The Federal Executive Council (FEC) has approved the budget proposals for 2025 with amendments.
This was disclosed by the Minister of Budget and Economic Planning, Atiku Bagudu at the Presidential Villa, after the FEC meeting on Monday even as the presentation of the 2025 Appropriation has been postponed till Wednesday.
Bagudu also said the framework is based on a benchmark oil price of 75 dollar per barrel, Oil production of 2.06 billion barrels per day and the exchange rate of 1400 Naira.
He said: "Today, the Federal Executive Council approved the budget proposals for 2025 with amendments, which Mr President directed, following a presentation to the Federal Executive Council by the Director of the Budget Office, Tanimu Yakubu.
"The 2025 budget proposal articulates the federal government's financial plan for the 2025 fiscal year and aligns with the renewed hope agenda and the National Development Plan, 2021 - 2025, as earlier approved in the medium term expenditure framework and fiscal strategy paper."
He further stated that the 2025 framework is based on oil price benchmark of 75 dollar per barrel, oil production of 2.06 billion barrels per day and the exchange rate of 1400 Naira, adding that "All these are already included in the medium term expenditure framework which were presented here, which have also been approved by the National Assembly."
He therefore said, the total projected revenue for 2025 stands at N34,820,000,000,000 trillion out of which the expenditure is projected at N47,960,000,000,000 trillion which is an increase of 36.8 per cent from the 2024 estimates.
He added that the deficit for 2025 is projected at N13.13trn representing 3.89 per cent of GPD.
If you recall, this administration inherited N6.1 from the 2023 budget. But given the success achieved in 2024 we were still able to maintain the deficit below the inherited threshold.
N13trn deficit to be financed through borrowing - Edun
Mr Wale Edun, Minister of Finance and Coordinating Minister for the Economy while briefing State House Correspondents after the FEC meeting said the N13 trillion deficit in the N48 trillion 2025 budget would be financed through borrowing.
Edun said the budget was designed within the context of how far and how much progress had been made under the leadership of President Bola Tinubu over the last 18 months.
Edun said: "Just recently Shell announced a $5 billion investment, Total announced a multi-billion dollar investment just before that, and there are so many others expressing interest in investing in this country.
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Meanwhile, the presentation of the 2025 Appropriation Bill by President Bola Ahmed Tinubu before the joint sitting of the National Assembly has been shifted from Tuesday, December 17th to Wednesday, December 18th.
The postponement was announced in a letter dated December 16th, 2024 signed by the Secretary, Human Resources and Staff Development, National Assembly, Dr. Umar A. Alkali, titled: 'RE: PRESENTATION OF 2025 BUDGET'.
