Senate approves ₦54.99 trillion 2025 budget

The Nigerian Senate has passed the 2025 Appropriation Bill, approving a total expenditure of ₦54.99 trillion.

The approval came on Thursday, February 13, after a thorough review of key budgetary allocations, including recurrent spending, capital projects, and debt servicing.

A breakdown of the budget reveals ₦3.65 trillion for statutory transfers, ₦13.64 trillion for recurrent (non-debt) expenditure, ₦23.96 trillion for capital expenditure, and ₦14.32 trillion for debt servicing.

The budget also projects a fiscal deficit of ₦13.08 trillion, translating to a deficit-to-GDP ratio of 1.52%.

The bill’s passage follows a budget increase initiated by President Bola Tinubu, who had earlier raised the proposed 2025 expenditure from ₦49.7 trillion to ₦54.2 trillion.

The adjustment, conveyed in letters to both chambers of the National Assembly, was driven by additional revenue generated by key government agencies.

“Following improved revenue projections, the government has revised the budget upwards to accommodate national development priorities,” President Tinubu stated in his communication to the Senate.

According to the President, the increased budget is based on ₦1.4 trillion in additional revenue from the Federal Inland Revenue Service (FIRS), ₦1.2 trillion from the Nigeria Customs Service (NCS), and ₦1.8 trillion generated by other government-owned agencies.

Senate President Godswill Akpabio read the President’s correspondence during plenary, paving the way for legislative approval.

With the Senate’s endorsement, the budget will guide Nigeria’s fiscal direction in 2025, focusing on economic growth, infrastructure development, and debt management.