By Gloria Ogbonna
The National Assembly recently approved the revised 2024 Appropriation Bill, marking an increase in the budget size to N28.77 trillion, up from the Executive's initial proposal of N27.5 trillion.
Both the Senate and House of Representatives endorsed the budget during their respective sessions led by Senate President Godswill Akpabio and House Speaker Tajaudeen Abbas.
President Bola Tinubu had previously presented a N27.5 trillion budget to the joint session of the National Assembly on November 29, 2023.
Under the Committee of Supply, chaired by Senate Appropriation Committee Chairman Adeola Solomon and his counterpart in the House, Abubakar Bichi, deliberations took place.
The Senate outlined the expenditure breakdown, setting statutory transfers at N1.742 trillion, recurrent expenditure at N8.769 trillion, capital expenditure at N9.995 trillion, and the Gross Domestic Product growth rate at 3.88 percent.
Further analysis of the approved budget revealed allocations, with N8.271 trillion dedicated to debt service, N8.769 trillion for recurrent (non-debt) expenditure, and N9.995 trillion for capital expenditure.
The financing of the N9.179 trillion fiscal deficit for the year includes asset sales/privatisation (N298.486 billion), multilateral/bilateral project-tied loans (N1.051 trillion), and debt financing (N7.828 trillion).
Statutory transfers encompassed allocations to various entities, including the National Judicial Council, Niger Delta Development Commission, Universal Basic Education Commission, North East Development Commission, Basic Healthcare Provision Fund, and others.
Remarkably, allocations for the National Assembly comprised detailed disbursements for different projects and departments, emphasizing expenditures on construction, furnishing, equipment, and operational needs.
Following the passage, Solomon elucidated that the budget adjustment responded to current economic circumstances, specifically referencing the removal of fuel subsidies and the fluctuating exchange rates, which necessitated revising certain budgetary figures.
He clarified, "The increment in the budget has to do with the issue of the exchange rate differences. The current rate of the dollar at the black market and the Central Bank of Nigeria differs significantly from our initial budget estimates.
This, coupled with external consultations, prompted the need for adjustments to align with economic realities."
Solomon highlighted a conservative approach in oil benchmark considerations to ensure transparency and avoid misinterpretations, stressing that the alterations aimed to address economic dynamics and fiscal stability amid market fluctuations.
Punch
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