The National Assembly has canceled its decision on the passage of the 2025 Budget Act due to errors allocated to capital and recurring expenditures.
The reversal that took place on Tuesday would require adjustments in key sectors.
Despite corrections, the overall budget size remained the same. N54.99 trillion.
The Senate and House revised the budget after the differences were found during the final cleaning and readjustment process. Adjustment motion is moved Senator Adeola Olamilekan, Chairman of the Joint Committee on Appropriationsand honor. Abubakar Kabir, Chairman of the House Appropriations Committee.
Chairman of the House Rules and Commerce Committee Francis exemptionexplained that the Joint Commission identified “unintentional error” in the allocation breakdown.
“When cleaning and re-adjustment, the Joint Appropriations Committee found some unintentional errors in the projects adopted by the House and Senate,” Dave said.
Key adjustments to budget allocation
Follow the correction, Recurring expenditure Allocation has been increased N524 billionbring it to N13.588 trillion. at the same time, Capital Expenditure Reduced the same amount N23.439 trillion.
this Budget failure Now as follows:
- Total expenditure: N54.99 trillion
- Legal transfer: N3.65 trillion
- Recurring (non-DEBT) expenditure: N13.64 trillion
- Capital Expenditure: N23.96 trillion
- Debt Services: N14.32 trillion
- Fiscal deficit: N13.08 trillion
The Senate also made specific corrections to the allocation of ministries and key departments:
- Ministry of National Defense: from N2.51 trillion arrive N2.49 trillion.
- Police Affairs Department: from N1.225 trillion arrive N1.224 trillion.
- Pensions, remuneration and retirement benefits: from N950 billion arrive N1.44 trillion.
- Military pensions and remunerations: from N252.6 billion arrive N383.9 billion.
- National Pension Commission (PENCOM): from N529.4 billion arrive N804.7 billion.
Similarly, capital allocations in government departments have been reduced, including:
- President: from N144.4 billion arrive N142.7 billion.
- Federal Ministry of Agriculture and Food Security: from N1.95 trillion arrive N1.83 trillion.
- Federal Department of Engineering: from N2.04 trillion arrive N2 trillion.
- Federal Ministry of Education: from N953.9 billion arrive N944.6 billion.
Tinubu’s economic forecast
When making a budget, President Tinubu Ball A plan to stabilize the economy was assured to Nigerians. He projected a Inflation rate dropped from 34.6% to 15% By the end of 2025.
“Inflation in budget projects will drop significantly in 2025 34.6% to 15%,” Tinubu said.
He also vowed to stabilize the exchange rate and predict N1,700 per USD to N1,500.
“These forecasts are crucial to stabilize the economy and ensure sustainable growth,” he noted.
Source of income funding the budget
President Tinubu outlines the source of additional revenue, which leads to an increase in budget size N49.7 trillion arrive N54.99 trillion:
- Federal Inland Tax Services (FIR): N1.4 trillion
- Nigeria Customs Services (NCS): N1.2 trillion
- Other government agencies: N1.8 trillion
These funds are expected to bridge the fiscal gap and support infrastructure development.
