By John Joseph
Kindly share this news
Nigeria’s Minister of Budget and Economic Planning, Atiku Bagudu, has announced that the Federal Government has proposed a budget of N47.9 trillion for the 2025 fiscal year.
This proposal was made after the Federal Executive Council (FEC) meeting, which was chaired by President Bola Tinubu.
The proposed budget is part of the Medium-Term Expenditure Framework (MTEF) for 2025-2027, which was approved at the FEC meeting.
The MTEF has new borrowings of N9.22 trillion to finance the budget deficit in 2025.
According to Bagudu, the government has pegged the crude oil benchmark at $75 per barrel, with an oil production target of 2.06 million barrels per day (bpd). The budget also sets the exchange rate at N1,400 per dollar and aims for a gross domestic product (GDP) growth rate of 6.4%.
The Minister emphasized that the government aims to sustain the commendable market deregulation of petroleum prices and the exchange rate. He also stated that the government will compel the Nigerian National Petroleum Corporation Limited to significantly lower its oil and gas production costs.
Furthermore, the government may amend relevant sections of the Petroleum Industry Act 2021 to address key risks to the Federation. The proposed budget is expected to be presented to the National Assembly for approval.
The Federal Executive Council’s approval of the proposed budget is a significant step towards ensuring that the government’s plans and projects are adequately funded. The proposed budget’s focus on sustaining market deregulation, reducing production costs, and addressing key risks to the Federation is expected to have a positive impact on the economy.
As the proposed budget makes its way through the National Assembly, Nigerians will be watching closely to see how the government’s plans will affect the economy and their daily lives.
Kindly share this news!!!