The Minister of Budget and Economic Planning, Senator Abubakar Bagudu, has assured the National Assembly that President Bola Tinubu’s economic reforms are yielding positive results, positioning Nigeria’s economy on a path to recovery and sustained growth.
Speaking before the Joint National Assembly Committee on National Planning, chaired by Senator Yahaya Abdullahi, Bagudu stated that the Tinubu administration remains committed to its economic trajectory and innovative financing strategies to fund the 2025 financial plans.
“President Bola Tinubu has steered the economy in the right direction, and we are determined to stay the course,” he said. “Under the leadership of President Bola Tinubu, and with your support, our economy has turned the bend and is facing the right direction. The Renewed Hope Agenda strategy of once and for all confronting our decades of under-investment is working, and the positive trajectory is being sustained.”
Bagudu highlighted significant achievements, including three consecutive quarters of GDP growth exceeding 3%, a notable contrast to growth rates in industrialised nations, which remain below 1%. He also pointed to the reduction of the fiscal deficit from over 6.1% in 2023 to below 4% in 2024, improved liquidity for states and local governments through increased FAAC allocations, and global recognition of Nigeria’s economic reforms by business leaders and rating agencies.
“With the elimination of forex and fuel subsidies, among other reforms, the increase [in FAAC allocations] shall be sustained,” Bagudu added.
Bagudu emphasised that the Federal Ministry of Budget and Economic Planning is intensifying efforts to secure innovative financing to deliver critical infrastructure under the Renewed Hope Agenda and Agenda 2050 strategies.
“As the chief marketer of the Renewed Hope Agenda and Agenda 2050 strategies, the Federal Ministry of Budget and Economic Planning is poised to intensify its innovative financing to take forward the delivery of the Renewed Hope infrastructure, including housing, roads, and railways,” he said.
The minister outlined plans to increase crude oil production beyond 2.06 million barrels per day, reduce production costs, and raise funds for key programmes, such as the Renewed Hope Infrastructure Fund, Consumer Credit, National Agriculture Development Fund, CNG Energy Transition, Mortgage Fund, Student Loans Fund, and support for Nano and MSMEs.
Bagudu urged lawmakers to pass tax reform bills, stressing their importance in achieving the government’s 18% revenue-to-GDP target and funding critical projects. “There would be more spending with more revenues,” he assured.
He also highlighted the ministry’s success in fostering bilateral and multilateral partnerships, noting that Nigeria signed multiple high-impact agreements in 2024 with nations including China, the UK, Japan, the UAE, and Saudi Arabia. These agreements have strengthened relations and scaled up development cooperation.
The minister commended the National Bureau of Statistics, led by Dr Adeyemi Adeniran, for consistently providing timely and accurate economic data despite funding challenges. He revealed that the agency is concluding its GDP rebasing project using 2019 prices, which will further enhance the credibility of Nigeria’s economic statistics.
Bagudu also thanked the National Assembly for approving budgetary allocations for the ministry’s four parastatals, enabling them to deliver on their mandates and contribute to the nation’s economic growth.
Concluding his presentation, Bagudu reaffirmed the Tinubu administration’s focus on inclusive economic growth. “The reform strategy has enhanced the liquidity of the sub-nationals — states and local governments. With your support, we will generate substantial revenue to fund critical infrastructure and ensure the Renewed Hope Agenda delivers meaningful progress for Nigerians.”