FEC Approves N47.9trn For 2025 Budget

By Adedapo Adesanya

The Federal Executive Council (FEC) has approved a proposed national budget of N47.9 trillion for the 2025 fiscal year.

The Minister of Budget and Economic Planning, Mr Atiku Bagudu, disclosed this on Thursday while briefing State House correspondents after the FEC meeting presided over by President Bola Tinubu.

This was part of the Medium-Term Expenditures Framework, MTEF, for 2025 to 2027 and in line with the Fiscal Responsibility Act of 2007.

During the meeting, the FEC approved its submission to the National Assembly as required by the 2007 Fiscal Responsibility Act.

The framework projected a gross domestic product (GDP) growth rate of 4.6 percent, an exchange rate of $75 to the naira, and oil production of 2.06 million barrels per day.

At N47.9 trillion, this is more than 74 per cent of the initial 27.5 trillion planned for the 2024 fiscal year by the President Bola Tinubu administration.

However, Nigeria’s 2024 budget titled Budget of Renewed Hopewas boosted to N28.7 trillion and was signed into law by President Tinubu on January 1, 2024, after it was increased by the National Assembly by N1.2 trillion.

The federal government proposed to raise N18.32 trillion in revenue. This includes N7.68 trillion from oil, N4.07 trillion from government-owned enterprises, N3.52 trillion from non-oil taxes, N1.91 trillion from independent revenue, N4.55 billion from minerals and mining, and N1.13 trillion from other sources.

The budget expenditure included N9.92 trillion in non-debt recurrent expenditure, N7.72 trillion in capital expenditure N8.25 trillion in debt service, N1.37 trillion in statutory transfer, and N243.66 billion in sinking fund.

The budget is expected to be passed to the National Assembly where it will be scrutinised before passage with less than 50 days to the end of the year.