On Wednesday, President Bola Ahmed Tinubu presented the 2025 Appropriation Bill to the National Assembly, unveiling a comprehensive financial plan to drive economic recovery and sustainable growth. Themed “Budget of Restoration: Securing Peace, Rebuilding Prosperity,” the proposal underscores a commitment to economic stabilization, inclusive development, and infrastructure renewal.
Here are the 10 major highlights from the budget presentation:
1. Theme of the Budget
Under the banner of “Budget of Restoration: Securing Peace, Rebuilding Prosperity,” the 2025 plan is designed to uplift the nation’s economy, enhance citizens’ living standards, and set the stage for long-term stability. This agenda aligns with Tinubu’s Renewed Hope initiative.
2. Projected Revenue and Expenditure
The federal government aims to generate ₦34.82 trillion in revenue, while total spending is pegged at ₦47.90 trillion, resulting in a ₦13.08 trillion budget deficit (equivalent to 3.89% of the GDP).
3. Indicators of Economic Recovery
President Tinubu highlighted notable signs of economic resilience, such as a 3.46% GDP growth rate in Q3 2024, a ₦5.8 trillion trade surplus, and $42 billion in foreign reserves.
4. Inflation and Exchange Rate Targets
The administration aims to reduce inflation from 34.6% to 15% by the end of 2025. Additionally, the naira-dollar exchange rate is projected to strengthen from ₦1,700 to ₦1,500 per dollar.
5. Sectoral Allocations
Key sectors have been prioritized:
Defense and security: ₦4.91 trillion
Infrastructure: ₦4.06 trillion
Health: ₦2.48 trillion
Education: ₦3.52 trillion
6. Support for Agriculture
In a bid to address food insecurity, the budget includes provisions to support farmers with funding and resources. This initiative aims to boost domestic production, reduce hunger, and curtail reliance on food imports.
7. Investment in Human Capital
A significant portion of the budget is dedicated to education and healthcare:
Education: ₦826.90 billion for infrastructure, including the establishment of nine new higher institutions.
Healthcare: ₦402 billion for infrastructure, alongside ₦282.65 billion for the Basic Health Care Fund.
8. Infrastructure Projects
Through the Renewed Hope Infrastructure Development Fund, the government plans to invest in critical projects such as the Lagos-Calabar Coastal Highway and the Sokoto-Badagry Highway, alongside energy and public works initiatives.
9. Fiscal Strategy
The budget emphasizes restoring macroeconomic stability, improving the business environment, promoting inclusive growth, and ensuring equitable wealth distribution.
10. Call for Collective Action
President Tinubu urged all Nigerians to unite against corruption, insecurity, and economic challenges, emphasizing the need for collaboration among citizens, leaders, and institutions to build a prosperous and peaceful nation.
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