President Muhammadu Buhari has, today, December 19, 2018, presented the 2019 Appropriation Bill to a joint session of the National Assembly.
The 2019 Budget, tagged ‘Budget of Sustenance’, has seen a slight reduction from the N9.12 trillion approved for 2018 to N8.83 trillion.
This will be the last budget presented by the Muhammadu Buhari-led executive arm of the government to the National Assembly, except he wins a second-term in office as president in next year’s elections.
The budget has been predicated on an oil benchmark of $60 per barrel with a daily production output of 2.3 million barrels per day (bpd), against an assumed exchange rate of N305 to $1.
A quick glance at the proposed budget shows that Nigeria’s Recurrent Expenditure, which is N4.04 trillion of the total of N8.83 trillion, half of the total, is still unhealthily high.
While the Capital Expenditure, at N2.031 trillion, is a quarter of the total proposed budget.
Proposed 2019 Budget Breakdown:
- Recurrent – N4.04 trillion
- Debt service – N2.14 trillion
- Statutory transfer – N492.36 billion
- Sinking fund – N120 billion
- Capital expenditure – N2.031 trillion