The Federal Government on Monday approved the 2025 budget proposal, setting the stage for President Bola Tinubu to present the N47.96 trillion budget to a joint session of the National Assembly on Wednesday, December 18, 2024.
The presentation, initially scheduled for Tuesday, was postponed to allow the executive arm to make final adjustments. The postponement was confirmed by a top National Assembly official and corroborated by Minister of State for Agriculture, Sabi Abdullahi.
Speaking to journalists, Abdullahi explained, *“The budget presentation has been postponed from Tuesday to Wednesday. The executive just needs to make one or two adjustments to the budget.”*
The 2025 budget proposal aligns with the fiscal strategies outlined in the Medium-Term Expenditure Framework (MTEF) 2025-2027, which was approved by the National Assembly on November 22, 2024. The MTEF sets key economic parameters, including:
– Oil price benchmark: **$75 per barrel**
– Oil production target: **2.06 million barrels per day**
– Exchange rate: **₦1,400 per US dollar**
– GDP growth rate: **4.6%**
The proposed total expenditure for 2025 is **₦47.96 trillion**, with a deficit of **₦13.13 trillion** (3.89% of GDP) and new borrowings of **₦9.22 trillion**, according to Minister of Budget and Economic Planning, Abubakar Bagudu.
Bagudu emphasized that the government remains committed to maintaining the January-December budget cycle despite the slight delay in presentation. He explained that the late signing of the budget would not disrupt implementation, citing constitutional provisions that allow expenditure to continue if the budget is not passed by year-end.
Regarding revenue projections, the 2025 framework estimates total revenue at **₦34.82 trillion**, representing a 36.8% increase from the 2024 figures.
Bagudu expressed optimism about achieving the 2.06 million barrels-per-day crude oil target, citing significant discoveries in regions like Kolmani and Nasarawa. He assured that President Tinubu would hold stakeholders accountable to meet the outlined economic goals.
On the 2024 budget performance, Bagudu reported that as of September 30, 2024, revenue inflows reached **₦14.55 trillion**, representing 75% of the pro-rated target. He highlighted robust non-oil revenue streams and the impact of petroleum sector deregulation as key drivers.
Bagudu further noted:
– **Debt servicing**: 100% performance
– **Personnel and pensions**: 100% performance
– **Capital expenditure**: 51% utilization
The forthcoming budget presentation marks another critical step in Tinubu’s fiscal strategy, with the National Assembly expected to expedite its review and approval to ensure timely implementation.
