House of Representatives Approves N54.99 Trillion Budget for 2025

 

The House of Representatives has approved the N54.99 trillion 2025 Appropriation Bill, following President Bola Tinubu’s upward revision of the budget from N49.7 trillion to N54.2 trillion. The budget, aimed at addressing Nigeria’s financial commitments, reflects the government’s priorities in managing the nation’s economy. Statutory transfers, which ensure funding for constitutionally mandated bodies, account for N3.645 trillion, while debt servicing has been allocated N14.317 trillion, highlighting the country’s significant fiscal obligations.

A substantial portion of the budget, N13.64 trillion, has been earmarked for recurrent expenditure, covering salaries, government operations, and other administrative costs. However, the largest allocation of N23.963 trillion is dedicated to capital projects, signaling the government’s focus on infrastructure development and economic growth. This allocation is expected to drive improvements in critical sectors such as transportation, energy, and healthcare, which are essential for Nigeria’s long-term development.

The passage of the budget comes amid ongoing economic challenges, including inflation and a rising debt burden. The government’s decision to increase the budget reflects its commitment to addressing these issues while fostering economic stability and growth. However, critics have raised concerns about the feasibility of implementing such a large budget, given Nigeria’s revenue constraints and reliance on borrowing.

The budget’s approval marks a critical step in Nigeria’s fiscal planning for 2025, with the government emphasizing transparency and accountability in its implementation. The focus on capital projects is particularly significant, as it aligns with broader efforts to diversify the economy and reduce dependency on oil revenues. As the budget moves to the Senate for final approval, stakeholders will be closely monitoring its execution to ensure that it delivers on its promises and contributes to Nigeria’s sustainable development.

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