The Federal Executive Council (FEC) has officially approved a proposed budget of N47.9 trillion for the 2025 fiscal year, according to a statement from Atiku Bagudu, the Minister of Budget and Economic Planning, on Thursday.
This significant budget proposal forms a central part of the Medium-Term Expenditure Framework (MTEF) for 2025 to 2027, designed in compliance with the Fiscal Responsibility Act of 2007 to ensure prudent financial planning and fiscal discipline over the coming years.
As required by law, the FEC has also given the green light to submit this proposed budget to the National Assembly for further review and approval. This step is crucial in advancing the nation’s economic and development goals, as the legislative body will scrutinize and potentially approve the allocation of funds for the coming fiscal year.
The 2025 budget proposal includes several key economic projections. It anticipates a Gross Domestic Product (GDP) growth rate of 4.6 percent, a positive indicator of expected economic expansion. Additionally, oil production is projected at 2.06 million barrels per day, reflecting the country’s reliance on oil exports as a primary revenue source. Another notable aspect of the proposal is the pegged exchange rate of N1,400 per U.S. dollar, which will influence foreign exchange rates, international trade, and pricing within the Nigerian economy.
The FEC meeting where these decisions were made was presided over by President Bola Tinubu, underscoring the administration’s involvement in shaping and guiding Nigeria’s economic policies. With this ambitious budget proposal, the government aims to address critical sectors, promote economic stability, and support sustainable growth for Nigeria over the next few years.
