Budget and the Performance of Public Enterprises: A Study of Selected Public Enterprises in Nasarawa State Nigeria (2009-2013)

Authors: Dalhatu, Musa Yusha’u, Shuaibu Sidi Safiyanu, Haliru Musa Hussaini

Abstract:

This study examined budget and performance of public enterprises in Nasarawa State, Nigeria in a period of 2009-2013. The study utilized secondary sources of data obtained from four selected parastatals’ budget allocation and revenue generation for the period under review. The simple correlation coefficient was used to analyze the extent of the relationship between budget allocation and revenue generation of the parastatals. Findings revealed varying results. There was positive (0.21) and weak correlation between expenditure and revenue of Nasarawa Investment and Property Development Company (NIPDC). However, the study further revealed that there was strong and weak negative relationship in the revenue and expenditure of the following parastatals over the period under review. Viz: Nasarawa State Water Board, -0.27 (weak), Nasarawa State Broadcasting Service, -0.52 (Strong) and Nasarawa State College of Agriculture, -0.36 (weak). The study therefore, recommends that government should increase its investments in NIPDC to enhance efficiency and profitability. It also recommends that government should strengthen its fiscal responsibility, accountability and transparency in public parastatals.

Keywords: budget, public enterprises, revenue, enterprise