A review of the proposed 2025 budget for Cross River State has revealed a controversial allocation of funds for the renovation and furnishing of the governor’s residences. Despite the state’s ongoing economic challenges, a total of N400 million has been earmarked for the renovation and furnishing of the Governor’s residence and lodge in the upcoming year.
The 2025 budget allocates N100 million for the renovation of the governor’s residence, following the N2 billion already spent on the same project in 2024. Additionally, another N100 million has been set aside for the furnishing of the Governor’s residence, while the renovation and furnishing of the governor’s lodge are each expected to cost another N100 million, despite N500 million being spent on the same in 2024.
Cross River State has a history of high spending on its governors’ lodges and residences. In 2024, the state allocated N500.5 million for the furnishing of the Governor’s lodge, and an additional N5.5 billion was spent on purchasing SUVs, Prado Jeeps, and Hyundai Elantras for government officials between January and September 2024. Furthermore, another N9.6 billion was used to purchase similar vehicles for ministries, departments, and agencies.
These substantial expenditures are particularly concerning given the state’s significant poverty challenges. According to the National Bureau of Statistics, Cross River State has 1.9 million people living in poverty, with 36% of children lacking access to education. Additionally, 82% of households in the state lack sanitary facilities, and 81% do not have access to clean drinking water.
The prioritization of lavish renovations in the face of such poverty has sparked concerns about the state’s fiscal management, particularly when considering its heavy reliance on loans to fund its budget. As of June 2024, Cross River State owed N155.4 billion domestically, with an additional $210 million in external debt. The reliance on loans often results in high debt servicing costs, which critics argue contribute to poor development and infrastructure in the state.
The heavy spending on the governor’s residence and lodge, despite the state’s dire economic situation, raises questions about the allocation of public funds and the prioritization of government projects in Cross River State.