…As NASS extends 2024 capital budget to June 2025
By Haruna Salami
President Bola Tinubu has presented the 2025 of N47.9 trillion with security, health, education taking the lion share of the allocation.
Christened “budget of restoration”, Tinubu said the 2025 budget proposal reinforces his administration’s “roadmap to secure peace, prosperity, and hope for a greater future for our beloved nation”.
The budget is promised on 2.06 million barrels per day of crude oil production, exchange rate of N1,500 to $1 USD, inflation rate of 15% from current 34%.
Highlights of the 2025 budget allocations:
Defence and Security: N4.91 trillion
Infrastructure: N4.06 trillion
Health: N2.48 trillion
Education: N3.52 trillion
According to the President, the implementation of the 2025 budget, “our steps are deliberate, our decisions resolute, and our priorities are clear. This budget reflects a renewed commitment to strengthening the foundation of a robust economy, while addressing critical sectors essential for the growth and development we envision”.
He said security is the foundation of all progress, and as such government has “significantly increased funding for the military, paramilitary, and police forces to secure the nation, protect our borders, and consolidate government control over every inch of our national territory”.
“The government will continue to provide our security forces with the modern tools and technology they need to keep us safe. Boosting the morale of our men and women in the armed forces will remain our government’s top priority.
“The officers, men, and women of our Armed Forces and the Nigerian Police Force are the shields and protectors of our nation. Our administration will continue to empower them to defeat insurgency, banditry, and all threats to our sovereignty.
He said Nigerians should never live in fear, whether on their farmlands, highways or cities, adding that “by restoring peace, we restore productivity, revive businesses, and rebuild our communities”.
To provide infrastructure development, he said the government launched the Renewed Hope Infrastructure Development Fund out of the conviction that infrastructure remains the backbone of every thriving economy.
“Under this programme, we are accelerating investments in energy, transport, and public works. By leveraging private capital, we hope to complete key projects that drive growth and create jobs”.
President Tinubu said the Federal Government targets N34.82 trillion in revenue to fund the N47.9 trillion 2025 Appropriation Bill.
He said government expenditure was projected to be N47.9 trillion including N15.81 trillion for debt servicing.
“A total of N13.08 trillion or 3.89 per cent of GDP, will make up the budget deficit.
He called it “an ambitious but necessary budget to secure our future”.
“The budget projects inflation will decline from the current rate of 34.6 per cent to 15 per cent next year.
Tinubu said the projections were targeted at reduction of importation of petroleum products alongside increased export of finished petroleum products.
According to him, it is also targeted at bumper harvests, driven by enhanced security, reducing reliance on food imports and increased foreign exchange inflows through foreign portfolio investments.
“Others are higher crude oil output and exports, coupled with a substantial reduction in upstream oil and gas production costs.”
Tinubu said the budget demonstrates commitment of government to stabilising the economy, improve lives, and repositioning the country for greater performance.
He said the 2025 budget of restoration seeks to consolidate the key policies instituted to restructure the economy, boost human capital development, increase the volume of trade and investments, bolster oil and gas production.
He also said the budget would get the manufacturing sector running again and ultimately increase the competitiveness of the economy.
The president said it was cherry that the economy was responding positively to stimulus, adding that the objective was to further stimulate the economy through implementation of targeted fiscal stimulus packages via public expenditures and specific non-inflationary spending.
He said the reforms we have instituted are beginning to yield results and Nigerians will soon experience a better and more functional economy.
“Global economic growth for the outgoing year 2024 was projected at 3.2 per cent, and against predictions, our country made significant progress.
“Our economy grew by 3.46 per cent in the third quarter of 2024, up from 2.54 per cent in the third quarter of 2023.
“Our Foreign Reserves now stand at nearly 42 billion dollars, providing a robust buffer against external shocks.
“Our rising exports are reflected in the current trade surplus, which now stands at N5.8 trillion according to the National Bureau of Statistics.(NBS).
“These clear results of gradual recovery, among others, reflect the resilience of our economy and the impact of deliberate policy choices we made from the outset.
On 2024 budget, Tinubu said his administration attained remarkable milestones in implementing the 2024 budget, saying that the government generated N14.55 trillion in revenue, meeting 75 per cent of its target as of the third quarter.
“N21.60 trillion in expenditure, representing 85 percent of our target, also in the third quarter.
According to him, the 2025 budget seeks to restore macroeconomic stability, enhance the business environment foster inclusive growth, employment, and poverty reduction and romote equitable income distribution and human capital development.
“Our budgetary allocations reflect the administration’s strategic priorities, especially in the implementation of the Renewed Hope Agenda and its developmental objectives.”
“We hope to complete key projects that drive growth and create jobs. We have already embarked on key legacy projects: Lagos-Calabar Coastal Highway and Sokoto-Badagry Highway.
“This will have a huge impact on the lives of our people and accelerate economic output.”
On human capital development, the president said the administration had so far disbursed N34 billion to over 300,000 students via the Nigeria Education Loan Fund (NELFUND).
“In the 2025 budget, we have made provision for N826.90 billion for infrastructure development in the educational sector.
“This provision also includes those for the Universal Basic Education (UBEC) and the nine new higher educational institutions.
“We are convinced that universal health coverage initiatives will strengthen primary healthcare systems across Nigeria.
“In this way, we have allocated N402 billion for infrastructure investments in the health sector in the 2025 Budget and another 282.65 billion naira for the Basic Health Care Fund.
“Our hospitals will be revitalised with medication and better resources, ensuring quality care for all Nigerians.
“This is consistent with the Federal Government’s planned procurement of essential drugs for distribution to public healthcare facilities nationwide, improving healthcare access and reducing medical import dependency.”
On revitalising agriculture, Tinubu said the government was supporting farmers with funding and inputs to reignite productivity.
“Food security is non-negotiable. In this regard, we are taking bold steps to ensure that every Nigerian can feed conveniently, and none of our citizens will have to go to bed hungry.”
“As your President, I remain committed and resolute to continue to lead the charge.
“This 2025 budget proposal lays the foundation for peace, prosperity, and much needed hope”, he said.
Speaking after the budget presentation, Minister of State for Agriculture and Food Security, Saabi Abdullahi said the aspect of the insurgency is actually going down, the impact on agriculture will be positive leading to food security.
“I want to say that for those of us in the Federal Ministry of Agriculture and Food Security, our annual performance survey actually provided that we had some marginal increase because of the improved security”.
“And all the pains that Nigerians have witnessed in the few years that have passed, I’m sure will soon come to, you know, an end, because we are going to witness massive economic growth that is inclusive”.
The Senate President Godswill Akpabio, in his opening remarks praise president Tinubu for his courageous policies, which he said are now yielding results.
He assured the president of the support of the National Assembly at all times for peace, progress and development of the country.
Speaker, House of Representatives in his vote of thanks equally thanked President Tinubu and assured him that the autonomy granted to local government areas will impact positively on socio-economic lives of people at that level of governance.
