President Bola Tinubu made a surprise announcement on Wednesday, increasing the proposed 2025 budget from N49.7 trillion to N54.2 trillion, as stated in separate letters sent to the Senate and the House of Representatives, SAVANNAH NEWSNOW REPORTS.
According to the letter read during plenary by Senate President Godswill Akpabio, the increase is attributed to additional revenues of N1.4 trillion from the Federal Inland Revenue Service, FIRS, N1.2 trillion from the Nigeria Customs Service, and N1.8 trillion from other Government Owned Agencies.
Akpabio subsequently referred the request to the Senate Committee on Appropriation for prompt consideration, stating that the 2025 budget would be approved by the end of February.
Minister of Budget and National Planning, Atiku Bagudu, has corroborated the National Assembly’s account of how the President submitted a N49 trillion budget, which was then reviewed by the legislative body.
He stated that legislative work progressed through interactions between the executive and the National Assembly, as well as the economic management team, which continued to scrutinize all the figures.
According to Bagudu, “While the process was still going on, the Senate Committee on Appropriation, Senate Committee on National Planning and Senate Committee on Finance established that we can generate more revenue by tasking all the institutions to do more and the Federal Inland Revenue Service confirmed the ability to do more than was submitted.
“It was established that the government-owned enterprises can contribute more revenue, as well as the Customs Service.
“So additional revenue amounting to over N4.5 trillion naira was established and this was taken to the President and he guided that this additional revenue should be used to further strengthen the Bank of Agriculture, Bank of Industry, support the diversification program by putting more money in the solid minerals sector, as well as infrastructure projects.”
Commenting on the Medium Term Expenditure Framework, MTEF, adjustments, Bagudu noted that the MTEF was amended even after the budget had been submitted.
“The MTEF that was initially approved was for a budget of less than N49 trillion, so it goes together and so the consequential amendment to the MTEF will certainly follow.”
