Tinubu Set to Present 2025 Budget to National Assembly

President Bola Ahmed Tinubu will officially present the 2025 national budget to a joint session of the National Assembly on Tuesday, December 17, 2024. The Senate President, Godswill Akpabio, made the announcement during Thursday’s plenary, revealing that the budget presentation would commence at 11:00 a.m. in the House of Representatives chamber.

“This session will witness His Excellency, the President of the Federal Republic of Nigeria President Bola Ahmed Tinubu, delivering the 2025 budget proposals and estimates,” Godswill Akpabio stated. This presentation marks President Tinubu’s second full budget since assuming office in May 2023.

The proposed budget will be built upon the already-approved 2025-2027 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), which the Senate passed earlier this month. These documents outline a spending plan of ₦47.9 trillion, with domestic and foreign borrowing of ₦9.22 trillion to finance the budget deficit.

Key Highlights of the 2025-2027 MTEF/FSP

The 2025-2027 Medium Term Expenditure Framework forms the foundation of the upcoming budget, detailing projections for federal government spending over three years. It adopts an exchange rate of ₦1,400 to a dollar and oil price benchmarks of $75, $76.2, and $75.3 per barrel for 2025, 2026, and 2027, respectively.

The fiscal plan reflects the administration’s focus on bridging budget deficits through substantial borrowing, raising concerns among economic experts about Nigeria’s rising debt profile. However, government officials argue that the borrowing will finance critical infrastructure projects and stimulate economic growth.

The budget is expected to prioritize President Bola Ahmed Tinubu’s Renewed Hope agenda, with strategic allocations aimed at diversifying the economy, reducing inflation, and addressing unemployment. The presentation will also clarify the administration’s revenue generation strategies, including tax reforms and other fiscal policies.

A Year of Budget Overlap: President Bola Ahmed Tinubu Implements Three Budgets

The upcoming 2025 budget presentation comes amidst the ongoing implementation of three distinct budgets within a single fiscal year—a first in Nigeria’s democratic history. These include the 2023 budget, the 2023 supplementary budget, and the 2024 Appropriation Act.

The 2023 budget, valued at ₦21.8 trillion, and its supplementary budget of ₦2.17 trillion were legacies of the Buhari administration. President Bola Ahmed Tinubu extended the capital components of these budgets twice, citing the need to complete ongoing infrastructure projects. This overlap persisted even as the 2024 budget of ₦28.7 trillion came into effect, underscoring the complexities of fiscal management under the current administration.

Experts have commended the government’s commitment to project continuity but raised concerns about fiscal discipline and the potential strain on Nigeria’s financial system. The National Assembly’s approval has been instrumental in facilitating these overlapping budgets.

Expectations for President Bola Ahmed Tinubu’s 2025 Budget Presentation

The 2025 budget presentation will offer an opportunity for President Bola Ahmed Tinubu to address pressing economic challenges, including inflation, unemployment, and mounting debt. Analysts anticipate that the budget will emphasize infrastructural development, economic diversification, and social investment programs.

President Bola Ahmed Tinubu’s administration is also expected to unveil measures to increase non-oil revenue, building on tax reforms announced earlier this year. With public expectations high, the joint session will serve as a litmus test for the government’s resolve to balance fiscal sustainability with developmental goals.

As Nigeria navigates the complexities of implementing multiple budgets, the 2025 proposal is poised to play a pivotal role in shaping the nation’s economic trajectory. All eyes will be on the National Assembly chamber on Tuesday as President Bola Ahmed Tinubu outlines his vision for Nigeria’s fiscal future.