Buhari sends 2023-2025 Medium Term Expenditure Framework to Senate for approval.

President Muhammadu Buhari has sent the 2023-2025 Medium Term Expenditure framework and fiscal strategy paper to the Senate for approval.

This was disclosed by the Senate President, Ahmad Lawan in an address to lawmakers on Tuesday, according to the Nigerian Television Authority.

The House of Representatives Committee on Finance on the 2023-2025 Medium-Term Expenditure Framework has been sitting on the paper, as Finance minister, Zainab Ahmed says the federal government’s 2023 budget proposal is N19.76 trillion, with a deficit of N11.3 trillion.

What the Senate President is saying

Senate President Ahmad Lawan disclosed that President Muhammadu Buhari has transmitted the 2023-2025 Medium Term Expenditure Framework and Fiscal Strategy paper to the Senate for approval.

NTA reported that this request was the first as Senate reconvened from its two months annual recess.

President Buhari, in the letter, implored the legislators to give expeditious consideration to the MTEF and FSP to give way for the presentation and consideration of the 2023 appropriations bill so as to ensure the sustenance of the January to December budget cycle.

Senator Lawan reminded lawmakers of the need for more commitment to national issues, especially security challenges as he announced that the confirmation of the acting chief justice of Nigeria, Justice Olukayode Ariwoola will be considered Wednesday.

What you should know

  • Recall that Nairametrics reported in the July presentation of the document that recent data released by the Ministry of Finance, Budget and National Planning revealed Nigeria’s debt service cost surpassed its revenue in the first four months of the year. Notably, debt service gulped the sum of N1.94 trillion between January and April 2022, against a retained revenue of N1.63 trillion.
  • Meanwhile, Finance Minister, Zainab Ahmed told the House of Reps that the government was projecting revenue of N8.46 trillion for 2023. She added that N1.9 trillion would come from oil-related sources while the balance would come from non-oil sources.
  • She added that the budget would be premised on $70 per barrel of crude oil and an exchange rate of N435.57 to the dollar, citing that oil production for 2023 was pegged at 1.69 million barrels per day, a real GDP growth rate of 3.7% and inflation rate of 17.16% for the year.
  • The minister also stated that petrol subsidy would remain up to mid-2023 sequel to the 18-month extension announced early in 2021 and that N3.36 trillion would be provided to pay the subsidy in 2023.