October 07, (THEWILL) – President Muhammadu Buhari on Friday presented N20.51 trillion 2023 budget estimate to a joint session of the National Assembly.
This includes 2.42 trillion Naira spending by Government-Owned Enterprises.
The appropriation tagged “Budget of Fiscal Sustainability and Transition” , the President said, was designed to address critical issues and lay a solid foundation for the incoming administration.
The proposed total expenditure for the coming year is put at N20.51 trillion with a crude oil benchmark price of $70 per barrel and daily oil production estimate of 1.69 million barrels per day.
The 2023 budget is about 15.37 per cent higher than the amount budgeted in 2022.
While inflation rate is projected to average 17.16% in 2023, up from the revised average of 16.11% for 2022, the exchange rate is projected at N435.57 per dollar.
Also, the GDP growth rate is projected at 3.75 per cent. It is expected to moderate to 3.30% in 2024 before picking up to 3.46% in 2025.
While total federally-collectible revenue is estimated at 16.87 trillion Naira in 2023, total federally distributable revenue is estimated at 11.09 trillion Naira.
Also total revenue available to fund the 2023 Federal Budget is estimated at 9.73 trillion Naira. This includes the revenues of 63 Government-Owned Enterprises.
Oil revenue is projected at 1.92 trillion Naira, Non-oil taxes are estimated at 2.43 trillion Naira, FGN Independent revenues are projected to be 2.21 trillion Naira. Other revenues total 762 billion Naira, while the retained revenues of the GOEs amount to N2.42 trillion Naira.
The President also announced the discontinuation of the oil subsidy regime from next year.
He described the oil subsidy regime as grossly unsustainable in the current reality of low revenues occasioned by oil theft and insecurity.
Buhari said safety net would be provided for the vulnerable members of the society to cushion the effects of the policy.
He stressed the need for the government to find new ways of generating revenues, he said additional measures of reducing cost of government would be implemented.
President Buhari also listed other alternative means of revenue generation, which he said would be explored.
He also called on the Academic Staff Union of Universities (ASUU) to consider Nigerian students and call off lingering strike action.
