IMPACT OF FUND ADEQUACY ON BUDGET PERFORMANCE: A CASE STUDY OF KWARA STATE GOVERNMENT OF NIGERIA
Governments across the globe are expected to bring effective development to their citizenry through provision of goods and services. However, it is observed that poor budgetary process coupled with poor fund management have hindered the provision of these good and services. This study examines the impact of fund adequacy on budget performance of Kwara State Government. Data from Kwara State Government annual statement from years 1999-2012 were used. The data were analyzed using both descriptive and inferential statistic. The result shows that both grants and value added tax have positive relationship with government capital expenditure while statutory allocation despite constituting the largest chunk of government revenue is negatively related to capital expenditure. Overall, the study recommends among others that to ensure proper budget effectiveness, regular monitoring and evaluation of programmes and projects I critical. Consequently, the study recommends the need to develop an appropriate mechanism to monitor the budget in order to enhance effectiveness in the level of budget achievement.
