Nigeria’s 2025 budget has received a significant boost, with President Bola Tinubu increasing the appropriation bill from N49.7 trillion to N54.2 trillion. This N4.53 trillion bump aims to accelerate economic transformation, improve infrastructure, and promote financial empowerment.
While the budget increase sounds promising, not everyone is on board with how the change was introduced. So, is this move a step in the right direction for Nigeria’s economy, or will it face challenges in the National Assembly?
Why the Big Budget Boost?
The budget increase was justified by the Minister of Budget and National Planning, Senator Atiku Bagudu, who emphasized the importance of channeling additional funds into key sectors. Here’s a breakdown of the proposed allocations:
Key Budget Allocations
Solid Minerals Development – N1 trillion
Unlock Nigeria’s untapped mineral wealth and diversify the economy beyond oil.Bank of Agriculture (BoA) – N1.5 trillion
Support farmers, boost food security, and strengthen the agribusiness sector.Bank of Industry (BoI) – N500 billion
Provide capital for SMEs, encourage local manufacturing, and reduce import dependence.Infrastructure Projects – N1.5 trillion
- N700 billion for roads and rail networks
- N380 billion for irrigation projects
Military & Security Upgrades – N420 billion
- N250 billion for military barracks
- N120 billion for military aviation
- N50 billion for border communities
The increase in the budget is fuelled by higher-than-expected revenues from key government agencies:
- Federal Inland Revenue Service (FIRS) – N1.4 trillion
- Nigeria Customs Service – N1.2 trillion
- Government-Owned Enterprises – N1.8 trillion
The Pushback: Was the Process Flawed?
Despite the optimism surrounding the additional revenue and proposed projects, some lawmakers have raised concerns about the procedure used to introduce the budget increase.
House of Representatives member Hon. Kingsley Chinda argued that the Executive cannot simply introduce an increase through a letter. According to parliamentary procedure, a formal budget expansion must be laid before the National Assembly rather than presented as an addendum.
However, Deputy Speaker Benjamin Kalu countered this argument, clarifying that the House was merely reading a letter from the President and not conducting a formal budget presentation.
What’s Next?
The budget increase is now under expedited review by the Senate Committee on Appropriations, led by Senate President Godswill Akpabio. The committee aims to conclude and pass the budget by the end of February.
President Tinubu and his team are confident that the budget aligns with Nigeria’s economic priorities. Still, the question remains: Will the National Assembly approve the trillion-naira boost, or will procedural concerns lead to a political showdown?
One thing is certain—Nigerians will be closely watching to see how this budget impacts their lives, from infrastructure improvements to economic diversification efforts.