Federal Airport Authority of Nigeria, (FAAN) has proposed a total budget of N101.6 billion for 2019.
The Managing Director, Mr Saleh Dunoma, made the disclosure while defending the 2019 budget proposals of the Authority before the House of Representatives Committee on Aviation on Wednesday in Abuja.
According to him, the Authority is proposing for 2019 a Budget of N101.67 billion as against N88,805,462,776 for 2018 which gives a 14.5 per cent increase.
“This is in anticipation of increase in passenger traffic as well as boost in the non-aeronautical revenue base of the Authority as already highlighted in the 2018 budget performance.
“The total proposed Revenue for 2019 of N101.67 billion is made up of N60.33 billion from the Aeronautical Revenue Sources N26.03 billion from the from the non-aeronautical sources and N16.92 billion as anticipated debts to be recovered.
“The Authority is also proposing a Total Recurrent Expenditure of N58.44 billion with N34.72 billion as Personnel Costs and other related costs, N23.72 billion as overhead costs for 2019.
“A Proposal of N17.82 billion for Capital Budget against N16.78 billion approved for the year 2018.
Donuma said that the 6.2 per cent increase in capital expenditure between 2018 and 2019 is largely as a result of “Planned improvement in Infrastructural development across the airports and efforts in certification with Port Harcourt and Kano International Airports in view for the year 2019″.
“The provisional estimate of N25.42 billion which is 25 per cent of the total revenue is set aside against which the authority will be making quarterly interim remittances pending the audit of financial statements in determining the final operating surplus as stipulated by the Fiscal Responsibility Act.”