- okays Tinubu’s request to extend budget implementation to March 2026
The House of Representatives on Tuesday passed the Repeal and Re-Enactment Appropriation Bill approving a revised N43.56 trillion budget framework for the 2024 fiscal year.
The House also passed the revised N48.31tn 2025 budget.
This follows the consideration and adoption of the report of its Committee on Appropriations during a plenary session presided over by Speaker Tajudeen Abbas.
With the approval, it means the House okayed President Bola Tinubu’s request for the extension of the implementation of the capital component of the 2025 budget to March 31, 2026.
Last week, the President transmitted the Appropriation (Repeal and Re-Enactment) Bills for 2024 and 2025.
The Bills propose repealing the existing Appropriation Acts and re-enacting revised expenditure plans that reflect current fiscal realities and execution capacity.
Under the revised figures, the President said the 2024 budget of N35.06 trillion would be replaced with N43.56 trillion, while the 2025 budget of N54.99 trillion would be re-enacted at N48.32 trillion to cover statutory transfers, debt service, recurrent expenditures, and capital development contributions.
For 2025, of the N48.32 trillion, N3.64 trillion is set aside for statutory transfers, N14.31 trillion for debt service, N13.58 trillion for recurrent (non-debt) expenditure, and N16.76 trillion for capital expenditure through development fund contributions.
The President said the move is part of broader fiscal reforms aimed at eliminating overlaps from multiple concurrently running budgets and strengthening planning, execution, and accountability across government expenditure cycles.
The passage of the bill repeals the 2024 and 2025 Appropriation Act and authorises fresh withdrawals from the Consolidated Revenue Fund of the Federation for the year ending 31 December 2025, in line with prevailing fiscal realities and government spending priorities.
The bill, which was considered at the Committee of Supply, was presented by the Chairman of the House Committee on Appropriations, Hon. Abubakar Kabir Abubakar, and subsequently adopted by the House after lawmakers approved its provisions clause by clause.
Bichi told the lawmakers that the committee met with the economy team of the President, comprising Wale Edun, Minister of Finance; Atiku Bagudu, Minister of Budget and Economic Planning; and Tanimu Yakubu, Director-General of the Budget Office of the Federation, to obtain insight into the justification for the repeal and enactment of the 2024 and 2025 Appropriations Act.
Bichi said the repeal and re-enactment of the 2025 budget will balance responsiveness with fiscal responsibility, ensuring that urgent expenditures do not weaken legislative oversight or undermine fiscal freedoms.
He explained that the sum of N16.76 trillion was reduced from the capital allocation and rolled over to the 2026 fiscal year due to funding constraints.
“The initiative is expected to make the budget effective, reducing the expenditure of the governance, giving the anticipated increase in revenue-generating properties in the next fiscal year,” he said.
Bichi admitted that the practice of rolling budget cycles, such as extending the implementation of the 2024 Appropriation Act deep into 2025 while the 2025 budget is in force, undermines budget clarity and weakens fiscal discipline.
Under the approved framework, total expenditure stands at N43,561,041,744,507, comprising N1,742,786,788,150 for statutory transfers, N8,270,960,606,831 for debt service obligations, N11,268,513,380,853 for recurrent expenditure excluding debt, and N22,278,780,968,673 for capital expenditure and development fund contributions.
The statutory transfers include allocations to constitutionally recognised bodies such as the National Judicial Council, Independent National Electoral Commission, National Assembly, Universal Basic Education Commission, Niger Delta Development Commission, North East Development Commission, Basic Health Care Provision Fund, and the National Agency for Science and Engineering Infrastructure, among others.
Debt service obligations, which account for a significant portion of the budget, cover both domestic and foreign debts, including servicing of Ways and Means advances.
Recurrent (non-debt) expenditure was structured to fund the day-to-day operations of Ministries, Departments and Agencies (MDAs), including personnel costs, pensions, overheads, security operations, social investment programmes, and statutory obligations to retirees across civilian and military formations.
According to the approved bill, capital expenditure allocations prioritise infrastructure development, including major highway construction projects, railway modernisation, power infrastructure, agriculture and food security, healthcare delivery, education, housing, and water resources, alongside funding for multilateral and bilateral loan-backed projects.
The bill also provides a clear legal framework for the release and utilisation of funds.
It authorises the Accountant-General of the Federation to disburse funds from the Consolidated Revenue Fund only upon warrants issued by the Minister of Finance, and strictly for purposes specified in the schedule to the Act.
The House further empowered the National Assembly to issue corrigenda to correct errors in project costing, siting or assignment to MDAs, provided such corrections do not alter the total sum appropriated or undermine legislative intent.
The bill mandates all accounting officers of MDAs to submit quarterly reports to the National Assembly detailing internally generated revenue, as well as all foreign and domestic grants or assistance received.
It also requires the Minister of Finance to ensure timely release of appropriated funds and prohibits the deferral of quarterly releases without express legislative waiver.
Additionally, the bill provides for the documentation of excess revenue accruing from crude oil sales above the benchmark price, petroleum profit tax and royalties, with such funds to be expended only upon legislative approval.
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