The Federal Executive Council (FEC), chaired by President Bola Tinubu, has approved a proposed 2026 federal budget of ₦58.47 trillion, marking a significant increase aimed at accelerating economic recovery and infrastructure development.
The approval came alongside amendments to the 2026-2028 Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), incorporating revised macroeconomic assumptions to reflect current realities, including oil price volatility and exchange rate projections.
Minister of Budget and Economic Planning, Senator Atiku Bagudu, briefed journalists after the meeting, explaining that the budget proposal builds on ongoing reforms to boost non-oil revenues, enhance fiscal discipline, and prioritize key sectors such as security, education, health, and agriculture.
Key parameters in the amended MTEF include:
- A conservative crude oil benchmark adjusted for prudence
- An exchange rate projection aligned with Central Bank policies
- Projected GDP growth of around 4.7% for 2026.
The framework also anticipates a fiscal deficit within sustainable limits, with emphasis on reducing borrowing costs and improving revenue collection through digital reforms and tax administration enhancements.
The approved proposal will now be transmitted to the National Assembly for legislative review and passage, with President Tinubu expected to present the full Appropriation Bill soon.Analysts note that the ₦58.47 trillion envelope represents an ambitious yet cautious approach, balancing expanded capital expenditure with efforts to curb recurrent spending amid global economic uncertainties.
No immediate comments were available from opposition lawmakers, but debates on the oil benchmark and borrowing plans are anticipated during parliamentary deliberations.
Advertise on NigerianEye.com to reach thousands of our daily users
No comments
Post a Comment
Kindly drop a comment below.
(Comments are moderated. Clean comments will be approved immediately)
Advert Enquires - Reach out to us at NigerianEye@gmail.com