FEC approves ₦47.9tn budget proposal for 2025, ₦13.8tn borrowing plan
The Federal Executive Council (FEC) has approved a ₦47.9 trillion budget proposal for the 2025 fiscal year, including a borrowing plan of ₦13.8 trillion.
The announcement was made by Minister of Budget and Economic Planning, Atiku Bagudu, during a press briefing after the council meeting presided over by President Bola Tinubu at the Presidential Villa, Abuja.
The proposal forms part of the Medium Term Expenditure Framework (MTEF)and Fiscal Strategy Paper (FSP) for 2025-2027, prepared in compliance with the **Fiscal Responsibility Act of 2007.
Bagudu stated that the framework would be submitted to the National Assembly by Friday or Monday as required by law.
Key Projections for the 2025 Budget
GDP Growth Rate: 4.6%
Oil Price Benchmark: $75 per barrel
Exchange Rate: ₦1,400 to $1
Oil Production: 2.06 million barrels per day
The budget assumes borrowing of approximately ₦13.8 trillion, representing 3.87% of the GDP, to finance key infrastructure projects and stimulate economic growth. Bagudu described the borrowing as a strategic move to balance expenditure with sustainable debt management.
The minister highlighted Nigeria’s economic resilience, noting a GDP growth rate of 3.19% in Q2 2024. This growth is expected to continue into 2025, supported by measures to curb inflation and stabilize critical economic sectors.
Bagudu reported improvements in revenue collection and expenditure management under the 2024 budget, particularly from non-oil revenue streams, which have surpassed initial expectations.
He assured Nigerians that despite delays in meeting some targets, the government remains committed to achieving its fiscal objectives for the 2024 and 2025 budgets.
