Debt Servicing Takes Lion’s Share in Tinubu’s N47.9 Trillion 2025 Budget
- President Bola Tinubu unveiled Nigeria’s 2025 budget, a N47.9 trillion proposal with a significant N13 trillion deficit
- Debt servicing dominates the budget, with N15.81 trillion allocated, while Defence and Security lead sectoral allocations at N4.91 trillion
- Tinubu projects inflation reduction from 34.3% to 15% and adjusts the exchange rate to N1,400/$ in a bid to stabilize the economy
Abuja, Nigeria – President Bola Ahmed Tinubu on Wednesday presented the 2025 Appropriation Bill, a record N47.9 trillion budget, to a joint session of the National Assembly.
The President highlighted key allocations and fiscal projections in a speech that underscored the government’s priorities amid significant economic challenges.
A large portion of the budget went to defence of national security. Image: FB/Asiwaju Bola Ahmed TinubuSource: Facebook
A total of N15.81 trillion, nearly a third of the proposed budget, has been earmarked for debt servicing, reflecting the mounting pressure of Nigeria’s public debt.
The budget also features a significant deficit of N13.0 trillion, with a revenue projection of N34.8 trillion.
Defence and Security emerged as the highest sectoral allocation, receiving N4.91 trillion. The President emphasized the need for sustained investment in security to ensure national stability.
Infrastructure development followed closely, with N4.06 trillion allocated, signaling the administration’s commitment to addressing the nation’s critical infrastructure gaps.
The Education and Health sectors were also highlighted as key priorities. Education was allocated N3.5 trillion, while the Health sector received N2.4 trillion. President Tinubu reiterated his administration’s commitment to improving access to quality education and healthcare for Nigerians.
Speaking on the nation’s economic outlook, Tinubu projected a significant reduction in inflation, from the current 34.3% to 15%, alongside an adjustment in the exchange rate from N1,700/$ to N1,400/$.
These projections reflect the administration’s optimism for fiscal and monetary policy reforms to stabilize the economy.
“The 2025 Appropriation Bill represents our unwavering commitment to addressing critical national challenges while ensuring fiscal sustainability,” Tinubu said. “It is a budget of growth and resilience, designed to drive economic recovery, reduce inflation, and foster inclusive development.”
The proposed budget will now be subjected to deliberations and approval by the National Assembly. If passed, it will set the stage for the implementation of the Tinubu administration’s fiscal policies for 2025.
Source: TheTalk.NG
