President Bola Ahmed Tinubu has unveiled the 2025 budget tagged the Budget of Restoration: Securing Peace, Building Prosperity to a joint session of the National Assembly.
The N47.9 trillion proposal is designed to solidify ongoing economic reforms, tackle insecurity, and lay the groundwork for long-term national prosperity.
The budget seeks to build on Nigeria’s economic progress while addressing critical issues such as security, infrastructure, and human capital development.
In his address, President Tinubu acknowledged the sacrifices made by Nigerians in the journey of economic reforms and highlighted key achievements, including a 3.46% economic growth in the third quarter of 2024, a rise in foreign reserves to $42 billion, and a trade surplus of ₦5.8 trillion.
These, he said, reflect the administration’s commitment to restoring macroeconomic stability and promoting inclusive growth.
“The progress we’ve made is a testament to the resilience of our people, and we are determined to continue building a stronger, more prosperous Nigeria,” Tinubu stated.
The 2025 budget comes with a revenue target of ₦34.82 trillion and an expenditure projection of ₦47.90 trillion, which includes ₦15.81 trillion allocated for debt servicing. This results in a budget deficit of ₦13.08 trillion, or 3.89% of the country’s GDP.
The President also set ambitious economic projections, aiming for a reduction in inflation from 34.6% to 15% and an improvement in the exchange rate from ₦1,700/$ to ₦1,500/$. Crude oil production is expected to reach 2.06 million barrels per day.
The budget outlined significant investments in key sectors to include defence and Security with the loin share of ₦4.91 trillion to strengthen national security and combat insurgency and banditry.
Infrastructure gulped N4.06 trillion to improve transportation, energy, and other critical infrastructure projects, with a focus on private capital investment.
Education was allocated N3.52 trillion, including ₦826.90 billion for educational infrastructure and student loans to enhance access to quality education.
Healthcare got N2.48 trillion, with ₦402 billion earmarked for health infrastructure to ensure Universal Health Coverage.
Additionally, the agriculture sector will receive support to boost food security and farmer productivity.
While President Tinubu highlighted the strategic priorities for Nigeria’s future, he also acknowledged the fiscal challenges posed by the country’s rising debt burden. With over N15 trillion allocated for debt servicing, concerns have been raised about the sustainability of Nigeria’s borrowing trajectory.
The President called for a collective effort to overcome the challenges of insecurity, corruption, and poor economic decisions of the past.
He urged Nigerians to unite in building a resilient economy that will provide opportunities for all citizens.
“Our vision is to restore peace, rebuild prosperity, and create opportunities for every Nigerian. This is a call to action for all of us,” Tinubu emphasized.
President Tinubu’s 2025 budget marked a continued commitment to his administration’s Renewed Hope Agenda. With a focus on security, infrastructure, and human capital development, the budget aims to set Nigeria on a path of sustainable growth and recovery, though the heavy reliance on debt financing will require careful fiscal management in the years ahead.
