President Bola Tinubu has arrived at the National Assembly complex to present the 2025 budget proposal to a joint session of lawmakers.
Tinubu arrived at precisely 12:10 pm on Wednesday amidst heavy security arrangements.
This presentation follows the Federal Executive Council’s approval of the 2025 budget proposal on Monday and the Senate’s earlier endorsement of the Medium-Term Expenditure Framework 2025–2027 on November 22.
The proposed budget size of N47.96 trillion remains consistent with the projections outlined in the MTEF. The budget is expected to align with the fiscal strategies and macroeconomic assumptions established in the framework.
Minister of Budget and Economic Planning, Abubakar Bagudu, provided details after the FEC meeting at Aso Rock Villa, Abuja, stating that the budget includes new borrowings of N9.22 trillion. Bagudu highlighted the importance of refining the budget before its formal presentation to the legislature.
“The Federal Executive Council approved the budget proposals 2025 with amendments which Mr President directed following a presentation to the Federal Executive Council led by the Director-General of the Budget Office, Tanimu Yakubu,” Bagudu announced.
He added, “The 2025 framework is based on an oil price benchmark of $75 per barrel, oil production of 2.06 million barrels per day, and an exchange rate of N1,400 to the dollar. All these are already included in the medium-term expenditure framework we have presented here, which has also been approved by the National Assembly.”
The MTEF, a critical fiscal planning tool for the federal government, outlines the macroeconomic assumptions and targets guiding the national budget. It also provides projections of key economic variables, including oil prices, exchange rates, inflation, and GDP growth rates.
For the 2025–2027 period, the MTEF sets the following parameters:
– Oil price benchmark: $75 per barrel
– Oil production target: 2.06 million barrels per day
– Exchange rate: N1,400 to the US dollar
– GDP growth rate: 4.6%
The aggregate expenditure for 2025 is projected at N47.96 trillion, with borrowing planned at N13.8 trillion, equivalent to 3.87% of the GDP.
The presentation marks a crucial step in aligning Nigeria’s fiscal policy for the upcoming year, focusing on economic stability and growth.
