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Tinubu may present N47tn 2025 budget to N’Assembly today
The Federal Government on Thursday approved the Medium-Term Expenditure Framework for 2025 – 2027 and Fiscal Strategy Paper.
According to the MTEF, the proposed 2025 budget size is N47.9tn, with new borrowings of N9.22tn, the Minister of the Budget and Economic Planning, Abubakar Bagudu, told State House Correspondents after this week’s Federal Executive Council meeting at Aso Rock Villa, Abuja.
Bagudu announced, “The Federal Executive Council approved a memorandum by the Ministry of Budget and Economic Planning, which was presented by the Director-General of the Budget Office [Mr Tanimu Yakubu] on the Medium-Term Expenditure Framework and Fiscal Strategy Paper for 2025 – 2027.”
The disclosure comes after weeks of delay as President Bola Tinubu prepares to present the 2025 Appropriation Bill to the National Assembly, his second since assuming office in May 2023.
The MTEF, a critical tool the FG uses to outline its fiscal strategy over three years, establishes macroeconomic assumptions and targets that guide national budgeting. It also includes projections of key economic variables such as oil prices, exchange rates, inflation, and growth rates.
For the 2025-2027 period, the MTEF sets out parameters, including an oil price benchmark of $75 per barrel, an oil production target of 2.06 million barrels per day, an exchange rate of N1,400 to the US dollar, and a GDP growth rate of 4.6 per cent.
The FG’s projected aggregate expenditure for 2025 is N47.9tn, with planned borrowing of N13.8tn, equating to 3.87 per cent of GDP.
The minister explained, “For the 2025-2027 period, the MTEF sets out parameters including an oil price benchmark of $75 per barrel for 2025, oil production of 2.06 million barrels a day, as well as an exchange rate of N1400 to the dollar and GDP growth of 4.6 per cent.
“It is expected that for 2025, the Federal Government’s budget estimate, the aggregate expenditure is estimated at N47tn, and this includes a borrowing of N13.8tn, which is 3.87 per cent of the estimated GDP.
“The budget size that was approved for presentation to the National Assembly in the MTEF is N47.9tn with new borrowings of N9.22tn to finance the budget deficit in 2025 as well as noting that we need to sustain the commendable market deregulation of petroleum prices and exchange rate, and to compel the Nigerian National Petroleum Corporation Limited to lower its oil and gas production cost significantly, and even to consider the need to amend the relevant sections of the Petroleum Industry Act 2021 to address the significant risk to Federation.”
“The figures were only for 2025, even though there are projections for 2026 and 2027 in the document, which have different figures for the oil price benchmark for the two years,” he added.
Bagudu said Thursday’s memorandum sought the council’s endorsement of the MTEF for submission to the National Assembly, a requirement under the Fiscal Responsibility Act 2007.
The MTEF begins with a macroeconomic overview. It notes that despite global economic challenges, the Nigerian economy is on a positive trajectory, showing two consecutive quarters of growth, with a 3.19 per cent increase in real terms in the second quarter of 2024, the budget minister explained.
However, he acknowledged the need to combat inflation, strengthen economic resilience, support vulnerable populations, bolster high-employment sectors, improve the business climate, and effectively implement youth and social investment programmes.
He revealed that the framework, alongside the FSP, also includes a review of the 2024 budget implementation, highlighting progress in revenue collection and expenditure management, though some targets have fallen short. The report also shows that non-oil revenue streams outperform expectations, Bagudu said.
On the 2024 budget performance, he said, “Actual spending as of August 2024 ending was N16.98tn as against the prorated spending target of N23.37tn at the end.
“Of this amount, N7.41tn was for debt service, and N3.7tn for personnel costs including pension. Further, N3.65tn has been released for capital projects. Most of the delays for capital project release have been earlier legacy issues, in the sense that the new procedure for upload requires a lot of capacity building and delayed uploads.”
N28.75tn was earmarked for the 2024 budget. However, it grew to N35.6tn after amendments by the National Assembly added N6.2tn to the pile.
Responding to queries from journalists, the budget minister said the MTEF would reach the National Assembly on Monday, November 18.
“We are submitting it, I believe, tomorrow [Friday] or, at the latest, on Monday. The office of Mr President will forward the Medium-Term Expenditure Framework and Fiscal Strategy Paper to the National Assembly,” he stated.
The minister also argued that despite the late approval for the MTEF, the FG will maintain the January-December budget implementation cycle.
He affirmed, “We are confident because we have built a respectable relationship with the National Assembly. We have narrowed the areas of misunderstanding. And because of that mutual respect, Mr President is very transparent with the National Assembly leadership. And the National Assembly appreciates that openness.
“He [President] has instructed all his teams to ensure we cooperate with the National Assembly. For instance, the team led by the Coordinating Minister of the Economy has been mandated not only to wait but also to engage the National Assembly and answer all questions at the committee hearings.
“So, I’m confident because of this combination of factors. With this cooperation, I believe we’ll see an expeditious consideration, and immediately we are aware of the approval, we will finalise the budget because the MTEF precedes the budget preparation.”
Credit: PUNCH
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Just in: Ooni Ex- Queen Naomi, Oriyomi Hamzat, others to spend Christmas in prison
A Chief Magistrate Court in Iyaganku, Ibadan, has ordered the remand of three people in connection with last week’s tragic stampede at Bashorun Islamic High School.
The individuals include Mr. Abdullahi Fasasi, the school’s principal; Alhaji Oriyomi Hamzat, the proprietor of Agidigbo FM and Naomi Silekunola, the estranged wife of Oba Enitan Adeyeye Ogunwusi, the Ooni of Ile Ife.
Presided over by Chief Magistrate Olabisi Ogunkanmi, the court’s ruling came on Tuesday, following their arraignment by the Oyo State Police Command.
The proceedings took place under heightened security, with a crowd of family members and interested parties gathered outside the courtroom.
The defendants face four counts of charges related to the incident, as outlined by the police prosecutor, who cited a violation of Section 324 of the Criminal Code, Cap. 38, Vol. II, Laws of Oyo State, 2000.
After hearing the charges, Chief Magistrate Ogunkanmi ordered that the trio be held at Agodi Correctional Center while awaiting further guidance from the state prosecutor.
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Mozambique Top Court Confirms Ruling Party Disputed Win
Fears are high that more violence could break out in the nation after the opposition threatened to call an uprising following the decision.
Mozambique’s highest court confirmed Monday the ruling party’s victory in a disputed October vote after allegations of rigging triggered weeks of deadly street clashes.
Fears are high that more violence could break out in the southern African nation after the opposition threatened to call an uprising following the decision.
The Constitutional Court said the ruling Frelimo party presidential candidate Daniel Chapo secured 65 percent of the vote, revising down provisional results from the electoral commission which said he got nearly 71 percent.
Chapo’s main challenger, exiled opposition leader Venancio Mondlane, received an upward revision to 24.2 percent of the vote.
The final results extend Frelimo’s half-century grip on power, lining up Chapo to take over from President Filipe Nyusi whose second term ends on January 15.
Mondlane has said that the election was rigged in favour of Frelimo and that a separate count shows he won enough votes to take office, which he intends to do.
Several international observer missions have also said there were irregularities.
Some had thought the opposition’s challenge of the results was “a bluff,(that) we’re joking,” he told supporters on social media on Saturday. “So they will also be surprised on January 15 when they see Venancio Mondlane take office in Maputo.”
Mondlane has been in self-imposed exile since the assassination of his lawyer on October 19, a killing he blames on security forces, and it was unclear if he intended to return.
“Difficult days will come,” said the 50-year-old, who appeals to disenchanted younger voters in a country of 33 million people marked by poverty despite its abundant resources.
“The Constitutional Council’s ruling will lead Mozambique either to peace or chaos,” Mondlane said in an online address, promising a “new popular uprising at a level never seen before.”
– Country on edge –
The southern African country has been rocked by unrest since the election commission said that the October 9 vote was won by Chapo.
No fewer than 130 people have been killed in two months of violence, most of them opposition demonstrators shot by security forces, according to local NGOs.
Cities, mines, borders and ports have been affected by protest action and operations at the main border with South Africa halted, causing its neighbour major losses in exports.
Tension was already mounting in the capital Maputo ahead of the court decision with many businesses shut.
The main roads into the city centre were barricaded by police and access to the presidential palace and Constitutional Council office shut, AFP journalists saw.
The US government on Thursday raised its warning level against travel to Mozambique ahead of the Constitutional Council announcement.
Pope Francis called Sunday for dialogue and goodwill to “prevail over mistrust and discord” in Mozambique.
President Nyusi and Mondlane had talked, both men confirmed last week, without announcing any outcome.
In an address to the nation on Friday, Nyusi said he hoped that once the final results were proclaimed, all sides “will open their hearts to a constructive and inclusive dialogue.”
– ‘Maputo under siege’ –
The protests have been the “most dangerous” ever seen in Mozambique, said analyst Borges Nhamirre, continuing despite deaths and arrests, and intensifying with police stations and Frelimo offices torched.
“Protests have already been called for Monday. The main cities, including Maputo, will be under siege because of the fear of protests,” he said.
“I’m convinced that if Monday the Constitutional Council declares the election as free and fair, which I am 100 percent convinced it will, then the blood is going to flow,” Maputo-based political and security risk analyst Johann Smith told AFP.
“The whole game changes on Monday,” said Smith. “It will be a lot more intense and bloody.”
Mondlane had awakened resentment against Frelimo, he said, similar to discontent that this year led to the party that governed Botswana since independence being voted out and threatening to do the same in Namibia.
“It’s almost like the Southern African Spring,” Smith said, in a reference to the Arab anti-government protests in North Africa in the early 2010s.
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Tinubu Bombs Obasa Over Controversial Lagos Council Law
The President of the Federal Republic of Nigeria and leader of the All Progressives Congress (APC), Asiwaju Bola Ahmed Tinubu GCFR, has reportedly slammed the Speaker of the Lagos State House of Assembly, Rt. Hon. Mudashiru Obasa, over the contentious 2024 Lagos State Local Council Administration Law sent to Governor Babajide Sanwo-Olu for assent.
Visibly upset, President Tinubu questioned Obasa’s qualifications to draft laws that could destabilize the political harmony in Lagos State.
He repeatedly scolded the Speaker for his perceived individualistic approach to state matters and his confrontational stance toward the state executive, the party, and its elders.
A stunned Obasa was reportedly left speechless as Tinubu lambasted him for his alleged political misconduct and defiance toward the party, its leaders, and the governor. The President emphasized that matters concerning local government laws were beyond Obasa and the House of Assembly at this stage. Tinubu directed the Speaker to align with Governor Sanwo-Olu’s directives, particularly regarding the screening, approval, and confirmation of board members for the Lagos State Independent Electoral Commission (LASIEC).
Obasa was further instructed to comply with other instructions that would be communicated to him in the future.
The incident comes after Obasa, during the Lagos State 2025 budget presentation, boasted that no serving or former Lagos State governor was better qualified than him to oversee the state, which boasts the fourth-largest economy in Africa. His assertion, seen as a direct indictment of President Tinubu, who governed Lagos from 1999 to 2007, also highlighted his ambition to run for Lagos State Governor in 2027.
The controversial 2024 Local Government Administration Law has been widely criticized as a tool for Obasa to install his loyalists as administrative secretaries in the 37 Local Council Development Areas (LCDAs). This move is viewed as part of his 2027 gubernatorial agenda, branded as the “Muda Eko, Obasa Lagos 2027 Agenda” under The Mudashiru Movement (TMM). The proposal has reportedly caused divisions within the APC in Lagos State.
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