President Bola Tinubu on Tuesday sought the Senate and the House of Representatives’ nod for a fresh $2.2 billion loan to execute the 2025 budget.
The president also forwarded the Medium-term Expenditure Framework (MTEF) and the Fiscal Strategy Paper (FSP) to the legislators for consideration and approval.
This was contained in letters read on the floor of the Senate and House of Representatives on Tuesday in Abuja.
Hitherto, the Federal Government proposed N47.9 trillion as the total expenditure in the 2025 budget. Key figures in the proposal include: a crude oil price benchmark of $75 per barrel, an exchange rate of N1, 400 to the dollar, and a gross domestic product (GDP) growth target of 4.6 percent.
“The Senate is invited to note that, as the 2025 budget of the Federal Government will be prepared based on the parameters and fiscal assumptions of the approved 2025-2027 (MTEF&FSP), it is imperative to seek National Assembly’s expeditious legislative action on this submission,” the president said.
“In accordance with the provisions of Sections 21(1) and 27(1) of the Debt Management Office (DMO) (Establishment, Etc.) Act, 2003, and the approval of the Federal Executive Council, I write to request for a Resolution of the National Assembly (NASS) to raise the sum of N1,767,610,321,779.00 (equivalent of USD2,209,512,902.22 at the Budget Exchange Rate of USD1.00/N800) provided as New External Borrowing in the 2024 Appropriation Act to part finance the budget deficit of N9.179 trillion,” he added.
“The Right Honourable Speaker may wish to recall that the 2024 Appropriation Act approved the sum of N7,828,529,477,860.00 as new borrowings to part-finance the 2024 budget deficit of N9.179 trillion.
“The total New Borrowings of N7.828 trillion was further subdivided into New Domestic Borrowing of N6.061 trillion and New External Borrowing of N1.767 trillion.”
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