163.23 49.97
2014 25,558,775.00 190,000,000.00 164,441,225.00 86.55
61.35%
50.03%
13.45%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
2012 2013 2014
Figure 10: Capital Expenditure Performance (2012-2014)
Ministry of Environment and Forestry performed just 13.5% of their budget in 2014, which is the lowest in three years.
Table 9: Capital Expenditure

27. Ministry of Commerce and Cooperative
Year Actual Budgeted Variance Variance %
2012 274,125,527.44 336,961,583.00 62,836,055.56 18.65
2013 151,646,000.00 283,000,000.00 131,354,000.00 46.41
2014 0.00 183,500,000.00 183,500,000.00 100.00
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
2012 2013 2014
81.35%
53.59%
0.00%
Figure 11: Capital Expenditure Performance (2012-2014)
There was no actual capital expenditure recorded for the ministry of commerce and
cooperative in 2014, hence a decline in performance.
Table 10: Capital Expenditure

28. Ministry of Transport and Works
Year Actual Budgeted Variance Variance %
2012 8,057,973,860.84 8,946,010,377.00 888,036,516.16 9.93
2013 6,573,025,861.12 10,508,385,656.00 3,935,359,794.88 37.45
2014 5,383,652,259.47 10,662,278,838.00 5,278,626,578.53 49.51
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
2012 2013 2014
90.07%
62.55%
50.49%
Figure 12: Capital Expenditure Performance (2012-2014)
There is a fall in
the performance
of capital
expenditure of the
ministry of
transport from
2012 to 2014
Table 11: Capital Expenditure

29. Ministry of Industry and Solid Minerals
Year Actual Budgeted Variance Variance %
2012 27,270,000.00 30,960,000.00 3,690,000.00 11.92
2013 9,505,000.00 32,600,000.00 23,095,000.00 70.84
2014 0.00 38,700,000.00 38,700,000.00 100.00
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
88.08%
29.16%
0.00%
Figure 13: Capital Expenditure Performance (2012-2014)
2012
2013
2014
Ministry of Industry and Solid Minerals had no actual capital expenditure in 2014, hence a decline in capital expenditure.
Table 12: Capital Expenditure

30. Ministry of Energy
Year Actual Budgeted Variance Variance %
2012 825,442,186.26 2,256,337,537.00 1,430,895,350.74 63.42
2013 529,570,471.97 1,138,805,000.00 609,234,528.03 53.50
2014 390,554,486.10 3,661,405,240.00 3,270,850,753.90 89.33
36.58%
46.50%
10.67%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
50.00%
2012 2013 2014
Figure 14: Capital Expenditure Performance (2012-2014)
Ministry of
Energy’s 2014
expenditure
experienced the
lowest capital
expenditure
performance in
three years
Table 13: Capital Expenditure

31. Ministry of Education and Human Capital Development
Year Actual Budgeted Variance Variance %
2012 4,101,273,014.06 4,198,207,561.00 96,934,546.94 2.31
2013 1,879,901,749.70 5,125,496,724.00 3,245,594,974.30 63.32
2014 216,779,700.00 5,410,716,271.00 5,193,936,571.00 95.99
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
2012 2013 2014
97.69%
36.68%
4.01%
Figure 15: Capital Expenditure Performance (2012-2014)
The capital
expenditure of
Ministry of Education
and Human Capital
Development
experienced the lowest
capital expenditure
performance in 2014
Table 14: Capital Expenditure

32. Ministry of Health
Year Actual Budgeted Variance Variance %
2012 3,194,774,813.03 3,362,217,116.00 167,442,302.97 4.98
2013 4,218,939,979.60 5,363,845,960.00 1,144,905,980.40 21.34
2014 858,079,189.16 2,177,354,194.00 1,319,275,004.84 60.59
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
2012 2013 2014
Performance 95.02% 78.66% 39.41%
Figure 16: Capital Expenditure Performance (2012-2014)
Ministry of Health has its lowest capital expenditure in 2014, hence a decline in capital expenditure performance.
Table 15: Capital Expenditure

33. Ministry of Information and Communication
Year Actual Budgeted Variance Variance %
2012 203,375,655.00 364,450,250.00 161,074,595.00 44.20
2013 77,226,250.00 300,000,000.00 222,773,750.00 74.26
2014 69,078,184.87 355,800,000.00 286,721,815.13 80.59
55.80%
25.74%
19.41%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
2012 2013 2014
Figure 17: Capital Expenditure Performance (2012-2014)
The performance
of Ministry of
Information and
Communications
capital
expenditure
reduced every
year.
Table 16: Capital Expenditure

34. Ministry of Social Development, Culture and Tourism
Year Actual Budgeted Variance Variance %
2012 19,297,500.00 57,312,413.00 38,014,913.00 66.33
2013 2,000,000.00 25,500,000.00 23,500,000.00 92.16
2014 1,000,000.00 41,153,807.00 40,153,807.00 97.57
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
2012 2013 2014
Performance 33.67% 7.84% 2.43%
Figure 18: Capital Expenditure Performance (2012-2014)
The capital
expenditure
performance for the
Ministry of Social
Development,
Culture and Tourism
reduced every year.
Table 17: Capital Expenditure

35. Ministry of Women Affairs
Year Actual Budgeted Variance Variance %
2012 3,223,651.50 10,403,652.00 7,180,000.50 69.01
2013 0.00 17,000,000.00 17,000,000.00 100.00
2014 3,750,000.00 14,950,000.00 11,200,000.00 74.92
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
30.99%
0.00%
25.08%
Figure 19: Capital Expenditure Performance (2012-2014)
2012
2013
2014
Ministry of Women Affairs has its lowest capital expenditure performance in 2013.
Table 18: Capital Expenditure

36. Ministry of Sports and Youth Development
Year Actual Budgeted Variance Variance %
2012 88,333,373.11 143,473,549.00 55,140,175.89 38.43
2013 93,923,648.38 120,296,000.00 26,372,351.62 21.92
2014 5,746,672.27 530,470,586.00 524,723,913.73 98.92
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
2012 2013 2014
Performance 61.57% 78.08% 1.08%
Figure 20: Capital Expenditure Performance (2012-2014)
Ministry of Sports and Youth Development has its lowest capital expenditure in 2014, hence a decline in capital
expenditure performance.
Table 19: Capital Expenditure

37. Ministry of Water Resources
Year Actual Budgeted Variance Variance %
2012 1,44,646,265.77 2,928,195,395.00 1,483,549,129.23 50.66
2013 612,245,689.69 1,949,519,699.00 1,337,274,009.31 68.60
2014 360,795,086.23 2,841,367,900.00 2,480,572,813.77 87.30
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
50.00%
2012 2013 2014
49.34%
31.40%
12.70%
Ministry of Water Resources
experiences a decline in
capital expenditure
performance from 49% in
2012 to 12.7% in 2014.
Table 20: Capital Expenditure
Figure 21: Capital Expenditure Performance (2012-2014)

38. Ministry of Housing and Urban Development
Year Actual Budgeted Variance Variance %
2012 88,318,237.75 138,518,238.13 50,200,000.38 36.24
2013 0.00 173,000,000.00 173,000,000.00 100.00
2014 7,805,000.00 235,495,628.00 227,690,628.00 96.69
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
2012 2013 2014
63.76%
0.00% 3.31%
Figure 22: Capital Expenditure Performance (2012-2014)
Ministry of Housing and Urban Development has its lowest performance on capital expenditure in 2013.
Table 21: Capital Expenditure

39. Ministry of Finance
Year Actual Budgeted Variance Variance %
2012 2,208,485,537.33 1,062,980,152.00 1,145,505,385.33 107.76
2013 1,029,959,502.45 1,068,083,333.00 38,123,830.55 3.57
2014 457,856,727.31 757,300,000.00 299,443,272.69 39.54
0.00%
50.00%
100.00%
150.00%
200.00%
250.00%
2012 2013 2014
207.76%
96.43%
60.46%
Figure 23: Capital Expenditure Performance (2012-2014)
Ministry of
Finance has its
lowest actual
capital expenditure
in 2014, hence a
decline in capital
expenditure
performance.
Table 22: Capital Expenditure

40. Data Source: Kwara State Report of the Accountant-General (2012-2014)
Analysis by: Cleopatra Ibukun
cleopatraajila@yahoo.com
+2348060726447

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