Cabinet okays N47.9tr budget for 2025

The Federal Executive Council (FEC) presided over by President Bola Tinubu on Thursday approved a proposed budget of N47.9 trillion for 2025.

This was disclosed by Minister of Budget and Economic Planning, Atiku Bagudu, at the end of Council meeting held at the Presidential Villa, Abuja.

The approval, it was disclosed, is part of the Medium Term Expenditure Framework (MTEF) for 2025-2027, in accordance with the Fiscal Responsibility Act of 2007.

According to the minister, the Council pegged the price of crude oil at $75; exchange rate at N1400 to 1$ and oil production of 2.06million barrels per day.

He added that with the growth rate of 3.19% which comes in the second quarter of 2024, the Federal government will continue to tackle inflation, strengthen economic resilience and provide more support for the economy.

He said, “It also included a review of the 2024 budget implementation, where it acknowledged that a review of the implementation of development 2024 budget reviews promising progress in revenue collection and expenditure management, despite lags in pro rated targets, the overall trajectory So shows that fiscal efforts are on track these key non oil streams performing better than anticipated.

“Equally It included parameters for the 2025- 2027 medium term fiscal framework, which include an oil price benchmark of $75 barrel for 2025 oil production of 2.0 6 million barrels a day, as well as an exchange rate of 1400 Naira to $1 and GDP growth of 4.6% the expected that for 2025, the federal government budget estimate is the aggregate expenditure is estimated at 47 trillion, and this includes a borrowing of 13. 8 trillion, which is 3.87% of estimated and it includes projections.

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“Especially for the first time, provisions of contribution to the development commissions that have been passed by the National Assembly who are in the process of being passed by the National Assembly.”

Bagudu also noted that FEC approved the 2025-2027 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Papers (FSP).

He said the executive will put efforts in place to ensure the 2025 budget is passed and signed before December 2024.

He also noted that significantly Nigeria’s economy has turned in the right direction, achieving the gross positive growth rate in economic stability.

The minister further disclosed that the Council also reviewed the 2024 budget implementation,adding that this included promising progress in revenue collection and expenditure management.

“It also included a review of the 2024 budget implementation, where it acknowledged that a review of the implementation of 2024 budget reviews promising progress in revenue collection and expenditure management, despite lags in pro rated targets, the overall trajectory So shows that fiscal efforts are on track these key non oil streams performing better than anticipated,” he said.

Bagudu added that the federal government is working to ensure a January-December budget circle.